4.4. SR 06-28-2010N //
City of
Elk -,.-;
River
REQUEST FOR ACTION
TO ITEM NUMBER
Ma or & Ci Council 4.4.
AGENDA SECTION MEETING DATE PREPARED BY
Administration June 28, 2010 Catherine Mehelich, Director of
Economic Develo ment
ITEM DESCRIPTION REVIEWED By
Dominium Corporation Request fox Housing Revenue Bond for Tim Simon, Finance Director
Dove Tree Apartments -1105 Lions Park Drive REVIEWED BY
Public Hearing & Resolution Lori ohnson, Ci Administrator
ACTION REQUESTED
Following a public hearing, staff recommends City Council approval of the following:
Resolution No. 10- Relating to A Multifamily Housing Development and the Issuance of
Revenue Bonds to Finance the Costs Thereof Under Minnesota Statutes, Chapter 462C, as
Amended; Granting Preliminary Approval Thereto; and Taking Certain Other Actions With Respect
Thereto (Dove Tree Apartments Project)
2. The Program for Financing a Multifamily Rental Housing Development
These recommendations are based on:
Approximately $1,122,000 of rehabilitation funds will be dedicated to the project
Issuance and other fees to be paid fox by the applicant
BACKGROUND/DISCUSSION
The Dominium Development and Acquisition, LLC, under the ownership of Elk River Leased Housing
Associates III, Limited Partnership (the "Borrower"), is seeking authorization for the City of Elk River to
issue tax exempt housing revenue bond in an amount up to $7,000,000 with a maturity not to exceed 40
years. These funds will be used as proceeds for the purchase of the existing 68-unit multifamily rental
housing facility known as Dove Tree Apartments located 1105 Lions Park Drive. The City's issuance of
these housing revenue bonds will also enable the owner to receive housing tax credits which will be
converted to project equity. The bond and credits place a cap on income and rent for the project which
is illustrated on page 5 of the attached Dominium application. It should be noted that this apartment
complex was originally financed with tax credits, and as such, had similar limitations. The financing
extends the affordability requirements for 15-years. Other projects financed with conduit bonding from
the City included most recently Dominium's acquisition and rehabilitation of Birchwood Apartments in
2007.
As part of the statutory requirements, the City needs to conduct a public hearing and to pass a resolution
regarding the same. Approval of this resolution will formally start the underwriting and issuance process
of the housing revenue note.
C:\Documents and Settings\XPMUser\Local Settings\Temporary Internet Files\OLK66\Action Requested 6 28 l0.doc
Staff is recommending this issuance based on the following:
The Borrower will infuse a minimum of $1,122,000 into rehabilitation efforts as outlined in the attached
Dominium application. This equates to approximately $16,500 per unit of rehabilitation, which is
substantial for a complex of this age (built in 1995).
Staff has confirmed with the City's Fire Department, which conducts apartment inspections, that the
facility and management company are current and in compliance with applicable code requirements.
FINANCIAL IMPACT
There will be no impact to the City since this request is for a revenue bond (conduit financing) with the
City not having to pledge any considerations for its debt payment. In addition, Dominium has paid an
initial $5,000 application fee. Consistent with the City's Conduit Bonding Policy, the City will also require
one percent of the issuance amount of the bonds be paid at closing to the City's Development Fund, and
all out-of-pocket expenses for legal fees to underwrite the bond will be paid by the applicant.
