Modifies the loan to Sable Ridge Development to: 1) extend its maturity date three years to 1-1-17; 2) provide additional security in the form of a deed of trust on a property located at 15255 E. 40th Ave.; and 3) secure a forward commitment to leave not less than $1 million in the 4203 N. Chambers site for its redevelopment as an affordable apartment community (GE04001). (SAFETY & WELL-BEING) Modifies the loan to Sable Ridge Development to: 1) extend its maturity date three years to 1-1-17; 2) provide additional security in the form of a deed of trust on a property located at 15255 E. 40th Ave.; and 3) secure a forward commitment to leave not less than $1 million in the 4203 N. Chambers site for its redevelopment as an affordable apartment community (GE04001). The last regularly scheduled Council meeting within the 30-day review period is on 12-1-14.  The Committee approved filing this bill by consent on 10-30-14.
Thank you. Thank you, Councilwoman. Separate. All right. So you know the comments and 1896 will go through the last one, which I believe was 927 cut out by Councilwoman Fox. Councilman, what would you like for us to do with this? I would like to ask a question. Go right ahead. And first make a statement before I ask the person to come up. For the purposes of business development and affordable housing, the loan agreement and this particular ordinance was first executed with Sable Ridge development in the year 2000. That's prior to the service of most of us on council believe. Councilwoman Ortega was on council at the time that would have gone in. And it certainly prior to the involvement of the current Office of Economic Development Leaders. But as the title of the ordinance says, this is the Eighth Amendment and modification agreement. I'm calling this out for a question with the explicit goal of having the public recognize how convoluted some of these agreements can get. I'm very sensitive to a lot of the activities in the Office of Office of Economic Development. But I do recognize how important it is for them to stay on top of twists and turns that occur if we're going to lend out tax money since this ordinance was on consent in committee. I'd like to ask Seneca Holmes to recount how we got to where we are today and advise us. When is it reasonable to pull the plug? Hmm. Good evening, Seneca Homes with the Office of Economic Development. The Sable Ridge Loan was, as Councilman Fox had reference, was originally made in 2000. It was for the acquisition of property at Chambers and 40th. That property was going to be developed for commercial and affordable housing. It was supposed to be a short term loan and in fact we were paid $2.6 million of the $3.5 million loan in 2001. The remaining property, which was for affordable housing, had difficulty finding the appropriate finance. And so for a period of, I guess, going now on 14 years, we have had to extend the maturity date of that so that we were able to work with the developer so that he would be able to find the financing to build the housing. We came to committee in 2012 as part of our series of loan portfolio workouts, and we essentially called the loan at that point. We had said that if by January 2014, this developer was not able to find financing, namely through low income housing tax credits, that we would do a deed in lieu of foreclosure. 2014, obviously is his past. January 2014 has passed. The developer was not able to receive financing. However, it does seem that there is an opportunity for him to go after a 4% Logitech product. Ultimately, what we want to see there is the development of affordable housing. So we're willing to work with the developer once again to fully realize affordable housing on that property. One thing to keep in mind is that although we do have a deed in lieu on the property itself, it doesn't come close to making us whole. So it makes fiscal sense for the office to continue to work with the developer as long as there is an opportunity to develop the property for affordable housing. Thank you very much, Seneca. The story actually is about twice as long as what he just gave you. After I'd heard it, I thought, Good heavens, people really need to understand how much this goes through when we do these kinds of arrangements at this point, as far as a bottom line is concerned. Seneca's last statement was the most important to me. If we aren't going to be to be made whole, perhaps since 14 years have already passed, maybe a few more can be tolerated. But I do hope the people who follow me run out of patience at some point, if indeed it doesn't come to fruition. Thank you very much, Seneca. Thank you again, Councilman Brooks. Yeah. Senate could stay up here. You know, I agree with Council on the fact that it is a convoluted process. That's probably why we need to put together a housing trust so that folks don't have to put all these cobble all of these finances together. But let me ask you a question around. Was this in the middle of economic downturns? And because I know I'm pretty familiar with that area, but for this particular developer that this goal was this does this fall apart during 28, 29 as well? Well, the loan was made quite a bit earlier than that. So the expectation, I think, was that we were going to have housing well in advance of the recession. But obviously the recession has delayed things quite a bit, not just here, but for the affordable housing market in general. Yeah, I just you know, we're dealing with something on 2020, 300 well, ten that has been it's been on that property for actually we the city have money into that property. But you know well over eight years. And so I just I think it's important that the public understand that development does go through cycles. And there are some issues that we're seeing on varied levels around especially affordable housing, but development as well. So certainly. Thank you, Councilman Brooks. Any other comments or questions on 927? All right. Scene none. That concludes all the bills that are called out. So we are ready for the block votes. All other bills for introduction are ordered, published, and since we had no resolutions, will go directly to bills on final Councilwoman Shepard. Would you please put the bills on final consideration on the floor for final passage? Thank you, Mr. President. I move that the following bills be placed on final consideration and do pass in a block. 901902903904905906979089099 11 912 913 871 872 873 874 875 876 877 878 879 881 896, nine, ten, nine, 16, nine, 22, nine, 27.