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HomeMy WebLinkAbout20-29 Confirming Real Property Tax Abatement for SB Mutual Homes II, L.P.Filed in Clerk's Office AUG 19 2020 DAWN M. JONES CITY CLERK, SOUTH BEND, IN CITY OF SOUTH BEND COMMUNITY INVESTMENT August 19, 2020 Council Member Jake Teshka, Chairperson Community Investment Committee South Bend Common Council 4th Floor, County City Building South Bend, IN 46601 RE: Residential Real Property Tar Abatement Petition for: South Bend Mutual Homes 11, L.P. Dear Council Member Teshka: Please find the attached information pertaining to a residential real property tax abatement petition submitted by South Bend Mutual Homes 11, L.P. to build 10 single-family homes as part of a housing cooperative in the Southeast and Northwest neighborhoods. This petition package includes: i Department of Community Investment's summary report i Petition Statement of Benefits form io Supporting information. The report contains the Department's findings relative to the above petition. The petitioner proposes to build 10 affordable single-family homes with an approximate investment amount of $2,166,000. The project meets the qualifications for a (5) five-year residential property tax abatement and a representative from South Bend Mutual Homes 11, L.P. will be available to meet with the Committee on Monday, August 24, 2020. The petitioner also requested a 3 -year extension of the existing residential tar abatement, which was approved by the Common Council in July 2018, a designating resolution #4721-18. That project consisted of building 14 affordable single-family homes in the area north of Lincoln Way West and west of Sherman Street. An amendment resolution is included in the package as well. Should you or any of the other Council members have any questions concerning the report, or need additional information, please feel free to call me at 235-5823. Sincerely, Daniel Buckenmeyer Director Business Development EXCELLENCE ACCOUNTABILITY INNOVATION INCLUSION EMPOWERMENT 1400SCounty-City Building 227W.Jefferson Blvd. South Bend. Indiana 46601 p574.235.9371 w southbcndingov TAX ABATEMENT REPORT TO: South Bend Common Council FROM: Daniel Buckenmeyer, Director of Business Development SUBJECT: RESIDENTIAL REAL PROPERTY TAX ABATEMENT PETITION FOR: South Bend Mutual Homes 11, L.P. DATE: August 19, 2020 On Monday, July 7, 2020, a petition from South Bend Mutual Homes 11, L.P. was received and subsequently filed with the City Clerk for residential real property tax abatement consideration for 10 single-family homes in the Southeast neighborhood. Pursuant to Chapter 2, Article 6, Section 2-84.2 of the Municipal Code of the City of South Bend, this petition was referred to the Department of Community Investment for purposes of investigation and preparation of a report determining whether the area qualifies as an Economic Revitalization Area pursuant to I.C.6-1.1-12.1 and whether all zoning requirements have been met. The Department of Community Investment has reviewed the petition (a copy of which is attached), investigated the area, and makes the following report. PROJECT SUMMARY r Ten (10) single-family homes at an approximate assessed value of $1,400,000. The homes will have 2 (2)BR homes, 3 (3)BR homes and 5 (4)BR homes. The total square footage is 13,203 sq. It which is about 1,320 sq. It per house. The homes will have traditional architecture with front porches and rear garages to blend in with the surrounding neighborhood. A resident cooperative will manage the homes to encourage resident participation and long-term affordability. io Each home will have a full unfinished basement and a garage along with an energy- efficient design to meet the National Green Building Standards Silver designation. > This project is the second phase of the South Bend Mutual Homes and there is a waiting list of over 80 families for these homes. The project is important because it meets the affordable housing needs of the community. It will support other revitalization efforts in the Southeast neighborhood with providing quality housing for those that cannot immediately purchase a home. The estimated cost of the construction project is $2,166,000 ABATEMENT QUALIFICATION A review of the tax abatements previously granted, finds that the petitioner has been granted or is associated with one tax abatement. a. Confirming Resolution 4725-18, 5-Y Residential Tax Abatement 2. The Area Plan Commission has reviewed the petition and finds the property to be properly zoned for the proposed project. 3. A review of the Tax Abatement Ordinance No. 9394-03 finds that the petitioner meets the qualifications for a (5) five-year residential property tax abatement under section 2-77.1, Single Family Residential Construction. 2 1 Page �!888a8 §8 | !»■8 „ ; !l;,•�q °! � ; &«!K :°§ !!!##■! k # # # § ° „ «; : 4 ■#���! Ss §! 4! 5■!■&!! )f!s!§!) ( ( ! ! ! � , ,¥¥ s ! w,w! !;!w«!m !■ ] !!!. 8K4 ` ■k«§;; ) ] ! \ ■ -- 4 a a 1 ;;�#« §, !! §( •|!=m!#!` \ „ - � !!• ` !! ! ) f - p . !! .!.I \! !f! ! } AUQ 19 2020 City of South Bend n N: Petition for Incentives '-sol. Petition must include a $750 fllmg fee payable to the City Clerk's Ohice or online via the City's website at sua.onny,INn va duk.feam sou. hffp.