Eastside Green II Apartments

8/6/2019 Eastside Green II Apartments

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Is project in Qualified Census Tract or Difficult to Develop Area?

New Construction/Adaptive Reuse:

Is this project a follow-on (Phase II, etc) to a previously-awarded tax credit development project?

If yes, list names of previous phase(s):If yes, list names of previous phase(s):

Will the project meet Energy Star standards as defined in Appendix B?

Does a community revitalization plan exist?

Target Population: Family

Will the project be receiving project based federal rental assistance?

If yes, provide the subsidy source:If yes, provide the subsidy source: and number of units:and number of units:

Indicate below any additional targeting for special populations proposed for this project:

Print Preview - Full Application

Tax Credits, RPP Loans, and/or Tax Exempt Bond Loans

Project Description

Project Name: Eastside Green II Apartments

Address: Duggins Way

City: Fayetteville County: Cumberland Zip: 28312

Census Tract: 14 Block Group: 2-2029

No

Political Jurisdiction: CIty of Fayetteville

Jurisdiction CEO Name: First: Last:Anthony Chavonne Title: MayorJurisdiction Address: 433 Hay Street

Jurisdiction City: Fayetteville Zip: 28301

Jurisdiction Phone: (910)433-1992

Site Latitude: 35.0364

Site Longitude: -78.8464

Project Type: New Construction

Yes

Eastside Green Apartments

Rehab:

Is this project a previously awarded tax credit development?

If yes, what year were credits awarded?:

Number of residents holding Section 8 vouchers:

Yes

Yes

Will the project use steel and concrete construction and have at least 4 stories? No

Will the project include a Community Service Facility under IRS Revenue Ruling 2003-77? No

If yes, please describe:

No

Mobility impaired handicapped: 5% of units comply with QAP Section IV(F)(3) (in addition to the units required by other federal andstate codes.)


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Number of Units: 3

Persons with disabilities or homeless populations: the greater of 5 units or 10% of the total units.

Number of Units: 5

Remarks:


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Indicate below an individual or a validly existing entity (a corporation, nonprofit, limited partnership or LLC) as the official applicant. UnderQAP Section III(C)(5) only this individual or entity will be able to make decisions with regard to this application. If awarded the applicantmust become part of the ownership entity. The applicant will execute the signature page for this application.

Applicant Information

Applicant Name: United Developers, Inc.

Address: P.O. Drawer 42208

City: State: NC Zip:Fayetteville 28309

Contact: First: Last: Title:Murray Duggins

Telephone: (910)485-6600

Alt Phone: (910)485-6600

Fax: (910)483-4274

Email Address: [email protected]

NOTE: Email Address above will be used for communication between NCHFA and Applicant.


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Total Site Acreage: Total Buildable Acreage:

If buildable acreage is less than total acreage, please explain:

Identify utilities and services currently available (and with adequate capacity) for this site:

Storm Sewer Water Sanitary Sewer Electric

Is the demolition of any buildings required or planned?

If yes, please describe:

Are existing buildings on the site currently occupied?

If yes:(a) Briefly describe the situation:

(b) Will tenant displacement be temporary?

(c) Will tenant displacement be permanent?

Is the site directly accessed by an existing, paved, publicly maintained road?

If no, please explain:

Is any portion of the site located inside the 100 year floodplain?If yes:(a) Describe placement of project buildings in relation to this area:

(b) Describe flood mitigation if the project will have improvements within the 100 year floodplain:

Site Description

4.54 4.00

Wetland issues along east and west property lines.

No

No

Yes

Yes

Buildings will be placed outside of the floodplain area.


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Does the owner have fee simple ownership of the property (site/buildings)?

If yes provide:

Purchase Date: Purchase Price:

If no:

Site Control

No

(a) Does the owner/principal or ownership entity have valid option/contract to purchase the property? Yes

(b) Does an identity of interest (direct or indirect) exist between the owner/principal or ownership entity with the option/contract for

purchase of the property and the seller of the property?If yes, specify the relationship:

No

(c) Enter the current expiration date of the option/contract to purchase: 11/30/2007

(D) Enter Purchase Price: 118,000


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Present zoning classification of the site:

Is multifamily use permitted?

Are variances, special or conditional use permits or any other item requiring a public hearing needed to develop this proposal?

If yes, have the hearings been completed and permits been obtained?If yes, specify permit or variance required and date obtained. If no, describe permits/variances required and schedule for obtainingthem:

Are there any existing conditions of historical significance located on the project site that will require State Historic Preservation office

review?

If yes, describe below:

Are there any existing conditions of environmental significance located on the project site?

