ADMINISTRATION - Joe Huss, Finance Director
Title
AUTHORIZING THE ISSUANCE, SALE, AND DELIVERY OF ITS MULTIFAMILY HOUSING REVENUE NOTE (Legends of Blaine Project), SERIES 2018; APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF THE NOTE AND RELATED DOCUMENTS; PROVIDING FOR THE SECURITY, RIGHTS, AND REMEDIES WITH RESPECT TO THE NOTE; AND GRANTING APPROVAL FOR CERTAIN OTHER ACTIONS WITH RESPECT THERETO
Background
The City of Blaine, Wellington Management and Dominium have been working on a development project called Lexington Meadows at the southwest corner of 109th and Lexington Ave. Wellington Management is proposing to purchase approximately 80 acres of land and develop a 32 acre commercial center along with selling land to Dominium who would construct a 192-unit apartment building called the Legends of Blaine. Wellington is planning to acquire the property by the end of September and will start mass site grading shortly thereafter. In addition, Dominium will purchase their site in October and start construction of the apartment this fall.
On December 7, 2017 the City Council authorized the issuance of $21,751,997.91 in conduit bonds to provide temporary (“bridge”) financing for the project. Dominium is now requesting permanent conduit financing of $27,500,000 for this project. As a conduit issue, this debt is payable solely from the revenues pledged under the Loan Agreement, and does not represent a debt or obligation of the City.
Recommendation
By motion, adopt the attached resolution.