ATTACHMENTS
^ Dominium Corporation -Elk River Conduit Bonding Application
^ Resolution No. 10-
^ Program for Financing a Multifamily Rental Housing Development
A~tiOn Motion by Second by Vote
Follow Up
C:\Documents and Settings\XPMUser\Local Settings\Temporary Internet Files\OLK66\Action Requested G 28 10.doc
DOVE TREE APARTMENTS
ELK RIVER, MN
CONDUIT BONDING APPLICATION
SUBMITTED BY:
DOMINIUM
2355 Polaris Lane North
Suite 100
Plymouth MN 55447
RECEDED ~=f~~' 0 3 ~0~0
CITY OF ELK RIVER
Conduit BondingApplication
1. CONTACT INFORMATION
Company: Elk River Leased Housing Associates III, Limited Partnership
Address: 2355 Polaris Lane North, Suite 100
City /State /Zip Plymouth MN 55447
Contact Person(s) Ryan Lunderb~
Business Phone 763-354-5634 Fax 763-354-8724
Email rlunderby(a~dominiuminc.com
Federal ID # 27-2337326 State ID #1569502
Proposed Bond Council Tohn Green, Grey Plant Mooty
Proposed Underwriters Council To be determined
11. PROJECT INFORMATION
What type of project is proposed? Industrial Development/Expansion
Medical Facility
X Multi-Family Residential Housing
Mixed Use Redevelopment
What will funds be used fox? X Land Acquisition
X Construction/Renovation
Capital Equipment
Other
Bond Amount Requested: $ 71000,000
Total Project Cost: $ 8,629,361
Please provide a summary of the proposed project:
Dove Tree is an affordable housing development in Elk River, MN. The project was originally
constructed in 1995, and consists of 68 units in one 3-story garden-style building. We are
proposing to acquire and rehabilitate the Dove Tree apartments through the sale of tax-exempt
bonds and the sale of 4% Low Income Housing Tax Credit equity.
The project rehabilitation will consist of interior and exterior improvements to the building.
These improvements will likely include:
• New unit flooring,
• New kitchen countertops and hardware
• New bathroom vanity tops and faucets
• New appliances as needed
• New interior and unit entry doors
• New unit and common area light fixtures
• Common area carpet and painting
• Landscaping
• Garage roof repair and replacement
• Fob controlled access entry system
Has the applicant ever defaulted on a bond or mortgage commitment or ever declared
bankruptcy? If so, please explain.
No.
Please list the communities where the applicant has applied for conduit bonding within the past
five years.
1. Coon Rapids, MN
2. Rochester, MN
3. Champlin, MN
4. Albertville, MN
5. Anoka, MN
6. Minneapolis, MN
7. Fort Dodge, IA
8. Sioux City, IA
9. Beaumont, TX
10. Beaumont, CA
11. Coachella, CA
2 August 2001
111. FINANCING
Sources of Funds
SOURCE NAME TERMS AMOUNT
Bank Loan $
Bank Loan $
Other Private Funds LIHTC Equity $ 1,661,965
Other Private Funds Capitalized Interest & Operations $ 122,232
Other Private Funds GIC Income $ 2,731
Applicant Contribution Deferred Developer Fee $ 294,433
Fed Grant/Loan $
State Grant/Loan $
City Financing $
Conduit Bonding $ 6 548,000
Total Financing $ 8,629,361
Uses of Funds
Land
Building Acquisition
Construction/Renovation (attach plans & costs)
Capital Equipment
Other Capitalized Interest & Operations
Financing Costs
Cash Accounts ,Escrows & Reserves
3
$ 102.000
$ 5,338.000
$ 1,122.000
$0
$ 123.525
$ 219,760
$ 287.910
August ?001
Professional Services
Closing Costs
Tax Credit Fees
Developer Fee
Pay Down of Eduity Bridge Loan
Total Costs
$ 160,800
$ 15,120
$ 43,980
$ 974,433
$ 243,126
$ 8,629,361
Comments: Although our sources of funds shows conduit bonding in the amount of
$6,548,000, we are requesting a total of $7,000,000 in conduit bonding to provide for additional
capacity that may be needed after the lender has completed their underwriting review.
IV. PROJECT GOALS
Directions
• Industrial/Medical Facilities Applicants to complete Section 1 only.
• Housing applicants to complete Section 2 only.