If yes, describe below:

Zoning

R6 Residential

Yes

No

No

No


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EMail: [email protected] Nonprofit: No


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Notes

** Please refer to the Income Limits and Maximum Housing Expense Table to ensure that Total Monthly Tenant Expenses for lowincome units are within established thresholds.


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Specify Low Income Unit Targeting in table below. List each applicable targeting combination in a separate row below. Click [Add] tocreate another row. Click "X" (at the left of each row) to delete a row. Add as many rows as needed.

Total Low Income Units:

Note: This number should match the total number of low income units in the Unit Mix section.

Targeting

# BRs Units %

2 5 targeted at 40 percent of median income affordable to/occupied by






48


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Estimated pricing on sale of Federal Tax Credits: $0.

Remarks concerning project funding sources:(Please be sure to include the name of the funding source(s))

Funding Sources

Source AmountNon-

Amortizing*Rate(%)

Term(Years)

Amort.Period(Years)

AnnualDebt

Service

Bank Loan

RPP Loan 400,000 2.00 20 30 17,741

Local Gov. Loan - Specify:City of Fayetteville

300,000 2.00 20 20 18,211

RD 515 Loan

RD 538 Loan - Specify:

AHP Loan

Other Loan 1 - Specify:



Tax Exempt Bonds

State Tax Credit(Loan) 800,000 0 30 30 0

State Tax Credit(Direct Refund)

Equity: Federal LIHTC 2,850,000

Non-Repayable Grant

Equity: Historic Tax Credits

Deferred Developer Fees

Owner Investment

Other - Specify:

Total Sources** 4,350,000

* "Non-amortizing" indicates that the loan does not have a fixed annual debt service. For these items, you must fill in 20-year debtservice below.

** Total Sources must equal total replacement cost in Project Development Cost (PDC) section.

90


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Comments:

SUBTOTAL (lines 38 through 45) 511,000

46 Rent up Reserve 44,000

47 Operating Reserve 104,000

48 Other Reserve (specify)

49 Other Reserve (specify)

50 DEVELOPMENT COST (lines 1-49) 4,232,000 0 4,026,600

51 Less Federal Financing52 Less Disproportionate Standard

53 Less Nonqualified Nonrecourse Financing

54 Less Historic Tax Credit (residential) 0

55 TOTAL ELIGIBLE BASIS 4,026,600 0 4,026,600

56 Applicable Fraction (percentage of LI Units) 100.00% 100% 100%

57 Basis Before Boost 4,026,600 0 4,026,600

58 Boost for QCT/DDA (if applicable, enter 130%) 100.00% 100.00%

59 TOTAL QUALIFIED BASIS 4,026,600 0 4,026,600

60 Tax Credit Rate 3.45 8.05

61 Federal Tax Credits at Estimated Rate 324,141 0 324,141

62 Federal Tax Credits at 8.5% or 3.75% 342,261 0 342,261

63 Max Federal Tax Credits (With Energy Star - Lesser of $8,500 per unit or$800,000, w/o - Lesser of $8,000 per unit or $800,000) 408,000

64 Federal Tax Credits Requested 0

65 Land Cost 118,000

66 TOTAL REPLACEMENT COST 4,350,000

FEDERAL TAX CREDITS IF AWARDED 342,261

Total Replacement Cost per unit: 85,031

Federal Tax Credits (line 62) per unit: 7,130


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Site Amenities:

Onsite Activities:

Landscaping Plans:

Interior Apartment Amenities:

Do you plan to submit additional market data (market study, etc.) that you want considered?

If yes, please make sure to include the additional information in your pre-application packet.

Bunce Green ApartmentsDistinct CircleFayetteville, NC

Riverview Green ApartmentsRiverview CourtRoanoke Rapids, NC

Eastside Green Apartments

715 Duggins WayFayetteville, NC

Legion Crossing ApartmentsIreland DriveHope Mills, NC

Tokay Green ApartmentsUnited DriveFayetteville, NC

Palmer Green II ApartmentsWest Palmer AvenueRaeford, NC

Blanton Green III Apartments1024 Lauren McNeill Loop

Fayetteville, NC(under construction)

The site will include a playground area, covered picnic area, sitting areas, tot lot, gazebo, andcovered patio with seating.Eastside Green Phase II will share a resident computer center with Eastside Green I. The existingcommunity building will be increased by 350 square feet to add to the meeting room and laundryroom areas.

Support Service Coordinator on-site.

Above Average landscaping with irrigation system.

Apartments will be furnished with a range with hood, disposal, refrigerator (frost free), dishwasher,storage, W/D hookups, mini-blinds, pantry, ceiling fans, carpet, vinyl, VCT, and central heat and air.The living rooms will be equipped with data connection ports.

No


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Briefly describe your site in each of the following categories:

For each applicable neighborhood feature, enter distance from project in miles.

