RM 07-26-85 - Laserfiche WebLink

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South Bend Redevelopment Commission Regular Meeting - July 26, 1985 6. NEW BUSINESS (Cont.)- d. ;inued... erine Jackson Plaia Construction Co. S. Frances Kev n Kowalski 175 Prairie Hanks Enterprise Mrs Kolata noted that there was an addition error made on the low bid submitted for 1718 S. Taylor, and, therefore, the contractor writlidrew their proposal. Mrs. Kolata also noted that 428 S. Frances is currently a land contract that will be refinanced allowing the Cor#ission a first mortgage on the property. Upom a motion made by Mr. Piasecki, seconded by Pir. Combs and unanimously carried, the Commission approved proposals and loans in oomiection with the Affordable Loan Program as listed above. e. Co 'ssion approval requested for the Bureau of ousing Rental Rehab Loan Program Mrs Kolata explained that the Rental Rehab Loan Program is designed to be 50% private financing and 50% federal funds loaned to a landlord who would have to bring a property up to dertain minimum standards. Then at least 51% of the apartment houses would have to be rented to low and moderate income individuals. The program is not moving quickly as anticipated, and the staff has spent some time analyzing what the problems might be. Two problems identified were the standards and financing. The internal standards for inspecting properties have been revised requiring only those standards required by Sec ion 8 which are a little less stringent then the Bureau of Housing's normal code standards. The staff would recommend that the CormLission adopt the new guidelines which wvu d allow for some of the private financing to come from the Bureau of Housing's Community Development fund. These monies would not exc ed 25% of the total project cost and that the be loaned at 3% for a maximum ten year to This would reduce the amount of private -5- $29,929.00 $11,894.00 $18,400.00 $ 9,350.00 COMMISSION APPROVED PROPOSALS AND LOANS IN CONNECTION WITH THE AFFORDABLE LOAN PROGRAM AS LISTED ABOVE