• Mixed use applicant to complete both Sections 1 & 2
SECTION I :Industrial/Medical Facilities -Not Applicable
Present # of Employees Total Payroll
Job Creation
Job Title
Number
of Jobs Average
Hourly
Wage
Annual
Salary Are the Jobs
Permanent or
Temporary? Expected
Hiring
Date
Current Market Value of Property $
Estimated Market Value upon Completion
SECTION 2: Housing Developments
4 August 2001
Housing Unit Data
Type of Unit Number of Units Rent Range Percent Available to
LMI
60% Income Limit 1 0 bedroom $525 100%
16 1 bedroom $695 100%
34 2 bedroom $'780 100%
17 3 bedroom $880 100%
1 bedroom
2 bedroom
3 bedroom
1 bedroom
2 bedroom
3 bedroom
IV. PROJECT CONTACTS
Attorney
Name john Stern. Winthrop & Weinstine
Address 225 South Sixth Street, Suite 3500
Phone (612) 604-6588
Email ~sternnwinthrop.com
Accountant
Name Novogradac & Com~an~ (Rick Hutchins)
Address 246 First Street 5th Floor San Francisco CA 94105
Phone~415) 356-8008
Email rick.hutchinsnnovoco.com
Developer/Builder
Name Champlin Developer III. LLC (Ran Lunderb~)
Address 2355 Polaris Lane North. Suite 100, Plymouth, MN 55447
Phone (763) 354-5500
Email rlunderby~,dominiuminc.com
Financing Sources (lenders, partners, etc ~
Name Dougherty & Company, LLC (Frank Hogan)
Address 90 South Seventh Street, Suite 4400, Minneapolis, MN 55402
Phone~612) 376-4042
Name _
Address
August 2001
Phone
Name
Address
Phone
Name
Address
Phone
Parent Company
Name Dominium
Address 2355 Polaris Lane North, Suite 100 Plymouth MN 55447
(~ August 2001
V. ATTACHMENTS CHECK LIST
Please attach the following:
A. Written Business Plan
1. Description of Business
2. Ownership
3. Management
4. Date Established
5. Products /Services
6. Future Plans
B. Audited Financial Statements fox two years
C. Financial Projections for Two Years
D. Resume of Owner /Management
E. Personal Financial Statements of Proprietor, Partners, Guarantors
F. Letter of Commitment from the other sources of financing, stating terms and conditions
of their participation in project
G. Non -refundable deposit of $5,000
H. Admin Fee of/z of 1% of the bond request ^
I. List of references including project name, city and address
VI. AGREEMENT
I / We certify that all information provided in this application is true and correct to the best of
my/our knowledge. I / We authorize the City of Elk River to check credit references and verify
financial and other information. I / We agree to provide any additional information as may be
requested by the City.
NAME Paul R Sween
TITLE
SIGNA
ATE ~' O d
~ nu~st cool
Attachment A -Business Plan
Description oFBusiness
Elk River Leased Housing Associates III, Limited Partnership was formed for the
acquisition and rehabilitation of Dove Tree Apartments located at 1105 Lions Park Drive
in Elk River, MN. The partnership will oversee the acquisition, rehabilitation, and future
management of Dove Tree.
Ownership
The Dove Tree Apartments will be owned by Elk River Leased Housing Associates III,
Limited Partnership. This partnership is made up of a General Partner, which will own
0.01% of the partnership and an Investor Limited Partner which will own 99.99% of the
partnership. Elk River Leased Housing Associates III, LLC will be the General Partner
of the partnership. The General Partner is controlled by two individuals, David Brierton
and Paul Sween.
Mana ement
Dominium Management Services, LLC (DMS) will be responsible for the day-to-day
management of Dove Tree Apartments. DMS currently manages Dove Tree and has
been managing the property for the past 14 years. Keeping DMS in place will result in a
smooth transition following the property acquisition and during the project rehabilitation.
Dominium Management Services has been managing affordable housing for over thirty
years and is currently managing properties in 18 states across the country. DMS is a
well-established management company that has earned national recognition for
excellence from the Institute of Real Estate Management as an Accredited Management
Organization.
Date Established /Products and Services
Elk River Leased Housing Associates III, Limited Partnership was formed in April of
2010 specifically to acquire and rehabilitate the Dove Tree Apartments. Members of the
General Partner, Elk River Leased Housing Associates III, LLC, have been acquiring,
developing, and managing affordable multifamily housing for 38 years.
Future plans
Following the acquisition of Dove Tree, Elk River Leased Housing Associates III,
Limited Partnership will begin the project rehabilitation which will exceed $15,000 per
unit in construction costs. The acquisition and rehabilitation of Dove Tree will be
partially financed through the syndication of Low Income Housing Tax Credits, which
will serve to maintain the project as affordable housing for an additional 15 years.
