Label
City Forest of Toledo Portfolio
Department of Neighborhood and Business Development
Amy Sackman Odum (x3647) Veronica Burkhardt (2605)
Title
Authorizing the Mayor to execute and deliver needed instruments to release the mortgage in whole on the Low-Income Housing Tax Credit Project for 59 scattered site, single family rental housing units called City Forest of Toledo; and declaring an emergency.
Body
SUMMARY & BACKGROUND:
The Low-Income Housing Tax Credits program (LIHTC) is a public tool used to provide funding for the development of affordable housing. The federal government allows developers of particular affordable-housing project to sell tax credits to investors to provide the capital necessary to build the project. Locally, community development corporations have used LIHTC as a financing tool to build many units of affordable housing and promote homeownership in Toledo.
City Forest originated as 70 single-family housing units under the auspices of Organized Neighborhoods Yielding eXcellence (ONYX), identified as City Forest of Toledo Limited Partnership. An investment of $300,000 of HOME Investment Partnerships funds was made to this project (see Resolution 129-01). This project has not achieved the success intended under the LIHTC. Currently, there are 59 units remaining as 9 were sold due to foreclosure with 2 units demolished. This request is to deliver a Release of Mortgage through forgiveness of the note and move the portfolio into the hands of a stable entity.
The City of Toledo, along with the Lucas County Land Bank, Local Initiatives Support Corporation, and Lucas Housing Support Corporation, an affiliate of Lucas Metropolitan Housing Authority have been instrumental in working toward securing the portfolio toward a local partner that will work with tenants to move them toward homeownership, along with homebuyer counseling, financial literacy, home maintenance and education opportunities.
Summary
NOW THEREFORE, Be it ordai...
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