SUBJECT/RECOMMENDATION:
Title
Authorize four construction loans in an amount not to exceed $290,000.00 each to Clearwater Neighborhood Housing Services, Inc. (CNHS) for the construction of four single-family homes in the Lake Bellevue area of Clearwater and authorize the appropriate officials to execute documents required to affect closing of the loan(s). (consent)
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SUMMARY:
Clearwater Neighborhood Housing Services, Inc. (CNHS) acquired the .47-acre parcel in February 2007. In May 2024, CNHS submitted a request to Pinellas County to divide the parcel into four separate lots. The request was approved and the new addresses for these lots are as follows:
- 1107 Howard Street
- 1557 S. Martin Luther King Jr. Avenue
- 1561 S. Martin Luther King Jr. Avenue
- 1565 S. Martin Luther King Jr. Avenue
CNHS has submitted plans for the subject properties to the City’s building department for the construction of four 3-bedroom, 2-bathroom detached single-family homes.
CNHS submitted a funding request application for the four parcels to the City’s housing department and the City has established the following terms for the construction loans:
- The homes are to be sold to individuals or families earning at or below 80% of the area median income.
- The construction loan will be repaid to the City at the time of sale of the completed property.
- The developer is permitted to retain a 12% developer fee.
- The final approval of the loan(s) will be contingent upon the approval of all funding sources and site plan and building permit approval.
The City intends to utilize a combination of the Federal HOME Investment Partnerships Program and State Housing Initiatives Partnership (SHIP) Program funds.
Staff recommends the approval of four separate loans not to exceed $290,000.00 each, to support the creation of four new affordable housing units. This project will greatly contribute to the revitalization of the block located in the Lake Bellevue area.
APPROPRIATION CODE AND AMOUNT:
Funding is to be provided by State Housing Initiatives Partnership (SHIP) Program and Federal HOME Investment Partnerships Program. No General Fund monies will be appropriated.
USE OF RESERVE FUNDS:
N/A
STRATEGIC PRIORITY:
Objective 2.4 - Supports equitable housing programs that promote household stability and reduces the incidence of homelessness within Clearwater.