RESOLUTION NO.
RESOLUTION RELATING TO A MULTIFAMILY HOUSING
DEVELOPMENT AND THE ISSUANCE OF REVENUE BONDS TO
FINANCE THE COSTS THEREOF UNDER MINNESOTA STATUTES,
CHAPTER 462C, AS AMENDED; GRANTING PRELIMINARY
APPROVAL THERETO; AND TAHING CERTAIN OTHER ACTIONS
WITH RESPECT THERETO
BE IT RESOLVED by the City Council of the City of Elk River, Minnesota (the "City"),
as follows:
Section 1. Recitals.
1.01 The City is a municipal corporation duly organized and existing under the
Constitution and laws of the State of Minnesota.
1.02. Pursuant to Minnesota Statutes, Chapter 462C, as amended (the "Act"), the City
is authorized to carry out the public purposes described in the Act by issuing revenue bonds to
provide funds to finance or refinance multifamily housing developments located within the City.
The Act imposes certain affordability standards on such multifamily housing developments.
1.03. As a condition to the issuance of revenue bonds pursuant to the Act, the City must
adopt a housing program providing the information required by Section 462C.03, subdivision la,
of the Act (the "Housing Program"). In addition, a public hearing must be held in accordance
with the requirements of Section 147(f) of the Internal Revenue Code of 1986, as amended (the
"Code"), and in accordance with the requirements of the Act. Under Section 146 of the Code, an
allocation of private activity bonding authority must be received from the State of Minnesota.
An application for such an allocation must be made pursuant to the requirements of Minnesota
Statutes, Chapter 474A, as amended (the "Allocation Act").
1.04. Elk River Leased Housing Associates III, Limited Partnership, a Minnesota
limited partnership, or an affiliate thereof (the "Borrower"), has proposed that the City, pursuant
to the Act, issue its revenue bonds in the approximate aggregate principal amount of $7,000,000,
in one or more series at one time or from time to time (the "Bonds"), the proceeds of which will
be loaned by the City to the Borrower to be applied by the Borrower to the acquisition and
renovation of an existing 68-unit multifamily rental housing facility located at 1105 Lions Park
Drive in the City (the "Project"). The Borrower will apply the proceeds of the loan to: (i) the
acquisition and renovation of the Project; (ii) the funding of one or more reserve funds to secure
the timely payment of the Bonds; (iii) the payment of certain interest on the Bonds during
renovation of the Project; and (iv) the payment of certain costs of issuing the Bonds.
Section 2. Preliminary Findings. Based on representations made by the Borrower to
the City to date, the City Council of the City hereby makes the following preliminary findings,
determinations, and declarations:
(a) The Project consists of a multifamily housing development, and at least forty
percent (40%) of the units in the Project will be set-aside for persons or families with sixty
percent (60%) or less of median area income, adjusted for family size.
(b) The proceeds of the Bonds will be loaned to the Borrower and the proceeds of the
loan will be applied to: (i) the acquisition and renovation of the Project; (ii) the funding of one
or more reserve funds to secure the timely payment of the Bonds; (iii) the payment of certain
interest on the Bonds during the renovation of the Project; and (iv) the payment of certain costs
of issuing the Bonds. The City will enter into a loan agreement (or other revenue agreement)
with the Borrower requiring loan repayments from the Borrower in amounts sufficient to repay
the loan when due and requiring the Borrower to pay all costs of maintaining and insuring the
Project, including taxes thereon.
(c) The Bonds will be limited obligations of the City payable solely from the
revenues pledged to the payment thereof, and will not be a general or moral obligation of the
City and will not be secured by or payable from revenues derived from any exercise of the taxing
powers of the City.
Section 3. Public Hearin . The City on the date hereof conducted a public hearing
on the Housing Program, the Project, and the issuance of the Bonds by the City, notice of which
hearing (the "Public Notice") was published in the City's official newspaper on June 12, 2010.
The Public Notice provided a general, functional description of the Project, the expected
maximum aggregate face amount of the Bonds, the identity of the Borrower, and the location of
the Project. At the public hearing reasonable opportunity was provided for interested individuals
to express their views on the Project and the proposed issuance of the Bonds.