-Il uthbendin.gwlgmmment/content/tax-abatement before processing can be complete NA General Information Project Name 58 Mutual Homes II Project Number Legm namea,reei,teredwim seaetaryef South Bend Mutual Homes II, L.P. (a to -be -formed limited partnership) ir. Business svuanre Limited partnership with 99,99% limited partner equity investor and two general partners Company web,de No website. See attached ownership entity diagram. Proposed Project Information Proposed project address See attached list Parent company name South Bend l tentage Foancalinn 3 nl has C", state, zip South Bend, IN legal ayrier See attached. steaaeageoraceagereguired 1,31 acres boerealestateavnedn Land will be purchased. Square feet of facility 13,203 If leased by wham Low and moderate income residents, Primary Contact Information Primary company contact name Anre Mannix Title Co -developer Address of wmpan, contact 724 W. Washington Iphone 574-2884369 City, state, n° South Bend, IN 46601 Fiiail Iamannix.nda@gmail.com Senior Official Information Com on n, senior official name Marco Manani Toe Co -developer Amrezzol company contact (if diik.entfrom shovel 803 Lincoln Way West phon` 574-289-1066 bty, state, In South Bend, IN 46616 Email marcomarini@sbheritage.org Consultant Information/Agent Hired business consultant/agent name NA C.m.1tamneleme h/Nl Address Local economic dwtlopmentparmees approval N City, State, ib Frail Project Overview Brief description of your company, project, and why the he project will consist of 10 two, three and four bedroom single family homes to property is neasennyfar be located In the Southeast neighborhood. This newly constructed housing will "apap"°py'th help to stabilize the surrounding areas by bringing in new residents. As far as the impact on businesses, the new residents will patronize retail businesses in the area. The housing will provide affordable living options forworkers with modest wages at nearby businesses. The National Association of Home Builders (NAHB) estimates that every 100 typical tax credit apartments generate approximately $7.9 million in local income, $827,000 in taxes and 122 local jobs within one year. On an annually recurring basis, the same development produces $2.4 million in local income, $441,000 in taxes and 30 local jobs. Cesdiied Technology Park appropriate NA Is the project in a Tax Incremental finanWg yes - See attached list. tri s . Certify that the Building Permit has not been yes - permit not issued. Number of residential units noted by 16 ly/N B this a a petition far personal propenytax abatement,has NA then ui ment been installed Investment Details Public Infrastructure needs i00- site of project in dollars) Has any BW funding been seceded? What is thevalue of any equipment being mraased in Indiana for the project? What hthevalueof any equipment being punch died from out of state for th e protect? sua.onny,INn va duk.feam sou. NO NA NA TH BEND, IN New Prblect Investments Calendar Year /obsretained Totalhourly Cumulative a of net NEW full time hourlyaveragewage,w/o Totaitraining Total4tobe wagew/o pnmram,rtlhbscreateel at Poled Calendar Year Land Acquisition Building tease Payments Building Purchase Costs New 8.3din8 Conshuction ExisSng Building loprwements New Ma Vinery & EqulPnem Spedat Tooling/t toding New Furniture/Natures New Computer/7 hardware New Software Onsite Rall Infrastructure Onsite Fiber Inirazhvcture 2020 2021 2022 2023 2024 2025 2026 2027 S 30,DDDAD 2020 1 part-time job $ 2.166.000 022 $ 4,200 $ 4,326 $4,456 $4,589 $4,727 $4,869 022 2023 $ 25,208. 2024 z0zs J$4,456 TOTAL $ 0.00 $2,221,2 S4,200 $4,326 $4,589. $4,727 $4,869 Full -Time Permanent Indiana -Resident Positions by Calendar Year Calendar Year /obsretained Totalhourly Cumulative a of net NEW full time hourlyaveragewage,w/o Totaitraining Total4tobe wagew/o pnmram,rtlhbscreateel at Poled benefits or bonuses, of expenditure- trained -not fidngeor ciandadvenetnewfpbs not cumulatWe bonuses cumulative 2020 1 part-time job 20 $1,000 1 022 022 2023 2024 z0zs 2026 2027 2026 '029 2030 2031 Provide hourly wage. information for new employees in the following positions. Full gme Part time Laborers $20 20 Technical Managerial $20 2C Administrative _WlT5 wIrge-lirn uaFe_Vw sl Is le for cwrdm atingw Marco Mariam, Executive Director South Bend Heritage Foundation Work0m, on resulting? Oonyourcompanyhevean EEOhkfngpdicy7 Yes Are you an EEO employer? Yes Please list the number of full time and pan time minority and/or female employees for each of urease describe your commitment to the last three years= diverseyand induslon lrydetaningymrr outreach and recmiMent,MaK for the last _ — Vnar --j2019 �— 2018 2017 three years as well as current policies. Full Time Part Thne Full Time Part Time FuBTIme Part Time Stab 12 7 9 4 9 4 Sorin a.nd x.rms•15....... ena.n.s roamconmanv nnv hispanic 7 1 1 o Erohmnl n skenda .,,eeomm,mbrn'ren.umer,w. soli "an o'�nyanlaY.m^ni }NniniMrwnY.anrve,iiverw mroMcpoPuraiimr xA n— n e.nrnnn .angourmrvnuAly improv 40X Indian norYs a uNmEEO mnlamnYinbNhpl lernlI nANn lne dal aaso Xtlpanl. GOT Female 11 3 11 2 11 2 Ras wrr ..o'"ai�mmuewopm mpmm.sei.no u.rbmwi. u.. and m.w.n ore Other cwmn„mry sn.w Emnbym.m Pmnxm. Complete below for Real or Personal Property Tax Abatement only. Please sign for all requested incentives. Public Benefit Item: Information Is required on both the construction companies and the companies which will provide materials purchased for this project. Please complete the table below with the appropriate information. If Qualify Earned Points Available Points (yes or No) you qualify for the points, please enter the full amount of available points. 1 Construction RelatedjContractorsl: A. Employ Local Companies (75%) Yes 20 20 R. Purchase Materials from Local Companies (75%) Yes 20 20 C. Require Employeesys. Independent Contractors No 19 0. Require Prevailing Wage (Davis Bacon) No 22 E. Require Health Benefits No 22 F. Require Pension Benefits No 18 G. Maintain Affirmative Anion Plan No 20 isub-total Construction Related: 40 141 2 wage & Benefit Related10wner): A. Pay Target Wage Levels Yes 33 33 B. Provide Health Benefits Yes 34 34 C. Provide Pension Benefits No 29 0. Provide Training Yes 28 28 E. Provide Child Care No 15 F. Provide Transportation Assistance No 14 G. Provide Employer Assisted Housing program No 9 Sub -total Wage & Benefit Related: 95 152 3 workforce Related: A. Create New Jobs Yes 42 42 B. Retain Existing Jobs No 41 41 C. Maintain Affirmative Anion Plan Yes 35 35 D. Provide Targeted Hiring Preference 34 sub -total Workforce Related: 1 t 8 152 4 suppon a Municipal Facility: Support a SB Municipal Facility (donations to the A. zoo, conservatory, museum, etc.) Yes 84 84 Name of Facility the Zoo iSub4olal Municipal Facility: m 84 Sub4ctal from Above: 337 539 The undersigned owner(s) of real property, located within the City of South Bend, herby petition the Common Council ofthe City nn of South Bend for a real and/or personal property tax abatement consideration and pursuant to I.C., 6-1.1-12.1-1, sea.. and South Bend Municipal Code Sec. 2-76 et sea.