PILLAR: Vibrant
AGENDA DATE: September 9, 2026
COUNCIL DISTRICT(S): 1
DEPARTMENT: Office of Housing and Community Empowerment
PRIORITY: N/A
______________________________________________________________________
SUBJECT
Title
A public hearing (1) to receive comments regarding an application by Dallas Leased Housing Associates XIV, LP and/or its affiliate(s) (collectively referred to as Applicant), to the Texas Department of Housing and Community Affairs (TDHCA) for 2026 4% Non-Competitive Low Income Housing Tax Credits for West Davis Senior Apartments, a 280-unit multifamily residential development for persons of low and moderate income to be located at 4600 West Davis Street, Dallas, Texas 75211 (Project); and (2) pursuant to Section 394.9025 of the Texas Local Government Code regarding bonds to be issued by the City of Dallas Housing Finance Corporation to finance the Project; and, at the close of the public hearing, (3) authorize a Resolution of No Objection for Applicant, related to its upcoming application to TDHCA for the development of the Project - Financing: This action has no cost consideration to the City (see Fiscal Information)
*In alignment with Dallas Housing Resource Catalog.
Body
BACKGROUND
Dallas Leased Housing Associates XIV, LP, a Texas limited partnership, and/or its affiliate, submitted an application to the City of Dallas for a Resolution of No Objection (RONO) for its upcoming application to the Texas Department of Housing and Community Affairs (TDHCA) for 2026 4% Non-Competitive Housing Tax Credits. The 4% Housing Tax Credits will be used for the development of West Davis Senior Apartments, a 280-unit complex located at 4600 West Davis Street, Dallas, Texas 75211 (Project).
Dallas Leased Housing Associates XIV, LP has a certified Letter of Intent for a Real Estate Purchase Agreement for the Property between the current owner and 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 comments on the proposed development. Once a resolution is adopted and submitted to TDHCA, it cannot be changed or withdrawn. The Project is located in City Council District 1.
The Applicant proposes to develop the Project as a new construction multifamily rental development. A to-be-formed single asset entity or its affiliate with the Dallas Housing Finance Corporation (DHFC) as 100% owner, will be the general partner. The special limited partner will be a to-be-formed limited liability company (or its affiliate), which is 100% owned by a Texas limited liability company. An amended and restated agreement of limited partnership will be executed to admit the tax credit equity investor as investor limited partner once identified. Pursuant to Texas Local Government Code § 394.9025, the City Council must hold a public hearing before the DHFC may issue bonds to finance the Project.
The new construction Project will include 280 units, all of which will be reserved for households earning at or below 60% of the Area Median Income (AMI). The unit mix includes 140 one-bedroom units and 140 two-bedroom units
Resident Services
All developments will offer the standard amenities and services required by TDHCA for all non-competitive LIHTC programs, including:
• Minimum 12 hours/week organized on-site K-12 programming (e.g. tutoring, after school and summer care, etc.).
• Minimum 4 hours/week organized onsite classes for adults, including weekly financial literacy classes (e.g., general education, English as a second language, etc.).
• Food pantry accessible to residents (on site or via on-request transportation).
• Annual health fair, in addition the community will provide free annual flu shots.
• Notary services for tenants.
• Minimum 2x/month arts, crafts, or other recreational activities (e.g., book club).
• Minimum 2x/month on-site social events (e.g., potlucks, holiday celebrations, etc.).
Additionally, the Applicant will work with the Office of Emergency Management and Crisis Response throughout the planning and design process for security input, community activities, and incorporate best practices of Crime Prevention through Environmental Design.
Unit Amenities
Include Clubhouse/community room, fitness center, swimming pool, computer lab/business center, outdoor grill and picnic areas, on-site management and leasing office, in-unit washer and dryer or laundry facilities, green space / courtyards. Additionally, the developer might include amenities seen in similar projects.
