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6.2 HRSR 10-07-2013
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6.2 HRSR 10-07-2013
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10/4/2013 2:51:22 PM
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City Government
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HRSR
date
10/7/2013
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Springsted Incorporated <br /> 380 Jackson Street, Suite 300 <br /> "7,1 Saint Paul,MN 55101-2887 <br /> 7. tits Springsted Tel: 651-223-3000 <br /> Fax: 651-223-3002 <br /> www.springsted.com <br /> DRAFT MEMORANDUM <br /> TO: Members of the Housing and Redevelopment Authority of the City of Elk River <br /> Brian Beeman, Economic Development Director <br /> FROM: Mikaela Huot,Vice President <br /> Tom Denaway,Analyst <br /> DATE: October 4, 2013 <br /> SUBJECT: Tax Increment Financing Application Review Worksheet <br /> The City of Elk River has asked Springsted to evaluate the tax increment financing (TIF)request submitted by Senior <br /> 30 Elk River Limited Partnership (the developer) for the proposed development of a senior housing rental project <br /> consisting of approximately 84 one-level townhome units. The City's Tax Increment Financing Policy also requires <br /> that the Tax Increment Financing Application Review Worksheet be completed to evaluate the project and ensure it <br /> meets the criteria of the City's policy. <br /> The application for Tax Increment Financing proposes the development of a senior living townhome community. The <br /> Developer is proposing to construct an 84-unit townhome development, containing 49 one-bedroom units, 35 two- <br /> bedroom units, and a clubhouse activity center. Additionally, each unit will include an attached garage. The <br /> development is proposed for persons of low and moderate income;which will result in income limitations for potential <br /> residents and reduced rental rates. The Developer will be undertaking both the construction and operation of the <br /> proposed development. <br /> Attached to this memo are the results of Springsted's review based on information provided by the Developer and the <br /> City's existing Tax Increment Financing Policy and Application. It should be noted the Application Review Worksheet <br /> includes questions focuses more on commercial/industrial development with job creation goals than affordable <br /> housing. However one of the objectives of the City's Tax Increment Financing Policy as listed on page 3 of the <br /> application is to create opportunities for affordable housing. Our initial review of the project and completion of the <br /> worksheet would rank this project as moderate based on a high, moderate, low and not eligible scale. <br /> Public Sector Advisors <br />
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