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HomeMy WebLinkAbout(0014) M&C 21-0310City of Fort Worth, Texas Mayor and Council Communication DATE: 05/04/21 M&C FILE NUMBER: M&C 21-0310 LOG NAME: 17TRINITYBLUFFCONSENT3 SUBJECT (CD 9) Authorize Execution of a Consent to Assignment to Economic Development Program Agreements, City Secretary Contract Nos. 35326 and 35327, with SWF Trinity Bluffs, LLC to Allow Assignment of the Agreements to S2 Trinity Bluff, LLC or an Affiliate RECOMMENDATION: It is recommended that the City Council authorize execution of a consent to assignment to Economic Development Program Agreements, City Secretary Contract Nos. 35326 and 35327, with SWF Trinity Bluffs, LLC to allow assignment of the agreements to S2 Trinity Bluff, LLC or an affiliate. DISCUSSION: On July 25, 2006, the City authorized the execution of Economic Development Program Agreements (EDPA) with Trinity Bluff Development, Ltd. for downtown residential projects (City Secretary Contract Nos. 34173 and 34174, M&C C-21586). Under the proposed Economic Development Program Agreements, Trinity Bluff Development, Ltd., working with Lincoln Property Southwest, Inc. (collectively, the Developer), committed to construct two apartment complexes, with approximately 490 units for lease with 5% of the apartments set aside for lease at affordable rates to qualifying households earning no more than 80% of the area median income, per HUD standards, (collectively, the Development). On May 15, 2007, the City authorized the execution of Amended and Restated Economic Development Program Agreements with Trinity Bluff Development, Ltd. to allow for changes in the project's scope and provide for changes in the amount of grants payable by the City to the Developer under the agreements (City Secretary Contract No. 35326 and 35327, M&C C-22121). The authorized amendments replaced the originally approved agreements. On May 30, 2007, Trinity Bluff Development, Ltd., assigned all of its rights and obligations under the Agreements to LPC Trinity Parks LP, which is an affiliate of Lincoln Property Company Southwest, Inc. On October 6, 2009, the City authorized amendments to the Amended and Restated Economic Development Program Agreements (City Secretary Contract Nos. 35236-A1 and 35237-A1, M&C 23823), to modify the deadlines for the completion of the private improvements that are required under those Agreements in order to receive certain economic development grants from the City. On March 15, 2014, the City authorized Consents to Assignment with LPC Trinity Parks LP assigning all of its rights and obligations under the Agreements to SWF Trinity Bluff, LLC or one of its affiliates and Consents to Collateral Assignment with Metropolitan Life Insurance (City Secretary Contract Nos. 35326-CA-1, 35326-CA-2, 35327-CA-1, and 35327-CA-2, M&C C-26763). In March 2020, SWF Trinity Bluff, LLC approached the City about its desire to assign the Agreements to S2 Trinity Bluff, LLC or an Affiliate. Staff does not object to this request. The Developer has constructed all the Required Improvements, but has not completed all of the additional investment necessary to obtain the full amounts of the Program Grants under the Agreements. The Purchaser will be required to meet all ongoing obligations of the Developer under the Agreement. The City will continue to receive the public benefits resulting from development of this project and any additional assignments of the Agreement would have to be approved by City Council. Staff recommends approving the execution of Consents to Assignment of the Economic Development Agreements (City Secretary Contract No. 35326 and 35327) with SWF Trinity Bluffs, LLC to allow assignment of the agreement to S2 Trinity Bluff, LLC or an affiliate. The Trinity Bluff development is located in COUNCIL DISTRICT 9. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that approval of this recommendation will have no material effect on City funds. Submitted for City Manager's Office by. Jay Chapa 5804 Originating Business Unit Head: Robert Sturns 2663 Additional Information Contact: Robert Sturns 2663