STRATEGIC PRIORITY: Housing & Homelessness Solutions
AGENDA DATE: February 26, 2025
COUNCIL DISTRICT(S): 8
DEPARTMENT: Department of Housing and Community Development
EXECUTIVE: Robin Bentley
______________________________________________________________________
SUBJECT
Title
A public hearing to receive comments regarding an application by AMTEX C.F. Hawn Fund, LP, an affiliate of AMTEX Multi-Housing LLC (Applicant) to the Texas Department of Housing and Community Affairs (TDHCA) for 4% Non-Competitive Low Income Housing Tax Credits (4% Housing Tax Credits) for C.F. Hawn Apartments, a 280-unit multifamily residential rental development for persons of low and moderate income to be located at 10600 C.F. Hawn Freeway Dallas, Texas 75217 (Property); and, at the close of the public hearing, authorize a Resolution of No Objection for Applicant, related to its application to TDHCA for the development of C.F. Hawn Apartments - Financing: No cost consideration to the City
Body
BACKGROUND
AMTEX CF Hawn Fund, LP, a to-be-formed Texas limited partnership, an affiliate of AMTEX Multi-Housing LLC (collectively referred to as “Applicant”), submitted an application to the city of Dallas (City) for a Resolution of No Objection (RONO) for its application to TDHCA for 2025 4% Non-Competitive Housing Tax Credits (4% Housing Tax Credits). The 4% Housing Tax Credits will be used for the development of C.F. Hawn Apartments, a 280-unit multifamily complex (Project) to be located at 10600 C.F. Hawn Freeway Dallas, TX 75217 (Property). A purchase and sale agreement for the Property has been executed between the current owner of the Property and an affiliate of the Applicant. TDHCA requires 4% Housing Tax Credit applicants to provide a RONO from the governing body of the jurisdiction in which the proposed development will be sited. As part of these TDHCA requirements, the governing body must also conduct a public hearing for citizens to provide comment on the proposed development. Once a resolution is adopted and submitted to TDHCA, it cannot be changed or withdrawn.
The Applicant or its affiliate, is proposing to develop the Project. A to-be-formed single asset entity or its affiliate with the DHFC as 100% owner, will be the general partner. A to-be-formed limited liability company or its affiliate with Applicant, a Texas limited liability company, as 100% owner will be the special limited partner. An amended and restated agreement of limited partnership will be executed to admit the tax credit equity investor as investor member once identified.
Project is a new development for new construction of 280 units comprised of 28 one-bedroom, 126 two-bedroom, and 126 three-bedroom units. It will include community amenities consistent with TDHCA's required features. Upon completion of the development, it is anticipated that 278 of the 280 units will be reserved for households earning between 0%-60% of Area Median Income (AMI), and two units are not income-restricted and are reserved for property managers. The development is half a mile from the nearest transit stop with direct connections to Dallas Area Rapid Transit. The development is 1.9 miles from the Kleberg-Rylie Recreation Center and Park, 2.6 miles from the nearest full-service grocery store, 2.9 miles to the nearest senior center, 2.3 miles to the nearest library, roughly half a mile to the nearest childcare center, and 3 miles to the nearest medical facility.
Unit amenities will include high-efficiency appliances and lighting, a dishwasher, washer, and dryer hookups, resilient hard surface flooring, granite countertops in the kitchen and bathrooms, kitchen tile backsplash, and tile tub surrounds. Applicant offers a menu of community amenities such as an on-site leasing center, sparkling pool, outdoor barbecue areas, children’s playground, bicycle storage, open space lawn area, internet serviced business office area with computer and printer available, and community multipurpose room with a fitness room. Additionally, a minimum of 5% of all units and 100% of the community amenity space will be designed and constructed to allow for accessibility to persons with limited mobility. An additional 5% of the units will be designed for hearing and visual disabilities.
Applicant service providers design services to meet the specific needs of residents at each community, as determined through surveys and meet and greets. Onsite services can include: parenting, nutrition, and personal finance classes, kids’ activities and tutoring, and monthly free social events.
Total development costs are estimated to be approximately $80,263,261.00 which includes the acquisition price for the land. The construction budget is estimated to be approximately $48,581,584.00 which is $173,505.66 per unit.
|
Proposed Financing Sources |
Amount |
|
Permanent Financing |
$ 42,097,469.00 |
|
Tax Credit Equity |
$ 30,743,299.00 |
|
Net Operating Income |
$ 839,970.00 |
|
Deferred Developer Fee |
$ 6,582,523.00 |
|
Total |
$ 80,263,261.00 |
|
Proposed Uses |
Amount |
|
Acquisition Cost |
$ 2,875,500.00 |
|
Hard Construction Costs |
$ 48,581,584.00 |
|
Soft Costs |
$ 13,835,773.00 |
|
Permanent Financing and Legal Fees |
$ 1,474,712.00 |
|
Reserves |
$ 2,260,774.00 |
|
Other Fees |
$ 2,470,942.00 |
|
Developer Costs |
$ 8,763,976.00 |
|
Total |
$ 80,263,261.00 |
On April 12, 2023, the City Council adopted the Dallas Housing Policy 2033 (DHP33) by Resolution No. 23-0443, and the Dallas Housing Resource Catalog to include the Low-Income Housing Tax Credit program for development of multifamily housing by Resolution No. 23-0444.
On October 8, 2024, the DHFC Board of Directors adopted a preliminary inducement resolution declaring its intent to issue bonds in an aggregate principal amount not to exceed $40,000,000.00 for a loan to provide financing for the Project and authorized the filing of an application for allocation of private activity bonds with the Texas Bond Review Board.
To receive a staff recommendation for a RONO, the Applicant must satisfy all threshold requirements and affirmatively further fair housing.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
The Housing and Homelessness Solutions Committee was briefed by a memorandum regarding this item on January 28, 2025. <https://cityofdallas.legistar.com/View.ashx?M=F&ID=13698061&GUID=B5BB1301-54AB-473F-AAA8-289B5FE74186>
FISCAL INFORMATION
No cost consideration to the City.
MAP
Attached