Applicant's Site Evaluation

NEIGHBORHOOD CHARACTERISTICS

Trend and direction of real estate development and area economic health. Physical condition ofbuildings and improvements. Concentration of affordable housing.Presently, the neigborhood is a mix of well maintained homes and businesses and those in need ofrepairs. The area surrounding the site appears to be growing as evidenced by the new shoppingcenter located directly at the site.

Phase I is the only affordable housing complex in the area.

SURROUNDING LAND USES AND AMENITIES

Suitability of surrounding development. Land use pattern is residential in character (single andmultifamily housing) with a balance of other uses (particularly retail and amenities). Effect ofindustrial, large-scale institutional or other incompatible uses, including but not limited to: wastewatertreatment facilities, high traffic corridors, junkyards, prisons, landfills, large swamps, distributionfacilities, frequently used railroad tracks, power transmission lines and towers, factories or similar

operations, sources of excessive noise, and sites with environmental concerns (such as odors orpollution). Amount and character of vacant, undeveloped land.The homes surrounding the site are primarily single family residences. Phase II will be locatedadjacent to the Phase I site. The commercial properties are limited to retail and professional offices.The vacant land is wooded and undeveloped.

SITE SUITABILITY

Adequate traffic controls (stop lights, speed limits, turn lanes, etc.). Burden on public facilities(particularly roads). Access to mass transit (if applicable). Visibility of buildings and/or location ofproject sign(s) in relation to traffic corridors.Cedar Creek Road is a wide four lane road with adequate traffic controls. The Fayetteville AreaSystem of Transit has a bus stop located in the parking lot of the shopping center directly in front ofthe Dollar General store.

Degree of on-site negative features and physical barriers that will impede project construction oradversely affect future tenants; for example: power transmission lines and towers, flood hazards,

steep slopes, large boulders, ravines, year-round streams, wetlands, and other similar features (foradaptive re-use projects- suitability for residential use and difficulties posed by the building(s), suchas limited parking, environmental problems or the need for excessive demolition).The site is wooded and is zoned for residential development.There are very small areas of wetlands that border the site but do not present any problems with thelayout of the buildings. There are no environmental concerns at the site.

Similarity of scale and aesthetics/architecture between project and surroundings.As with Eastside Phase I, the design, layout, and construction of this project will be an asset to thecommunity.

Grocery Store0 Community/Senior Center.9

Mall/Strip Center0 Hospital3.5

Outdoor Athletic Fields2.1 Pharmacy.0


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Other facilities or services:

Day Care/After School.5 Basic Health Care.0

Schools2.1 Medical Offices.0

Public Transportation Stop.0 Bank/Credit Union1.5

Convenience Store.2 Restaurants.0

Basketball/Tennis Courts2.1 Professional Services.0

Public Parks2.3 Movie Theater2.9

Gas Station.2 Video Rental.0

Library2.2 Public Safety (Fire/Police).3

Fitness/Nature Trails2 Post Office.3

Public Swimming Pools

(.0) Cedar Creek Shopping Center is located directly at the site, and contains a grocery store, videostore, restaurants, and a public transportation stop.


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Project Operations (Year One)

Projected Operating Costs

Administrative Expenses

Advertising 2,000

Office Salaries 5,000

Office Supplies 2,000

Office or Model Apartment Rent

Management Fee 23,000

Manager or Superintendent Salaries 9,000

Manager or Superintendent Rent Free Unit

Legal Expenses (Project) 2,500

Auditing Expenses (Project) 4,000

Bookkeeping Fees/Accounting Services

Telephone and Answering Service 2,000

Bad Debts

Other Administrative Expenses (specify):

SUBTOTAL 49,500

Utilities Expense

Fuel Oil

Electricity (Light and Misc. Power) 4,000

Water 3,000

Gas

Sewer 3,000

SUBTOTAL 10,000

Operating and Maintenance Expenses

Janitor and Cleaning Payroll 2,700

Janitor and Cleaning Supplies 2,000

Janitor and Cleaning Contract

Exterminating Payroll/Contract 3,000

Exterminating SuppliesGarbage and Trash Removal 6,000

Security Payroll/Contract 1,500

Grounds Payroll 10,000

Grounds Supplies 2,000

Grounds Contract

Repairs Payroll 5,000

Repairs Material 4,000

Repairs Contract

Elevator Maintenance/Contract

Heating/Cooling Repairs and Maintenance 5,000

Swimming Pool Maintenance/Contract

Snow RemovalDecorating Payroll/Contract

Decorating Supplies 1,200

Other (specify):

Miscellaneous Operating & Maintenance Expenses

SUBTOTAL 42,400

Taxes and Insurance

Real Estate Taxes 27,000

Payroll Taxes (FICA) 3,000


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Miscellaneous Taxes, Licenses and Permits 200

