STRATEGIC PRIORITY: Housing & Homelessness Solutions
AGENDA DATE: June 14, 2023
COUNCIL DISTRICT(S):|910|DEPARTMENT: Department of Housing & Neighborhood Revitalization
EXECUTIVE: Majed Al-Ghafry
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SUBJECT
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Authorize the Dallas Housing Finance Corporation to acquire and own Axis Kessler Park, a multifamily development located at 2400 Fort Worth Avenue - Estimated Revenue Foregone: General Funds $7,880,155.00 (15 Years of Estimated Taxes) (This item was deferred on May 24, 2023)
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BACKGROUND
Waterford Property Company (Applicant), submitted an application to the Dallas Housing Finance Corporation (DHFC or Corporation) to acquire, develop, and own Axis Kessler Park, a 299-unit multifamily development, located at 2400 Fort Worth Avenue (Project). The Corporation will own the site and improvements while contracting with the Applicant who will act as the Project Administrator. Pursuant to the Texas Housing Finance Corporation Act, Chapter 394 of the Texas Local Government Code (Act), a Housing Finance Corporation (1) may issue bonds to acquire affordable housing; and (2) any residential property owned by a Housing Finance Corporation is exempt from all ad valorem taxes. As with all bonds issued by the Corporation, they are non-recourse to both the City and the Corporation. They are not liabilities of the City and are repaid solely through the revenues of the Project.
The Project is currently market rate/non-income restricted. However, upon acquisition by the Corporation, at least 50.00% of the units will be reserved for residents earning below 80.00% Area Median Income (AMI), 40.00% of the units will be reserved for residents earning between 80.00%-140.00% AMI, and 10.00% of the units will be market rate.
The owner of the project will be Axis Kessler Park, LLC, a limited liability company having the Corporation as its sole owner. Waterford Property Company, a corporation authorized to...
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