CITY OF ORLANDO
COUNCIL AGENDA ITEM

Items Types:
Community Redevelopment Agency (CRA) 		For Meeting of:
February 26, 2018
District: 3,4,5 From:
Contract ID: Document Number:
Exhibits: Yes On File (City Clerk) : Yes Draft Only: No
Grant Received by City?: No
Subject:
Parramore Oaks-Second Amendment to Development Agreement between City of Orlando, Community Redevelopment Agency and InVictus Development, LLC
Summary:

In December, 2016, the CRA entered into Purchase and Sale Agreements (Phase 1 and Phase 2) and a Development Agreement with InVictus Development, LLC (InVictus) for its purchase and development of the Parramore Oaks project on property currently owned by the City and CRA. As InVictus was successful in obtaining 9 % Low Income Housing Tax Credits (LIHTC) through the Florida Housing Finance Corporation (FHFC) for Phase I of the Project, construction of the first 120 units is anticipated to commence in early 2018.

Pursuant to the terms of the Phase 2 Purchase and Sale Agreement, InVictus is working towards financing the second phase of the Project. InVictus applied to the FHFC for 9% LIHTC under its request for applications (RFA) 2017-113. However, as LIFT Orlando received the City’s Local Government Preference award for such round of 9% LIHTC financing, InVictus will not be successful in obtaining such financing under RFA 2017-113 and will therefore be applying for 9% LIHTC financing in the upcoming Local Government Revitalization RFA 2018-102 for which applications are due on March 8th. In order for InVictus’s application to be competitive under RFA 2018-102 and have the greatest chance of success under FHFC’s RFA standards, a funding commitment of $491,400 from the local government is required. The Second Amendment to Development Agreement removes the $75,000 grant formerly approved by the CRA should InVictus have been successful in obtaining financing for Phase 2 through RFA 2017-113 and replaces it with a $491,400 grant should InVictus be successful in obtaining financing through the upcoming Local Government Revitalization RFA 2018-102.

The CRA Advisory Board considered this item at its February 21, 2018 meeting and recommended approval.
Fiscal & Efficiency Data: Attached.
Recommended Action:
Approve the Second Amendment to Development Agreement between the City of Orlando, CRA and InVictus Development, LLC, including an affordable housing incentive of $491,400 as indicated above, subject to review and approval of the City Attorney’s Office, authorize the Chair and Executive Director to execute the Agreement Amendments, and authorize the Mayor/CRA Chair to sign the FHFC contribution grant form and any other necessary documents acknowledging the grant amount contemplated by the Development Agreement Amendment, as well as any other documents needed for InVictus’s RFA 2018-102 application.
Agenda Item attachment(s) on file in the City Clerks Office.
Note: All agenda items must be in the City Clerk's office by Noon Friday, six(6) business days prior to the regular Monday City Council meeting.
Contact: Ashley Edwards
Approved By:

Department Date and Time
Budget Outside Routing Approval 2/19/2018 10:21 AM
Real Estate and Finance Attorney 2/19/2018 10:44 AM
City Clerk 2/19/2018 10:58 AM
ATTACHMENTS:
Name: Description: Type:
Parramore_Oaks_Second_Amendment_to_Development_Agreement.pdf Parramore Oaks Second Amendment to Development Agreement Backup Material
Fiscal_Impact_Statement_-_Parramore_Oaks_Phase_II_-_$491%2c400.pdf Parramore Oaks Fiscal Impact Statement Backup Material
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