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Resolution No. 2023-54, Approving an Increase in the Not-to-Exceed Amount of Multifamily Housing Facility Rev. Bonds that may be Issued to Finance a Multifamily Housing Project Pursuant to MN Law and ... Resolution No. 2023-54 Approving an Increase in the Not-to-Exceed Amount of Multifamily Housing Facility Revenue Bonds that may be Issued to Finance a Multifamily Housing Project Pursuant to Minnesota Law and the Amendment of a Public Hearing Notice (Roers Fridley Apartments Project) Whereas, Minnesota Statutes Chapter 462C (Act), confers upon a city the power to issue revenue obligations to finance multifamily housing developments within the boundaries of that city; and Whereas, the Fridley City Council (Council) of the City of Fridley (City), adopted Resolution No. 2022-61 on June 13, 2022, which gave preliminary approval to the proposal of a Delaware limited liability company known as Roers Fridley Apartments Owner II LLC (Borrower) that the Borrower undertake a Project (hereinafter defined) and that the City undertake a program to assist in financing the Project pursuant to the Act through the issuance of revenue bonds or obligations (in one or more series) (Bonds) in a total principal amount not to exceed $27 million (Not-to- Exceed Amount); and Whereas, the Council adopted Resolution 2022-143 on December 12, 2022, which affirmed and updated Resolution 2022-61 with revised information about the Borrower and the Project; and Whereas, located at approximately 6237 University Avenue NE in the City (Project), an area commonly referred to as Moon Plaza, will be owned and operated by the Borrower or a related entity; and Whereas, the Project consists of the acquisition and construction of an approximately 250,000- square-foot rentable apartment community that will consist of an approximately 169-unit multifamily housing development for households of low and moderate income, and functionally related facilities,; and Whereas, the Borrower has requested that the City increase the Not-to-Exceed Amount from $27 million to $50 million; and Whereas, no public official of the City has either a direct or indirect financial interest in the Project nor will any public official either directly or indirectly benefit financially from the Project. Now, therefore, be it resolved by the City Council of the City of Fridley, as follows: 1. The Not-to-Exceed Amount is hereby increased to $50 million. 2. A public hearing on the housing finance program and proposal of the Borrower will be held at the time and place as determined by the City Manager and as set forth in a Notice of Public Hearing substantially in the form attached hereto as Exhibit A. Resolution No 2023-54 Page 2 3. Resolution No. 2022-61 and Resolution No. 2022-143 are hereby ratified and affirmed in all other respects. nd Adopted by the City Council of the City of Fridley, Minnesota, this 22 day of May, 2023. ________________________________________________ Scott J. Lund - Mayor Attest: ________________________________________________ Melissa Moore - City Clerk Exhibit A Notice of Public Hearing on Proposal for a Housing Finance Program and the Issuance of Multifamily Housing Revenue Bonds to Finance a Multifamily Housing Development (Moon Plaza Apartments Project) Notice is hereby given that the City Council of the City of Fridley will meet in the Council Chambers of City Hall, 7071 University Avenue NE, at 7:00 p.m. on June 12, 2023, to consider a housing finance program of the City and the proposal of Roers Fridley Apartments Owner II LLC, a Minnesota limited liability company (Borrower), that the project described below be assisted by the issuance of multifamily housing revenue bonds under Minnesota Statutes Chapter 462C. The Project is to be located at approximately 6237 University Avenue NE (Project), the area commonly known as Moon Plaza, and consists of the acquisition and construction of an approximately 250,000-square-foot rentable apartment community that will consist of an approximately 169-unit multifamily housing development for households of low and moderate income, and functionally related facilities. The Project will be owned and operated by the Borrower. The Project is currently anticipated to consist of the following units: Square Footage Estimated Initial Units Number of Units Per Unit Rent Per Unit 1 BR/1 Bath 50 752 $628-1,315/month 2 BR/2 Bath 68 1,000 $747-1,571/month 3 BR/2 Bath 51 1,368 $858-1,810/month The aggregate estimated principal amount of the bonds or other obligations to be issued in one or more series to finance the Project pursuant to the housing finance program will not exceed $50 million (Bonds). Subsequent to approval of a housing finance program, the City may issue the Bonds to finance the housing finance program. The Bonds or other obligations, as and when issued, will not constitute a charge, lien, or encumbrance upon any property of the City, except the Project and the revenues to be derived from the Project. Such Bonds or obligations will not be a charge against the City's general credit or taxing powers but are payable from sums to be paid by the Borrower pursuant to a revenue agreement. Further information concerning the housing finance program and the Project may be obtained from the City Manager during normal business hours. At the time and place fixed for the public hearing, the City Council of the City will give all persons who appear at the hearing an opportunity to express their views with respect to the housing finance program and proposal. Written comments will be considered if submitted at the above City office on or before the date of the hearing.