AgdaPkt 2003-03-24 - Laserfiche WebLink

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AGREEMENT WITH MP REDWOOD COURT ASSOCIATES FOR FUNDING TO REHABILITATE REDWOOD COURT APARTMENTS 622 Chestnut & 635 Spruce Street Redwood City, California This Agreement is made and entered into this day of , 2003 by and between the Redevelopment Agency of the City of Redwood City ( "Agency") and MP Redwood Court Associates, a California Limited Partnership, ( "Contractor "). W ITNESSETH: WHEREAS, the Twenty (20) year subsidy period for the Redwood Court development terminates in 2003 and loss of subsidy funds to pay operating costs for the Project (the "Project ") could result in the 27 affordable housing units being converted to market rate rents, and WHEREAS, buyout of the existing limited partner, rehabilitation and - refinancing of the Project are strategies that are commonly used and would prevent the loss of affordable units at Redwood Court; and WHEREAS, the City of Redwood City's Consolidated Plan and Housing Element goals include rehabilitation and preservation of the existing supply of affordable rental housing for Redwood City households; and WHEREAS, MP Redwood Court Associates, whose general partner is a non - profit organization, previously applied for funding assistance with the City of Redwood City ( "City") under the HOME Program for funding to rehabilitate Redwood Court Apartments at 622 Chestnut and 635 Spruce Street in the City of Redwood City (the "Property "); and WHEREAS, on or about December 17, 2002, City entered into an agreement with Contactor for the funding of a loan in the amount of Two Hundred Fifty Eight Thousand Nine Hundred Seventy Four and No /100 Dollars ($258,974.00) by City to Contractor (the "City Loan ") for the rehabilitation of the Property; and WHEREAS, the City Loan has been funded but the proceeds of the City Loan have not been disbursed to Contractor; and 3/3/2003