• for this petition state the above. Submitted By: JDate: I Augurt 18, 2020 Anne Mannix, Member Neighborhood Development Associates, LLC For Staff Use Only Below This Line What is the current assessed value? Real Property: Personal Property: What isthe projected assessed value? Beal Property: Personal Property: What isthettx keynember for this project? What is the six digit MICS wde? Please attaa a Gangs map and street view of the location. Please list the amount of real and personal property taxes Real Property Taxes: Personal Property Taxes: paid for the last Me years when applicable. Year One Year Two Year Three Year Four Year Five Please fill out the following Public Benefit Summary Information and add to total from above. YorN Points Points Public Benefit Item: Projectflelated: D A Redevelop a Site that has Special Needs 49 u. Develop Based on Local University Research 35 C. Achieve a Physical Element of a Plan 36 Subtotal Project Related: 120 Super Axe Proiectsfpoint values are cumulative(. 199% 25 200%to 299% ffA.100%to 6B 300% w 399% 65 400% and Over 5:. Sub-total Super Size Projects: 210 7 Pay for Municipal Infrastructure A. Pay for Oversizing or Upgrading 14 B. Pay for 26-50% of Extension Cost 26 Pay for 51-75% of Extension Cost 39 D, Pay for 76-100% of Extension Cost 52 Subtotal Infrastructure Related: 131 Total from Applicant Section: 539 Total from Staff Section: 461 Total Public Ben efit Points: 1000 Filed in Clerk's Office AUG 19 2020 BILL NO. 20-29 in RESOLUTION NO. A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY RESOLUTION DESIGNATING A CERTAIN AREA WITHIN THE CITY OF SOUTH BEND, INDIANA, COMMONLY KNOWN AS 1714 St. Joseph, 221 E. Dayton, 513 E. Dayton, 517 E. Dayton, 521 E. Dayton, 410 E. Dayton, 224 E. Dubail, 404 E. Dubail, 301 E. Dubail, 212 E. Dubail. AS A RESIDENTIALLY DISTRESSED AREA FOR PURPOSES OF A (5) FIVE-YEAR RESIDENTIAL REAL PROPERTY TAX ABATEMENT FOR South Bend Mutual Homes II, L.P. WHEREAS, the Common Council of the City of South Bend, Indiana, has adopted a Declaratory Resolution designating certain areas within the City as Residentially Distressed Areas for the purpose of tax abatement consideration; and WHEREAS, a Declaratory Resolution designated the area commonly known as 1714 St. Joseph, 221 E. Dayton, 513 E. Dayton, 517 E. Dayton, 521 E. Dayton, 410 E. Dayton, 224 E. Dubail, 404 E. Dubail, 301 E. Dubail, 212 E. Dubail South Bend, Indiana, and which is more particularly described as follows: 1) Address: 1714 St. Joseph. Parcel ID#: 018-7042-1667. The South half of lot 10 of Dubail's First Addition to the City of South Bend, Plat Book 6. 2) Address: 221 E. Dayton. Parcel ID#: 018-7042-1658. A tract of land 2 % feet in width, East and West taken off of an from the entire length of the West side lot of 17, and another parcel of land 34 '/z feet in width, East and West, taken off of the entire length of the East side lot of 16, both as shown on the platof Dubail's First Addition to the City of South Bend, Plat Book 6. 3) Address: 513 E. Dayton. Parcel ID#: 018-7048-1859. Lot Numbered One Hundred Six (106) as shown on the plat of Henry Studebaker's Second Addition, recorded April 26, 1904, in the Office of the Recorder of St. Joseph County, Indiana, in Plat Book 8. 4) Address: 517 E. Dayton. Parcel ID#: 018-7048-1858. Lot Numbered One Hundred Five (105) as shown on the plat of Henry Studebaker's Second Addition to the City of South Bend recorded April 26, 1904, in the Office of the Recorder of St. Joseph County, Indiana, in Plat Book 8. 5) Address: 521 E. Dayton. Parcel ID#: 018-7048-1857. Lot Numbered One Hundred Four (104) as shown on the recorded plat of Henry Studebaker's Second Addition to the City of South Bend, recorded in the Office of the Recorder of St. Joseph County, Indiana, in Plat Book 8. 6) Address: 410 E. Dayton. Parcel ID#: 018-7045-1735. Lot numbered twenty-nine (29) as shown on the recorded Plat of Dubail's Third Addition in the City of South Bend, Indiana. 7) Address: 224 E. Dubail. Parcel ID#: 018-7032-1256. E 1/2 LOT 103 BOWMANS PL ADD. 8) Address: 404 E. Dubail. Parcel ID#: 018-7033-1297. E 1/2 LOT 109 BOWMAN PL ADD. 9) Address: 301 E. Dubail. Parcel ID#: 018-7033-1301. E 1/2 LOT 107 BOWMAN PL ADD. 10) Address: 212 E. Dubail. Parcel ID#: 018-7032-1259. The East half of Lot 101 of Bowman Place Addition to the City of South Bend, Plat Book 6. be designated as a Residentially Distressed Area under the provisions of Indiana Code 6- 1.1-12.1 et sea., and South Bend Municipal Code Sections 2-76 qAM., and; WHEREAS, notice of the adoption of a Declaratory Resolution and the public hearing before the Council has been published pursuant to Indiana Code 6-1.1-12.1-2.5; and WHEREAS, the Council held a public hearing for the purposes of hearing all remonstrances and objections from interested persons; and WHEREAS, the Council has determined that the qualifications for a residentially distressed area have been met. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, as follows: SECTION I. The Common Council hereby determines and finds that the petition for real property tax abatement and the Statement of Benefits form meet the requirements of Indiana Code 6-1.1-12.1 et sea., for tax abatement. SECTION IL The Common Council hereby determines and finds that the area meets one of the following conditions as formally established in Ordinance No. 9394-03, which was passed on 2 February 10, 2003: A. The area is comprised of parcels that are either unimproved or contain only one (1) or two (2) family dwellings designed for up to four (4) families, including accessory buildings for those dwellings; or B. Any dwellings in the area are not permanently occupied and are: i. the subject of an order issued under IC 36-7-9; or ii. evidencing significant building deficiencies; or C. Parcels of property in the area: i. have been sold and not redeemed under IC 6-1.1-24 and IC 6-1.1-25; or ii. are owned by a unit of local government; or D. A significant number of dwelling units within the area are not permanently occupied or a significant number of parcels in the area are vacant land; or E. A significant number of dwelling units within the area are: i. the subject of an order issued under IC 36-7-9; or ii. evidencing significant building deficiencies; or F. The area has experienced a net loss in the number of dwelling units, as documented by census information, local building and demolition permits, or certificates of occupancy, or the areas are owned by Indiana or the United States; or G. The area (plus any areas previously designated under this subsection) will not exceed ten percent (10%) of the total area within the Council's jurisdiction. SECTION III. The Common Council also hereby determines and finds the following: A. That the description of the proposed redevelopment meets the applicable standards for such development. B. That the estimate of the value of the redevelopment is reasonable for projects of this nature; C. That the other benefits about which information was requested are benefits that can be reasonably expected to result from the proposed described redevelopment; and D. That the totality of benefits is sufficient to justify the requested deduction, all of which satisfy the requirements of Indiana Code 6-1.1-12.1-3. E. The deduction will not be allowed unless the dwelling is rehabilitated to meet local code standards for habitability. F. The deduction will not be allowed unless the dwelling rehabilitation is completed within three (3) calendar years from the date of the adoption of this Resolution by the Common Council. SECTION IV. The Common Council hereby confirms its Declaratory Resolution designating the area described herein as a Residentially Distressed Area for the purposes of tax abatement. Such designation is for Real property tax abatement only and is limited to three (3) calendar years from the date of adoption of the Declaratory Resolution by the Common Council as shown by the attachment pursuant to Indiana Code 6-1.1-12.1-17. SECTION V. The Common Council hereby determines that the property owner is qualified for 3 and is granted Real property tax deduction for a period of five (5) years as shown below, and further determines that the petition complies with Chapter 2, Article 6, of the Municipal Code of the City of South Bend and Indiana Code 6-1.1-12.1 et sea. Year 1 —100% Year 2 —100% Year 3 —100% Year 4 —100% Year 5 — 100% SECTION VI. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. Member of the Common Council Auo I s 2020 / £" \ STATEMENT OF BENEFITS ,,, REAL ESTATE IMPROVEMENTS DAWN M, J NE State Form 51767 (R61 10-14) Cm CLERK, SOUTH BEND, IN 1- Prescribed by the Department of Local Government Finance This statement is being completed for real property that qualifies under the following Indiana Code (check one box) - m Redevelopment or rehabilitation of real estate improvements (IC 6-1.1-12.1 4) m Residentially distressed area (IC 6-1.1-12.1-4.1) 20_ PAY 20_ FORM SB -1 I Real Property PRIVACY NOTICE Any information concerning the cost of the property and specific salaries paid to individual employees by the property owner is confidential per IC 6-1 1-12.1-5'. INSTRUCTIONS: 1. This statement must be submitted to the body designating the Economic Revitalization Area pnorto the public hearing if the designating body requires information from the applicant in making its decision about whether to designate an Economic Revitalization Area. Otherwise, this statement must be submitted to the designating body BEFORE the redevelopment or rehabilitation of real property for which the person wishes to claim a deduction. 2. The statement of benefits form must be submitted to the designating body and the area designated an economic revitalization area before the initiation of the redevelopment or rehabilitation for which the person desires to claim a deduction. 3. To obtain a deduction, a Form 3221RE must be filed with the County Auditor before May 10 in the year m which the addition to assessed valuation is made or not later than thirty (30) days after the assessment notice is mailed to the property owner if it was mailed alter April 10. A property owner who failed to file a deduction application within the prescribed deadline may file an application between March 1 and May 10 of a subsequent year 4. Aproperty owner who files for the deduction must provide the County Auditor and designating body with a Form CF-1/Real Property The Fofm CF-IlReal Property should be attached to the Form 3221RE when the deduction is first claimed and then updated annually for each year the deduction is applicable. IC 6-1.1-12.1-5.1(b) 5. For a Form SB-llReal Property that is approved after June 3Q 2013, the designating body is required to establish an abatement schedule for each deduction allowed For a Form S13-1rReal Property that is approved prior to July 1, 2013, the abatement schedule approved by the designating body remains in effect. IC 6-1.1-12.1-17 SECTIONINFORMATION Name of taxpayer South Bend Mutual Homes II, LP Address of taxpayer (number and street city state, and ZIP code) 724 W. Washington St., South Bend, IN 46601 Name of contact personTelephone number T(e7 E-mail address Anne Mannix 2884369 amannix. nd aii mail. com SECTION 2 LOCATION AND DESCRIPTION OF PROPOSED PROJECT Name of designating