Property and Liability Insurance (Hazard) 18,000

Fidelity Bond Insurance

Workmen's Compensation 1,000

Health Insurance and Other Employee Benefits 700

Other Insurance:

SUBTOTAL 49,900Supportive Service Expenses

Service Coordinator 6,000

Service Supplies

Tenant Association Funds

Other Expenses (specify):

SUBTOTAL 6,000

Reserves

Replacement Reserves 12,000

SUBTOTAL 12,000

TOTAL OPERATING EXPENSES 169,800

ADJUSTED TOTAL OPERATING EXPENSES(Does not include taxes, reserves and resident support services) * 124,800

TOTAL UNITS(from total units in the Unit Mix section)

48

PER UNIT PER YEAR 2,600


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MINIMUM REQUIRED SET ASIDES (No Points Awarded):

Minimum Set-Asides

Select one of the following two options:

20% of the units are rent restricted and occupied by households with incomes at or below 50% of the median income (Note: NoTax Credit Eligible Units in the the project can exceed 50% of median income)

40% of the units are rent restricted and occupied by households with incomes at or below 60% of the median income (Note: NoTax Credit Eligible Units in the the project can exceed 60% of median income)

If requesting RPP funds:

40% of the units are occupied by households with incomes at or below 50% of median income.

State Tax Credit and QAP Targeting Points:

Moderate Income County:

At least twenty-five percent (25%) of qualified units will be affordable to and occupied by households with incomes at or below fortypercent (40%) of county median income.

At least fifty percent (50%) of qualified units will be affordable to households with incomes at or below fifty percent (50%) of countymedian income.

At least fifty percent (50%) of qualified units will be affordable to and occupied by households with incomes at or below fifty percent(50%) of county median income.

Tax Exempt Bonds

Threshold requirement (select one):

At least ten percent (10%) of qualified units will be affordable to and occupied by households with incomes at or below fifty percent(50%) of county median income.

At least five percent (5%) of qualified units will be affordable to and occupied by households with incomes at or below forty percent(40%) of county median income.

Eligible for targeting points (select one):

At least twenty percent (20%) of qualified units will be affordable to and occupied by households with incomes at or below fiftypercent (50%) of county median income.

At least ten percent(10%) of qualified units will be affordable to and occupied by households with incomes at or below forty percent(40%) of county median income.


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PLEASE indicate which of the following exhibits are attached to your application. Others may be required as noted.

Full Application Checklist

A Nonprofit Organization Documentation or For-profit Corporation Documentation

B Current Financial Statements/Principals and Owners (signed copies)

C Ownership Entity Agreement, Development Agreement or any other agreements governing development services

D Management Agent Agreement

E Owner and Management Experience & Management Questionnaire (Appendix C)

F Letters from State Housing Agencies or designated monitoring agent verifying out of state experience

G Completed IRS Form 8821 (Appendix I)

H Local Government Letter or Letter from Certified Engineer or Land Surveyor Confirming Floodplain Designation with Mapshowing all flood zones (original on letterhead, no fax or photocopies)

I Local Government Letter Confirming Zoning including any pending notices or hearings (original on letterhead, no fax orphotocopies)

J Letters from Local Utility Providers regarding availability and capacity (original on letterhead, no fax or photocopies)

K Documentation from utility company or local PHA to support estimated utility costs

L Appraisal (required for land costs greater than $15,000 and for all Adaptive Re-use and Rehab projects)

M Site plan, floor plans and elevations for all projects. Scope of work for Adaptive Re-use and Rehab projects. (Full Size, 24 x36 inches)

N Hazard and structural inspection and termite reports (Adaptive Re-use and Rehab projects only)

O Copy of certificate of occupancy or proof of placed-in-service date (Rehabs Only)

P Proposed Relocation Plan including relocation budget and copies of notices. Required for all Rehabs and any projectsinvolving existing occupants of any dwellings to be rehabbed or demolished.

Q Evidence of Permanent Loan Commitment and other sources of funds ( i.e. Equity letter, AHP, RD and local governmentfunds). For Rehabs with existing loans provide 1) copies of loan documents, 2) current loan balances from existing lenderswith reserve balances, 3) letter from lender that outlines assumption requirements.

R Local Housing Authority Agreement and Project Based Rental Assistance Letter, if applicable (Sample letters provided inAppendix I). For projects with existing PBRA contracts, provide a copy of the current contract and bank statement or otherdocumentation verifying reserve balances and annual reserve contribution requirements.

S Statement regarding terms of Deferred Developer Fee. If a nonprofit is involved, a resolution from their board approvingdeferral of fee is required.

T Inducement Resolution (Tax-Exempt Bond Financed Projects only)

Documents

Eastside Green II Apartments