Section 4. Housing_Program. Prior to the date hereof, Gray, Plant, Mooty, Mooty &
Bennett, P.A., as Bond Counsel, prepared and submitted the Housing Program to City staff for
review. The Housing Program is hereby approved and adopted.
Section 5. Preliminary Approval. The City Council hereby provides preliminary
approval to the issuance of the Bonds in the approximate aggregate principal amount of
$7,000,000 to finance a portion of the costs of the Project pursuant to the Housing Program of
the City, subject to: (i) a final approval following the preparation of applicable documents; and
(ii) final determination by the City Council that the financing of the Project and the issuance of
the Bonds are in the best interests of the City.
Section 6. Submission of an Application for an Allocation of Bonding Authority.
The City Council hereby authorizes the submission of an application for allocation of bonding
authority pursuant to Section 146 of the Code and the Allocation Act in accordance with the
requirements of the Allocation Act. The Mayor, City Administrator, Finance Director and
Director of Economic Development of the City, with the assistance of Bond Counsel, shall take
all actions, in cooperation with the Borrower, as are necessary to submit an application for an
allocation of bonding authority to the Minnesota Office of Management & Budget.
Section 7. Reimbursement of Costs under the Code.
The United States Department of the Treasury has promulgated regulations governing the
use of the proceeds of tax-exempt obligations, all or a portion . of which are to be used to
reimburse project expenditures paid prior to the date of issuance of such obligations. Those
regulations (Treasury Regulations, Section 1.150-2) (the "Regulations") require that the City
adopt a statement of official intent to reimburse an original expenditure not later than sixty (60)
2
days after payment of the original expenditure. The Regulations also generally require that the
obligations be issued and the reimbursement occur within eighteen (18) months after the later of
(i) the date the expenditure is paid, or (ii) the date the project is placed in service or abandoned,
but in no event more than three (3) years after the date the expenditure is paid. The Regulations
generally permit reimbursement of capital expenditures and costs of issuance. This Resolution
shall act as a declaration of the City's intent to reimburse the Borrower for expenditures made for
costs of the Project prior to the issuance of the Bonds, subject to the City Council's final
approval of the issuance of the Bonds.
Section 8. Costs. The Borrower will pay any administrative fees of the City and pay
or reimburse the City for payment of, any and all costs incurred by the City in connection with
the Project and the issuance of the Bonds, whether or not the Bonds are issued.
Section 9. Commitment Conditional. The adoption of this Resolution does not
constitute a guarantee or a firm commitment that the City will issue the Bonds as requested by
the Borrower. If, as a result of information made available to or obtained by the City during its
review of the Project, it appears that the Project or the issuance of Bonds to finance the costs
thereof is not in the public interest or is inconsistent with the purposes of the Act, the City
reserves the right to decline to give final approval to the issuance of the Bonds. The City also
retains the right, in its sole discretion, to withdraw from participation and accordingly not issue
the Bonds should the City Council, at any time prior to the issuance thereof, determine that it is
in the best interests of the City not to issue the Bonds or should the parties to the transaction be
unable to reach agreement as to the terms and conditions of any of the documents for the
transaction.
Section 10. Effective Date. This Resolution shall be in full force and effect from and
after its passage.
3
Adopted by the City Council of the City of Elk River, Minnesota, on June 28, 2010.
CITY OF ELK RIVER, MINNESOTA
Mayor
Attest:
City Administrator
Gr:zsoisz~ ~i
CITY OF ELK RIVER, MINNESOTA
PROGRAM .FOR A
MULTIFAMILY HOUSING DEVELOPMENT
Pursuant to Minnesota Statutes, Chapter 462C (the "Act"), the City of Elk River,
Minnesota (the "City") is authorized to develop and administer programs to finance the
acquisition and construction of multifamily housing developments under the circumstances and
within the limitations set forth in the Act. Minnesota Statutes, Section 46X.07 provides that
such programs for multifamily housing developments may be financed by revenue bonds issued
by the City.