body Resolution number City of South Bend 4725-18 Location of property County DLGF taxing district number See attached list St. Joseph 026-0011 Description of real property improvements, redevelopment, or rehablitalion (use additional sheets if necessary) Estimated start date (month, day year) Fourteen newly constructed homes. April 1,2021 Estimated completion date (month, day year) April 1, 2022 SECTION 3 ESTIMATE OF EMPLOYEESAND SALARIESAS RESULTOF PROPOSED PROJECT Cu.m n; number Salaries Number retained Salaries Number additional Salaries 1.00 $40,000.00 1.00 $40,000.00 0.50 $20,000.00 SECTION 4 ESTIMATED TOTAL COST AND VALUE OF PROPOSED PROJECT REAL ESTATE IMPROVEMENTS COST ASSESSED VALUE Current values 0.00 27.600 00 Plus estimated values of proposed project 3,03240000 583,33800 Less values of any property being replaced 000 a W Net estimated values apon completion of project 3,032400.00 5to,g38 o0 SECTION 5 WASTE CONVERTEDAND OTHER BENEFITS PROMISED BY THE TAXPAYER Estimated solid waste converted (pounds) -m0.00 _ Estimated hazardous waste converted (pounds) 0. 00 Other benefits 1) Revitalization of the Northwest neighborhood. 2) Provision of fourteen units of affordable housing. 3) About 38 short term construction jobs for a one year period. SECTION. I hereby certify that the representations in this statement are true. Signature of authorized representative //pp 7 tom.+ — // 11-41 Date signed (month, day read (3-11 Printed name of authonzed representative K ri vi- L- li nn tk- Title Met kLor kl �WC-lo dl Pagel of Avocx-.- f C.LG7 ( evut6Xr FOR USE OF THE DESIGNATING :.. We find that the applicant meets the general standards in the resolution adopted or to be adopted by this body Said resolution, passed ortn be passed under IC 6-1.1-12.1. provides for the following limitations. A. The designated area has been limited to a period of time not to exceed calendar years' (see below). The date this designation expires is 8. The type of deduction that is allowed in the designated area is limited to: 1. Redevelopment or rehabilitation of real estate improvements ❑ Yes ❑ No 2. Residentially distressed areas ❑ Yes ❑ No C. The amount of the deduction applicable is limited to S D. Other limitations or conditions (specify) E. Number of years allowed. ❑ Year 1 ❑ Year 2 ❑ Year 3 ❑ Year 4 ❑ Year 5 ('see below) ❑ Year 6 ❑ Year ? ❑ Year 8 ❑ Year 9 Year 10 F. For a statement of benefits approved after June 30, 2013, did this designating body adopt an abatement schedule per IC 6-1.1-12.1-177 ❑ Yes ❑ No If yes, attach a copy of the abatement schedule to this form. If no, the designating body is required to establish an abatement schedule before the deduction can be determined. We have also reviewed the information contained in the statement of benefits and find that the estimates and expectations are reasonable and have determined that the totality of benefits is sufficient to justify the deduction described above. Approved (signature and title of authorized member of designating body) Telephone number Date signetl (month, day year) Printed name of authorized member of designating body Name of designating body Attested by (signature and tide alabaster) Printed name of attester - If the designating body limits the time period during which an area is an economic revitalization area, that limitation does not limit the length of time a taxpayer is entitled to receive a deduction to a number of years that is less than the number of years designated under IC 6-1.1-12.1-17. A. For residentially distressed areas where the Form 38-1/Real Property was approved prior to July 1, 2013. the deductions established in IC 6-1.1.12.1-4.1 remain in effect. The deduction period may not exceed five (5) years. For a Form SB -1 lReal Property that is approved after June 30. 2013, the designating body is required to establish an abatement schedule for each deduction allowed. The deduction period may not exceed ten (10)years, (See IC 6-1.1-12.1-17 below.) B. For the redevelopment or rehabilitation of real propertywhere the Form SB -1 lReal Property was approved prior to July 1, 2013, the abatement schedule approved by the designating body remains in effect. For a Form SB-11Real Property that is approved after June 30, 2013, the designating body is required to establish an abatement schedule for each deduction allowed. (See IC 6-1.1-12.1-17 below.) IC 6-1.1-12.1-17 Abatement schedules Sec. 17. (a) A designating body may provide to a business that is established in or relocated to a revitalization area and that receives a deduction under section 4 or 4.5 of this chapter an abatement schedule based on the following factors: (1) The total amount of the taxpayer's investment in real and personal property. (2) The number of new full-time equivalent jobs created. (3) The average wage of the new employees compared to the state minimum wage. (4) The infrastructure requirements for the taxpayer's investment. (b) This subsection applies to a statement of benefits approved after June 30, 2011 A designating body shall establish an abatement schedule for each deduction allowed under this chapter. An abatement schedule must specify the percentage amount of the deduction for each year of the deduction. An abatement schedule may not exceed ten (10) years. (c) An abatement schedule approved for a particular taxpayer before July 1, 2013, remains in effect until the abatement schedule expires under the terms of the resolution approving the taxpayer's statement of benefits. Page 2 of 2 FIIPd in Clerk's Office AUO :! 0 Wo South Bend Mutual Homes II Attachment to the SB -1 Form 11 902 N Allen 018-1085-3578 12 1145 N Brookfield 018-2080-2896 13 1306 N Brookfield 018-2083-3051 14 914 N Cleveland 018-1086-3640 15 903 N College 018-2072-2667 16 1229 N Elmer 018-2031-3224 17 917 N Elmer 018-2031-1028 18 1329 N Huey 018-2087-3242 19 1110 NJohnson 018-2078-2832 20 749 N Lawndale 018-1082-3429 21 913 N Lawndale 018-1089-3756 22 1138 N Olive 018-2090-3369 23 1530 Van Buren 018-1083-3458 24 1101 N Elmer 018-2090-3402 IN AUG *19 1111 Mi; • STATEMENT OF BENEFITS �� 9 REAL ESTATE IMPROVEMENTS DAWN ' JONEI State Form 51767 (R6110-14) CITY CLERK, SOUTH 8 '�,.