4.5 HRSR 06-01-2015 - Laserfiche WebLink

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Elk River Request for Action To Item Number Housing and Redevelopment Authority 4.5 Agenda Section Meeting Date Prepared by Consent Agenda Amanda Othoudt, EDD Item Description Reviewed by Neighborhood Stabilization Program Satisfaction of Cal Portner, City Administrator Repayment Agreements. Reviewed by Action Requested Approve, by motion, the satisfaction of repayment agreements. Background /Discussion In February 2009, the HRA was awarded $593,820 in foreclosure recovery funds through the Minnesota Housing Finance Agency (MHFA) for the Neighborhood Stabilization Program (NSP). The NSP funding award was approved for the following neighborhoods; Windsor Oaks, Trout Brook, Park Pointe, and Elk River Station. The grant money was utilized for down payment assistance, purchase, and rehabilitation of abandoned /foreclosed homes. The assistance provided to the homeowner through the NSP was considered a "special mortgage" although there are no monthly payments due or accrued interest. If the real property is owned for five years, the city agrees to forgive the full amount of the loan and issue the owner a written notice of satisfaction terminating the lien created by the agreement. Upon further research, eleven properties participated in the program. The following properties with mortgage and repayment agreements through the NSP program have satisfied the requirements. • 18667 Trott Brook Parkway NW, Elk River, MN • 17177 Monroe Street NW, Elk River, MN • 17185 Nixon Court NW, Elk River, MN • 10488 172nd Lane NW, Elk River, MN • 17169 Polk Drive NW, Elk River, MN • 10908 181" Lane NW, Elk River, MN Four of the eleven properties will be satisfying the mortgage and repayment agreements in the near future and will be brought to the HRA for approval following their forgiveness date. Financial Impact N/A p 0 W E R I U 0 MfI RE