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Tyler Kalachnik, 1 American Square, Indianapolis, Indiana, stated, I am with Ice Miller and we <br /> are serving as Bond Council for the project. We came before the Economic Development <br /> Commission earlier this month on June 5th. We are seeking a tax-exempt bond through the City, <br /> not to exceed$14 million for the rehabilitation of certain improvements. The statutory process <br /> requires us to seek an inducement, which is federal tax procedure. This is so that when the bonds <br /> get issued, those proceeds could be used to reimburse costs that have already occurred up to sixty <br /> (60) days prior to when the resolution is adopted. The bonds themselves would not have a <br /> constitutional debt effect on the City. They are not payable from taxes, they are solely <br /> obligations payable from revenues of the project. With these low-income housing tax credit <br /> bonds, fifty percent(50%) of the basis of the project must be funded with tax-exempt debt in <br /> order to qualify. The inducement resolution is also a prerequisite for submitting the application <br /> to the State Housing Authority. The Economic Development Commission made findings that <br /> there are no adverse competitive effects given that this is an operating project. It is currently one <br /> hundred percent(100%) affordable section eight(8)housing and it will remain that way after <br /> these improvements. The Area Plan Commission sent a letter and had no comments or issues <br /> with the zoning. <br /> Robert Budman, Principal of Boulevard Capital LLC, stated, We are the owner of Miami Hills <br /> Apartments. Tyler mentioned the structure of the advancing of renovation of the current property <br /> and, as part of those plans, we are requesting the tax-exempt private activity bonds. Mr. Budman <br /> then highlighted key aspects of the project going over a PowerPoint which is available in the <br /> City Clerk's Office. He gave a brief history of Boulevard Capital LLC and provided information <br /> on other properties they own. <br /> Mr. Budman continued, This is a one hundred and fifty-one (15 1) unit community that was built <br /> in 1975. It serves mainly families with a mix of one (1), two (2),three (3) and four(4)bedroom <br /> units. There is over a one hundred (100) family waitlist for units on the property. Boulevard <br /> Capital LLC purchased the property back in July of 2014. At that time,the property was quite <br /> distressed and was in need of major renovation turn-around which we have been undertaking for <br /> the last few years. We have now gotten a good management company on site and have been able <br /> to get things under control. To date, Boulevard Capital LLC has spent $300,000 in capital <br /> improvements at the property. We have also implemented regular and ongoing security routes in <br /> partnership with the Police Department to prevent any crime. <br /> Mr. Budman then overviewed some of the challenges and opportunities the future exterior and <br /> interior comprehensive plans will face. He also gave brief explanation to the timeline of the <br /> bond-approval process. He finished his presentation by explaining the benefit for the Miami Hills <br /> community and the community of South Bend. <br /> Committee Chair White opened the floor to questions from the Committee or Council members. <br /> Committeemember Regina Williams-Preston asked, What is the general cost of rent in the <br /> apartments now and what change might happen after the renovation? <br /> 2 <br />