�% Prescribed by the Department of Local Government Finan This statement is being completed for real property that qualifies under the following Indiana Code (check one box): 2 Redevelopment or rehabilitation of real estate improvements (IC 6-1.1-12.1-4) IZ1 Residentially distressed area (IC 6-1.1-12.1-4.1) 20_ PAY 20_ 1 I FORM SB -1/ Real Property IN I cost INSTRUCTIONS: 1. This statement must be submitted to the body designating the Economic Revitalization Area prior to the public hearing if the designating bodyrequlres information from the applicant in making its decision about whether, to designate an Economic Revitalization Area. Otherwise, this statement must be submitted to the designating body BEFORE the redevelopment or rehabilitation of real property for which the person wishes to claim a deduction. 2. The statement of benefits form must be submitted to the designating body and the area designated an economic revitalization area before the initiation of the redevelopment or rehabilitation for which the person desires to claim a deduction. 3. To obtain a deduction, a Form 3221RE must be filed with the County Auditor before May 10 in the year in which the addition to assessed valuation is made or not later han thirty (30) days after the assessment notice is mailed to the property owner if if was mailed after April 10. Aproperty owner who failed to file a deduction application within the prescribed deadline may file an application between March 1 and May 10 of a subsequent year 4. A property owner who files for the deduction must provide the County Auditor and designating body with a Form CF-IlReal Property. The Form CF-i/Real Property should be attached to the Form 3221RE when the deduction is first claimed and then updated annually for each year the deduction is applicable. IC 6-1.1-12.1-5.1(b) 5. For a Form SB-1/Real Property that is approved after June 30. 2013, the designating body is required to establish an abatement schedule for each deduction allowed. For a Form S&1/Real Property that is approved prior to July 1. 2013. the abatement schedule approved by the designating body remains in effect. IC 6-1.1-12.1-17 SECTION I TAXPAYER INFORMATION of taxpayer South Bend Mutual Homes II, LP Address of taxpayer (number and street, city, stale. and ZIP code) 724 W. Washington St., South Bend, IN 46601 Name of contact person I E-mail address Anne Mannix ( 574 ) 2884369 amannix.nda@gmail.com SECTION 2 LOCATION . DESCRIPTION OF PROPOSED PROJECT Name of designating body Resolution nwnber City of South Bend DLGF fixing distinct number Location of property County See attached list St. Joseph 026-0011 Description of real property improvements. redevelopment, or rehabilitation (use additional sheets ilnecessary) Estimated start date (month, day. year) Ten newly concocted homes. April 1,2021 Estimated completion data (month, day, year) April 1, 2022 Current number Salaries -Number retained Salaries ''.Number additional Salinas 1.00 $40,000.00 1.00 $40,000.00 0.50 $20,000.00 SECTION 4 ESTIMATED TOTAL COST AND VALUE OF PROPOSED PROJECT REAL ESTATE IMPROVEMENTS COSTASSESSED VALUE Current values 30,000.00 15,000.00 Plus estimated values of proposed project 2.166,000.00 41666700 Less values of any property being replaced o.00 0.00 Net estimated values upon completion of project 2,196,000.00 431,667.00 SECTION 5 WASTE CONVERTED AND OTHER BENEFITS PROMISED BY THE TAXPAYER Estimated solid waste converted (pounds) 0.00 Estimated hazardous waste converted (pounds) 0.00 Other benefits 1) Revitalization of the Southeast neighborhood. 2) Provision of ten units of affordable housing. 3) About 27 short term construction jobs for a one year period. SECTION 6 TAXPAYER CERTIFICATIONI I hereby certify that the representations in this statement are true. Signature of authorized representa0vea - Dale signed (month, de y, year) Printed name of authorized representative Title n rile Page 1 of 2 '�•UGiOfQ hq..�' {�jd CCq-;jq FOR USE OF THE DESIGNATING BODY We find that the applicant meets the general standards in the resolution adopted or to be adopted by this body Said resolution, passed or to be passed under IC 6-1.1-12.1, provides for the following limitations: A. The designated area has been limited to a period of time not to exceed calendar years' (see below). The date this designation expires is B. The type of deduction that is allowed in the designated area is limited to: 1. Redevelopment or rehabilitation of real estate improvements ❑ Yes Q No 2. Residentially distressed areas D Yes ❑ No C. The amount of the deduction applicable is limited to $ D. Other limitations or conditions (speciry) E. Number of years allowed: ❑ Year 1 Year 2 ❑ Year 3 ❑ Year 4 Year 5 ('see below) ❑ Year 6 ❑ Year 7 O Year 6 ❑ Year 9 ❑ Year 10 F. For a statement of benefits approved after June 30, 2013, did this designating body adopt an abatement schedule per IC 6-1.1-12.1-17? EJ Yes [) No If yes, attach a copy of the abatement schedule to this form. If no, the designating body is required to establish an abatement schedule before the deduction can be determined. We have also reviewed the information contained in the statement of benefits and find that the estimates and expectations are reasonable and have determined that the totality of benefits is sufficient to justify the deduction described above. Approved (signature and title of authorized member of designating body) Telephone number Dale signed (month, day. year) Printed name of authorized member of designating body Name of designating body Attested by (signature and title of arrestor) Printed name of attester • If the designating body limits the time period during which