The City has received a proposal that it approve a program providing for the acquisition
and substantial renovation of a 68-unit multifamily rental apartment development and facilities
functionally related and subordinate thereto (the "Project") located at 1105 Lions Park Drive in
the City, by Elk River Leased Housing Associates III, Limited Partnership, a Minnesota limited
partnership, or an affiliated entity (the "Borrower"). The acquisition and substantial renovation
of the Project is to be funded through the issuance of up to $7,000,000 in aggregate principal
amount of revenue bonds to be issued by the City, in one or more series (the "Bonds"). The
Borrower will own and operate the Project as a multifamily residential rental project with 40% of
the units set-aside for persons or families with 60% or less of median area income, adjusted for
family size. The Project will be acquired and renovated in accordance with the requirements of
Subdivisions 1 and 2 of Section 46X.05 of the Act. The unit mix and expected initial rents for
the units in the Project are as follows:
Unit Type Number of Units Initial Rent
Studio 1 $525
One Bedroom 16 $695
Two Bedroom 34 $780
Three Bedroom 17 $880
Section A. Definitions. The following terms used in this Program shall have the
following meanings, respectively:
"Act" shall mean Minnesota Statutes, Section 46X.01, et seq., as currently in effect and
as the same maybe from time to time amended.
"Bonds" shall mean the revenue bonds to be issued by the City to finance this Program.
"Borrower" shall mean Elk River Leased Housing Associates III, Limited Partnership, a
Minnesota limited partnership, and its affiliates and assigns.
"City" shall mean the City of Elk River, Minnesota.
"Code" shall mean the Internal Revenue Code of 1986, as amended.
-1-
"Housing Unit" shall mean any one of the apartment units, each located in the Project,
occupied by one person or family, and containing complete living facilities.
"Land" shall mean the real property upon which the Project is situated.
"Program" shall mean this program for the financing of the Project pursuant to the Act.
"Project" shall mean the multifamily residential rental housing development consisting of
68 total Housing Units, of which 1 is a studio unit, 16 are one-bedroom units, 34 are
two-bedroom units and 17 are three-bedroom units, to be acquired and substantially renovated by
the Borrower, together with functionally related facilities.
Section B. Program For Financing the Project. It is proposed that the City establish this
Program to provide financing for acquisition and substantial renovation of the Project at a cost
and upon such other terms and conditions as are set forth herein and as may be agreed upon in
writing between the City, the initial purchaser of the Bonds and the Borrower. The City expects
to issue the Bonds as soon as the terms of the Bonds have been agreed upon by the City, the
Borrower and the initial purchaser of the Bonds. The proceeds of the Bonds will be loaned to the
Borrower to finance the acquisition and substantial renovation of the Project, to fund required
reserves, to fund certain interest on the Bonds and to pay certain costs of issuing the Bonds.
It is anticipated that the Bonds will have a final maturity of not to exceed forty (40) years
and will bear interest at an average rate not to exceed 7.50% per annum. The Bonds will be
priced to the market at the time of issuance.
The City will hire no additional staff for the administration of the Program. Insofar as the
City will be contracting with underwriters, legal counsel, Bond Counsel, the trustee, and others,
all of whom will be reimbursed from Bond proceeds and revenues generated by the Program, no
administrative costs will be paid from the City's budget with respect to this Program. The Bonds
will not be general obligations of the City, but are to be paid only from property of the Borrower
pledged to the payment thereof, which may include additional security such as credit
enhancement.
Section C. Standards and Requirements Relating to the Financing of the Project Pursuant
to the Prog am. The following standards and requirements shall apply with respect to the
operation of the Project by the Borrower pursuant to this Program:
(1) Substantially all of the proceeds of the sale of the Bonds will be applied to
the acquisition and substantial renovation of the Project and to the funding of appropriate
reserves. The proceeds will be made available to the Borrower pursuant to the terms of
one or more revenue agreements, which will include certain covenants to be made by the
Borrower to the City regarding the use of proceeds and the character and use of the
Project.
(2) The Borrower, and any subsequent owner of the Project, will not
arbitrarily reject an application from a proposed tenant because of race, color, creed,
religion, national origin, sex, affectional preference, marital status, or status with regard
to public assistance or disability.
