HomeMy WebLinkAboutResolution Fort Worth Housing Finance Corporation (FWHFC) FWHFC-2023-09RESOLUTION NO. FWHFC-2023-09
FORT WORTH HOUSING FINANCE CORPORATION
AUTHORIZING THE CORPORATION OR AN AFFILIATE TO ACT AS GENERAL
CONTRACTOR OR PARTICIPATE IN A JOINT VENTURE FOR THE
REHABILITATION OF WORTHINGTON POINT APARTMENTS LOCATED AT
12301 HEMPHILL STREET
WHEREAS, the City Council of the City of Fort Worth ("City") has adopted development
and revitalization of the City's neighborhoods and affordable housing stock as a strategic goal, and
City residents and the City Council have determined that quality accessible affordable housing is
needed for moderate, low, and very low-income City residents;
WHEREAS, the City Council created the Fort Worth Housing Finance Corporation (the
"Corporation") in 1979 pursuant to the Texas Housing Finance Corporations Act, Chapter 394
of the Texas Local Government Code, to facilitate neighborhood revitalization and housing
initiatives in the City, including but not limited to issuing tax exempt bonds; developing,
rehabilitating and promoting housing; and assisting low to moderate income City residents in
acquiring quality, accessible, affordable housing through lending and construction activities;
WHEREAS, the Corporation seeks to promote neighborhood revitalization and foster the
development of affordable quality housing throughout the City by developing partnerships among
the City, the Corporation, local governments, lenders, private industry and neighborhood -based
nonprofit housing organizations;
WHEREAS, Lincoln Avenue Capital LLC ("LAC"), a Delaware limited liability
company, is a developer of affordable housing and has developed one affordable and mixed
income multifamily property in Texas with another two under development;
WHEREAS, Worthington Point Preservation LLC (`WPP'), a Texas limited liability
company and affiliate of LAC, wishes to acquire and rehabilitate the Worthington Point
Apartments, an existing affordable housing development located at 12301 South Hemphill Street,
(the "Project"), which consists of 248 units;
WHEREAS, by separate resolution the Board of the Corporation is being asked to approve
an agreement with WPP to rehabilitate the Project
WHEREAS, by separate resolution the Board of the Corporation is being asked to agree
to participate in the Project by the formation of Worthington Point FWHFC Partner LLC (the
"GP"), a single purpose entity to serve as general partner of Worthington Point Apartments LP, a
Texas limited partnership (the "Partnership"), that will own the Project;
WHEREAS, the Corporation has also approved various actions relating to the creation and
operation of the GP, the Partnership, and other actions necessary for the development of the
Proj ect;
RESOLUTION NO. FWHFC-2023-09
PAGE 2
WHEREAS, the Partnership has applied for 2023 Non -Competitive (4%) Housing Tax
Credits as well as multifamily revenue bonds from the Texas Department of Housing and
Community Affairs ("TDHCA") to finance a portion of the costs of the Project;
WHEREAS, WPP has requested that the Corporation, which shall for all purposes of this
resolution include the Corporation or a duly created affiliate, serve as the Project's General
Contractor or participate in a joint venture in order to take advantage of the state sales tax
exemption available to the Corporation during construction in order to assist the Project, and agree
to enter into necessary agreements for the Project;
WHEREAS, the agreements will ensure that the Corporation will be indemnified and held
harmless for any acts or omissions of any other party involved in the rehabilitation of the Project,
including any master subcontractors, joint venturers, or subcontractors, and for any acts or
omissions of the Corporation other than the Corporation's own gross negligence and intentional
acts;
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF
THE FORT WORTH HOUSING FINANCE CORPORATION:
1. THAT the Board authorizes the Corporation to act as a member in the joint venture or a
General Contractor created for the rehabilitation of the Project and authorizes the execution
and delivery of all agreements and other documents necessary to carry out such
authorization.
2. THAT Fernando Costa, General Manager of the Corporation, or Victor Turner, Assistant
General Manager of the Corporation, or their duly appointed successors, are each
authorized to execute and deliver all necessary agreements for and on behalf of the
Corporation along with any related documents necessary to effect this resolution, and each
is authorized to extend, modify and amend the agreements, provided any such extensions,
modifications and amendments are within the scope of the Project, and in conformance
with the goals and purposes of the Corporation, as amended from time to time.
3. THAT this Resolution takes effect from the date of its adoption.
RESOLUTION NO. FWHFC-2023-09
PAGE 3
AND IT IS SO RESOLVED.
Adopted February 28, 2023.
FORT WORTH HOUSING FINANCE CORPORATION
By:
'�drlos Flores
President
Attest:
'A 'A ati
Jannette S. Goodall
Corporate Secretary