an area is an economic revitalization area, that limitation does not limit the length of time a taxpayer is entitled to receive a deduction to a number of years that is less than the number of years designated under IC 6-1.1-12.1-i1. A. For residentially distressed areas where the Fan SB-1/Real Property was approved prior to July 1, 2013, the deductions established in IC 6-1 A-12.1-4.1 remain in effect. The deduction period may not exceed five (5) years. For a Form SB-1/Real Property that is approved after June 30, 2013, the designating body is required to establish an abatement schedule for each deduction allowed. The deduction period may not exceed ten (10)years. (See IC 6-1.1-12.1-17 below.) B. For the redevelopment or rehabilitation of real property where the Form SB-1/Real Property was approved prior to July 1, 2013, the abatement schedule approved by the designating body remains in effect. For a Form SB-1/Real Property that is approved after June 30, 2013, the designating body is required to establish an abatement schedule for each deduction allowed. (See IC 6-1.1-12.1-17 below.) IC 6-1.1-12.1-17 Abatement schedules Sec. 17. (a) A designating body may provide to a business that is established in or relocated to a revitalization area and that receives a deduction under section 4 or 4.5 of this chapter an abatement schedule based on the following factors: (1) The total amount of the taxpayer's investment in real and personal property. (2) The number of new full-time equivalent jobs created. (3) The average wage of the new employees compared to the state minimum wage. (4) The infrastructure requirements for the taxpayers investment. (b) This subsection applies to a statement of benefits approved after June 30, 2013. A designating body shall establish an abatement schedule for each deduction allowed under this chapter. An abatement schedule must specify the percentage amount of the deduction for each year of the deduction. An abatement schedule may not exceed ten (10) years. (c) An abatement schedule approved for a particular taxpayer before July 1, 2013, remains in effect until the abatement schedule expires under the terms of the resolution approving the taxpayer's statement of benefits. Page 2 of 2 Filed in Clerk's Office AUO "19 Z020 South Bend Mutual Homes II Attachment to the SB -1 Form 1 1714 St. Joseph 018-7042-1666 018-7042-1667 2 221 E. Dayton 018-7042-1658 3 513 E. Dayton 018-7048-1859 4 517 E. Dayton 018-7048-1858 5 521 E. Dayton 018-7048-1857 6 410 E. Dayton 018-7045-1735 7 224 Dubail 018-7032-1256 8 404 Dubail 018-7033-1297 9 Adjacent to 301 E. Dubail 018-7032-1301 10 212 E. Dubail 018-7032-1259 IN AUG 9 2020 CITY CLERK, SOUTH BEND, IN General Partner General Partner: Special Lim lied Partner d.2attner South Bend Mutual SBHF MH II GP LLC Homes GP II. LLC xMM Riirc. n Ownership Structure for South Bend Mutual Homes II § 2= )Cj �\c - �)§\\)f 2 � \cu ) {)%\ƒ\Ea 72)y){o , [4 (D0 :r § 2= CITY OF SOUTH BEND, INDIANA I AUO .19 mo PETITION FOR RESIDENTIAL TAX ABATEMENT CONST E h, IN The undersigned owner(s) of real property, located within the City of South Bend, hereby petition the Common Council of the City of South Bend for Residential Real Property tax abatement consideration and pursuant to I.C. 6.1.1.12.1.1, et seg., and South Bend Municipal Code Sec. 2-76 et sea., for this petition state the following: 1. Describe the proposed construction project, including information about square footage, number of rooms, number of stories, other amenities such as finished basements and garages, the amount of land to he used, the proposed use of the improvements, and a general statement as to the importance of the project (use additional sheet for long project descriptions): The nroposed project will consist of 10 single family homes: 2 (2)BR homes. 3 MBR homes and 5 MBR homes The total square footage is 13,203 sg. ft which is an average of 1,320 sq. h per hoose. The homes will have traditional architecture with front porches and rear garages to blend in with the surrounding neighborhood A resident cooperative will manage the homes to encourage resident participation and long- im ortant because it meets the affordable housing needs of the community. It will support other revitalization efforts in the Southeast neighborhood by utilizing vacant lots to provide quality housing for those that cannot immediately purchase a home. 2. Estimate the dollar value of the construction project (do not include land cost): $2,166,000. 3. The real property for which tax abatement consideration is petitioned (Property) is owned or to be owned by the following individual(s) or corporation(s) (if the business organization is publicly held, indicate also the name of the corporate parent, if any, and the name under which the corporation has filed with the Securities and Exchange Commission): Name Address Interest South Bend Mutual Homes Il. LP will be the owner of the oroiect The limited uartner equity investor will he Cinnaire. Cinnaire will own a 99.99% interest in the project. Their address is Suite 516, 320 N. Meridian Street, Indiananolis. IN 46204 The South Bend Mutual Homes Cooberative ll, GP LLC will own a 00596% interest in the project. Their address is 724. W. Washington, South Bend, IN 46601. South Bend Mutual Homes Coo6erative II GP. LLC is a wholly owned subsidiary of South Bend Mutual Homes Cooperative SBHF MH II GP LLC will own a.00394% General Partner interest in the project. Their address is 803 Lincoln Way West South Bend IN 46616 SBHF MH II GP LLC is a wholly owned subsidiary of South Bend Heritage Foundation. Anne Mannix will be a special limited partner with an 0001% interest in the moiect. Her address is 724 W Washington, South Bend, IN 46601. 4. The commonly known address of the Property is: _Please see Exhibit D. and having tax key no.: Please see Exhibit D. (use additional sheet for multiple addresses or key numbers). (Rev. 5/13/11) 5. A legal description of said Property(s) is attached hereto, marked Exhibit A, and is incorporated herein. 