Total development costs are estimated to be approximately $105,342,639.00, which includes the acquisition price for the land. The construction budget is estimated to be approximately $66,288,000.00 which is $236,743.00 per unit.
|
Proposed Financing Sources |
Amount |
|
Permanent Financing |
$ 41,490,000.00 |
|
Tax Credit Equity |
$ 44,248,314.00 |
|
Interim Income |
$ 1,848,634.00 |
|
Deferred Developer Fee |
$ 11,651,638.00 |
|
Bond Reinvestment Income |
$ 6,104,053.00 |
|
Total |
$105,342,639.00 |
|
Proposed Uses |
Amount |
|
Acquisition Cost |
$ 3,000,000.00 |
|
Building Costs & Site Work |
$ 55,885,082.00 |
|
General Requirements (<6%) |
$ 3,168,421.00 |
|
Contractor Overhead (<2%) |
$ 1,056,140.00 |
|
Contractor Profit (<6%) |
$ 3,168,421.00 |
|
HC Contingency |
$ 3,010,000.00 |
|
Taxable Loan Interest |
$ 8,945,820.00 |
|
Interim Escrowed Funds |
$ 1,159,483.00 |
|
Operating Reserve |
$ 1,106,208.00 |
|
Syndication Costs |
$ 280,849.00 |
|
Bond Interest |
$ 6,104,053.00 |
|
Real Estate & Mortgage Costs |
$ 1,345,070.00 |
|
Closing Cost |
$ 381,612.00 |
|
Cost of Issuance |
$ 438,440.00 |
|
Soft Cost |
$ 3,958,267.00 |
|
Developer Fees |
$ 12,334,773.00 |
|
Total |
$105,342,639.00 |
This Project advances the DHFC priority by developing new housing serving populations at higher risk of experiencing social, economic, or health disparities, specifically very low-income seniors. The Project is located in census tract 67.01, which has a 19.7% poverty rate and a Low Positive fair housing rating.
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)
On April 12, 2023, the City Council adopted Dallas Housing Resource Catalog which has approved programs, including multifamily rental development projects seeking Low Income Housing Tax Credits (LIHTC) from the Texas Department of Housing and Community Affairs (TDHCA) by Resolution No. 23-0444.
On July 14, 2026, the Dallas Housing Finance Corporation authorized a preliminary inducement resolution declaring its intent to issue private activity bonds in an aggregate principal amount not to exceed $55,500,000.00 to finance a loan to a limited liability company or limited partnership formed by Dallas Leased Housing Associates XIV, LP for West Davis Senior Apartments and authorized the filing of an application for an allocation of private activity bonds with the Texas Bond Review Board.
On April 22, 2026, the City Council authorized an amendment to the Dallas Housing Resource Catalog and the program statement for the Dallas Housing Finance Corporation by Resolution No. 26-0742.
The Housing and Homelessness Solutions Committee was briefed by memorandum regarding this matter on August 24, 2026. <https://dallascityhall.com/government/citymanager/Documents/Council%20Materials/I.%20DHFC%20LIHTC%20RONO.pdf>
The City Council was briefed by memorandum regarding this matter on September 3, 2026. <https://dallascityhall.com/government/citymanager/Documents/FY25-26%20Memos/September%209,%202026,%20Office%20of%20Housing%20and%20Community%20Empowerment%20City%20Council%20Agenda%20Items.pdf>
FISCAL INFORMATION
This action has no cost consideration to the City. Another item will come before the City Council for approval in the form of a TEFRA hearing. The following is an estimate of the tax revenue the City of Dallas is projected to forgo. These projections are based on the current taxable value of the property. For DHFC projects, the values are calculated by DHFC staff at this time. The property was previously tax-exempt, therefore there is no projected revenue foregone due to the partnership with DHFC.
|
Actual Taxes |
|
Current Year |
Year 15 |
Year 30 |
|
$0.00 |
$0.00 |
$0.00 |
MAP
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