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HomeMy WebLinkAboutResolution Fort Worth Housing Finance Corporation (FWHFC) FWHFC-2023-35RESOLUTION NO. FWHFC-2023-35 FORT WORTH HOUSING FINANCE CORPORATION A RESOLUTION AUTHORIZING ASSIGNMENT TO THE FORT WORTH COMMUNITY LAND TRUST OF CONTRACT WITH SOUTHWESTERN BAPTIST THEOLOGICAL SEMINARY FOR PURCHASE OF PROPERTY LOCATED AT 4048 MCCART AVENUE, 4096 MERIDA AVENUE AND 4097 MERIDA AVENUE; FORGIVABLE LOAN TO THE COMMUNITY LAND TRUST OF UP TO $3,700,000 OF FORT WORTH HOUSING FINANCE CORPORATION FUNDS; RETURN OF $7,000,000 BORROWED FROM THE CITY OF FORT WORTH GENERAL FUND; AND EXECUTION OF ALL NECESSARY DOCUMENTS PURSUANT TO AGREED UPON TERMS 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, Southwestern Baptist Theological Seminary ("Seminary"), a theological seminary institute located in Fort Worth, Texas, is selling its student housing, with a portion of that housing — consisting of 15 acres of land and 142 student housing units, located at 4096 Merida Avenue, 4097 Merida Avenue and 4048 McCart Avenue (the "Property") — offered for a purchase price of $11,000,000 ("Purchase Price"); and WHEREAS, the Corporation, on August 22, 2023, received authorization to enter into an agreement to purchase the Property (Resolution No. FWHFC-2023-33), and the Corporation entered into said purchase and sale agreement with Seminary on September 13, 2023 (the "PSA"); WHEREAS, the Corporation wishes to supplement Resolution No. FWHFC-2023-33 through this Resolution; RESOLUTION NO. FWHFC-2023-35 PAGE 2 WHEREAS, the Corporation wishes to assign the PSA to the Fort Worth Community Land Trust ("CLT") and contribute up to $3,700,000 of Corporation's funds to the CLT in the form of a forgivable loan to go toward the Purchase Price; and WHEREAS, Corporation wishes to return $7,000,000 to the City of Fort Worth (the "City") General Fund that was loaned for purposes of acquiring the Property; and NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE FORT WORTH HOUSING FINANCE CORPORATION: 1. THAT the Board approves the assignment of the purchase and sale agreement to the Fort Worth Community Land Trust pursuant to agreed upon terms; 2. THAT the Corporation will contribute up to $3,700,000 of Corporation's funds to the Fort Worth Community Land Trust in the form of a forgivable loan to go toward payment of the Purchase Price, with such loan repayable at six percent (6%) simple annual interest if such funds are not used to acquire the Property within twelve months of the date hereof, 3. THAT the Corporation will return $7,000,000 in loan funds to the City; 4. THAT the authorized signers of the Corporation may execute all necessary documents to effectuate the actions authorized herein; and 5. THAT this Resolution takes effect from the date of its adoption. AND IT IS SO RESOLVED. Adopted November 28, 2023. FORT WORTH HOUSING FINANCE CORPORATION By: Carlos Flores President Attest: Jannette S. Goodall Corporate Secretary