8.6. SR 05-20-2013 City of
Elk REQUEST FOR ACTION
River
TO ITEM NUMBER
Mayor and City Council 8.6
AGENDA SECTION MEETING DATE PREPARED BY
General Business May 20, 2013 Clay Wilfahrt,Assistant Director of
Economic Development
ITEM DESCRIPTION REVIEWED By
Workforce Housing Concept Support Jeremy Barnhart,Deputy Director,
CODD
REVIEWED BY
Cal Portner, City Administrator
ACTION REQUESTED
Receive Workforce housing concept and provide staff and developer direction for construction.
BACKGROUND/DISCUSSION
In May 2012, the Council approved changes to the Planned Unit Development Agreement,allowing the
construction of a similar project. John Duffy would like to construct a new 53-unit rent and income
restricted apartment building directly east of the Northstar Station parking lot. The building would be the
same size and architecture of The Depot Apartments that were constructed in 2011.
The 2012 housing study indicated a demand for 90 more units of affordable housing by 2017. Mr. Duffy's
proposed development qualifies as affordable housing as cited by the study.
To construct the project,Mr. Duffy intends to apply for Low Income Housing Tax Credits. Tax credit
application requires a substantial time and money investment. Before moving forward,Mr. Duffy wants to
ensure that the City Council supports the construction of additional affordable workforce housing.
The tax credit application is a competitive process with a great demand for tax credits. The Council's
affirmation of support based upon documented housing needs,previous zoning approval, and positive
relationship with the developer would enhance the project's position with regard to tax credit consideration
through the Minnesota Housing Finance Administration.
The final project approval will continue to remain subject the city's review process.
FINANCIAL IMPACT
N/A
ATTACHMENTS
None
POWERED BY
NaA f RE]