-2-
(3) The Project is designed to meet the affordability standards and set-aside
requirements of Section 46X.05, Subdivision 2 of the Act, as well as the requirements of
Minnesota Statutes, Chapter 474A and Section 142(d) of the Internal Revenue Code of
1986, as amended.
Subsection D. Evidence of Compliance. The City may require from the Borrower at or
before the issuance of the Bonds, evidence satisfactory to the City of the ability and intention of
the Borrower to complete the acquisition and substantial renovation of the Project, and evidence
satisfactory to the City of compliance with the standards and requirements for the making of the
financing established by the City, as set forth herein; and in connection therewith, the City or its
representatives may inspect the relevant books and records of the Borrower in order to confirm
such ability, intention and compliance. In addition, the City may periodically require
certification from either the Borrower or such other person deemed necessary concerning
compliance with various aspects of this Program.
Section E. Issuance of Bonds. To finance the Program authorized by this Section the
City may by resolution authorize, issue and sell the Bonds. The Bonds shall be issued pursuant
to Section 46X.07, Subdivision 1 of the Act, and shall be payable primarily from the revenues
of the Program. Costs of the Project are expected to be approximately $8,700,000.
The costs of the Project may change between the date of preparation of this Program and
the date of issuance of the Bonds. The Bonds are expected to be issued within six (6) months
following the adoption of this Program.
Subsection F. Severability. The provisions of this Program are severable and if any of its
provisions, sentences, clauses or paragraphs shall be held unconstitutional, contrary to statute,
exceeding the authority of the City or otherwise illegal or inoperative by any court of competent
jurisdiction, the decision of such court shall not affect or impair any of the remaining provisions.
Subsection G. Amendment. The City shall not amend this Program, while the Bonds
authorized hereby are outstanding, to the detriment of the holders of such Bonds.
Subsection H. State Ceiling. Up to $7,000,000 of the state ceiling for private activity
Bonds, pursuant to Section 146 of the Internal Revenue Code of 1986, as amended, and Chapter
474A of Minnesota Statutes, will be used with respect to the Bonds.
Adopted: June 28, 2010.
Gr:asoao~s ~i
-3-
. ..
DOVE TREE
Office Hours
Mon -Wed -Fri: gam-5pm
Tues - Thurs: gam-7pm
Sat: By appt. only
1105 Lions Park Dr
Elk River, MN 55330
763.241.0495
DoveTree@newhome1.com
Dove Tree is located in the heart of Elk River, within one mile of a wide variety of restaurant and retailers.
Our award winning apartment community offers clean, well maintained studio, one, two and three
bedroom apartment homes at affordable prices.
As a Dove Tree resident, you will appreciate the dedication of our professional apartment management
team, the convenience of entertaining in our charming community room, and the ability to enjoy Lions
Park right next door with biking trails, walking trails, and playgrounds. Call today for a personal tour of
your new apartment and see for yourself!
~ ati~Facts
' Re earth LLG
Community Features _ _ _
• Centrally located laundry facili
• Clubroom including a kitchenette and plenty of
tables and chairs
• Attached heated garages available - $45/month
• Detached garages available - $55/month
• Ample off-street open parking
• Public transportation provided by river rider
• Cat friendly community
• Handicapped accessible (select units)
• Utilities included: heat, water, sewer and trash
services
• Standard Dominium comfort package
pen kitchens
• Ample counter top and cabinet space
• Standard electric kitchen appliances included
• Dishwasher
• Adjoining dining room and living room area
• Entry way coat closet
• In-home air conditioning unit
• Private balconies and large patios -many with
brilliant views!
• High speed cable and Internet ready
• Contemporary window covering provided
• Walk-in closets
• Unique floor plans -designed with you in
mind!Master suite walk-in closet
* Included in select apartment homes
1 Bedroom Apartments from $676
2 Bedroom Apartments from $780
3 Bedroom Apartments from. $915
DOVE TREE
Map/Directions
~n
1105 Lions Park Dr
Elk River, MN 55330
763.241.0495
DoveTree@newhome1.com
Office Hours
Mon -Wed -Fri: gam-5pm
Tues - Thurs: gam-7pm
Sat: By appt. only
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