6. A map and/or plat indicating the location of the Property(s) is attached hereto, marked Exhibit B, and is incorporated herein. 7. Photographs of the Property(s), taken within two (2) weeks of the filing of this petition, are attached hereto, marked Exhibit C, and incorporated herein. 8. The current assessed valuation of the property before construction is a total of $15.000. Please see Exhibit D. (use additional sheet for multiple addresses). (Information may be obtained from the St. Joseph County Assessor's Office, 235-9523). 9. List the real property taxes paid at the location during the previous two years, whether paid by the current owner or a previous owner (use additional sheet for multiple addresses): Please see Exhibit D. Please see Exhibit D. (This information may be obtained from the St. Joseph County Treasurers office, 235- 9531) 10. What is your best estimate of the after completion market value of the property: $ 1.400.000. 11. No building permit has been issued for construction on the property in connection with the improvement in question as of the date of filing of this petition. The building permit may be issued after the South Bend Common Council has approved the Declaratory Resolution. (Tax abatement is not available if a building permit has already been issued). The signature below is verification of this statement. 12. List other anticipated public financing for the project, including any assistance to be sought or already authorized through the United States Department of Housing and Urban Development funds from the City of South Bend, South Bend Housing Authority, Housing Assistance Office, St. Joseph County Housing Consortium or other public financial assistance, including but not limited to public works improvements: The develocers expect to obtain an equity investment of $6.664.200 based on federal low-income housing tax credits granted through the Indiana Housing & Community Development Authority. The developers have requested five Project Based Housing Vouchers from the South Bend Housing Authority. 13. Describe how the property has become undesirable for or impossible of normal development because of a lack of development, cessation of growth, deterioration of improvements or other factors which have impaired values and prevent a normal development of the property: The property has become undesirable for normal development because of the low property values of existing homes in the area, the high number of deteriorated homes and the lack of private investment in the Southeast neighborhood. 14. The current use of the property is vacant lots and the current zoning is Urban Neighborhood I (use). (This information may be obtained from the Building Department 235.9553) 15. The property is located in the following Allocation Area (if any) declared and confirmed by the South Bend Redevelopment Commission (requiring approval of the tax abatement by the Redevelopment Commission): Southside Development Area 16. The following person should be contacted as the petitioner's agent regarding additional information and public hearing notifications: (Rev. 5/13/11) 2 Name Anne Mannix. Neighborhood Development Associates, LLC Address 724 W. Washington St. City, State, Zip South Bend, IN 46601 Telephone 574.288.4369 E-mail Address: amannix.nda@gmail.com WHEREFORE, Petitioner has paid the required fee of $50.00 and requests that the Common Council of the City of South Bend, Indiana, adopt a declaratory resolution designating the area described herein as a residentially distressed area for the purposes of real property tax abatement consideration, and after publication of notice and public hearing, determine that the qualifications for a residentially distressed area have been met and confirm such resolution. Name of Property Owner(s): Neighborhood Development Associates, LLC (contract purchaser of the property) By`----- — — —------ (Signature) Anne Mannix. Member (Typed or printed name and capacity) (Rev. 5/13/11) South Bend Mutual Homes II Residential Tax Abatement Request EXHIBIT A Legal Descriptions of All Sites 1.) 1714 St. Joseph. 018-7042-1667. The South half of lot 10 of Dubail's First Addition to the City of South Bend, Plat Book 6, page 93. 2.) 221 E. Dayton. 018-7042-1658. A tract of land 2 % feet in width, East and West taken off of an from the entire length of the West side lot of 17, and another parcel of land 34'/2 feet in width, East and West, taken off of the entire length of the East side lot of 16, both as shown on the plat of Dubail's First Addition to the City of South Bend, Plat Book 6, page 93. 3.) 513 E. Dayton. 018-7048-1859. Lot Numbered One Hundred Six (106) as shown on the plat of Henry Studebaker's Second Addition, recorded April 26, 1904, in the Office of the Recorder of St. Joseph County, Indiana, in Plat Book 8, Page 164. 4.) 517 E. Dayton. 018-7048-1858. Lot Numbered One Hundred Five (105) as shown on the plat of Henry Studebaker's Second Addition to the City of South Bend recorded April 26, 1904, in the Office of the Recorder of St. Joseph County, Indiana, in Plat Book 8, pages 164-165. 5.) 521 E. Dayton. 018-7048-1857. Lot Numbered One Hundred Four (104) as shown on the recorded plat of Henry Studebaker's Second Addition to the City of South Bend, recorded in the Office of the Recorder of St. Joseph County, Indiana, in Plat Book 8, pages 164-165. 6.) 410 E. Dayton. 018-7045-1735. Lot numbered twenty-nine (29) as shown on the recorded Plat of Dubail's Third Addition in the City of South Bend, Indiana. 7.) 224 E. Dubail. 018-7032-1256. E 1/2 LOT 103 BOWMANS PL ADD. 8.) 404 E. Dubail. 018-7033-1297. E 1/2 LOT 109 BOWMAN PL ADD. 9.) 301 E. Dubail. 018-7033-1301. E 1/2 LOT 107 BOWMAN PL ADD. 10.) 212 E. Dubail. 018-7032-1259. 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