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7.2 HRSR 01-04-2016
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7.2 HRSR 01-04-2016
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12/23/2015 9:58:04 AM
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12/23/2015 9:56:55 AM
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City Government
type
HRSR
date
1/4/2016
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payable primarily from a dedicated source of revenue, or other security subject to review <br /> and approval by the HRA commission. <br /> 2. The term of the loan may not exceed 5 years; <br /> 3. The loan shall bear interest at a rate equal to two percent,but interest will not accrue <br /> during the first two years of the loan term. <br /> 4. The property owner shall make monthly payments beginning in the third year of the loan <br /> until the end of the term; <br /> 5. The principal amount of a loan may not exceed $75,000; <br /> 6. Loan proceeds shall be disbursed for eligible demolition costs as incurred or paid by the <br /> borrower and upon submission of invoices and other supporting documentation <br /> satisfactory to the commission; <br /> FORGIVENESS: The HRA may forgive the principal of the loan and interest accrued but <br /> unpaid thereon, if any,up to 50 percent of the original loan amount,not to exceed the costs <br /> of demolition,upon completion of the project is eligible after 5 years of maintaining the <br /> property as an owner occupied dwelling. The applicant must submit a formal request for loan <br /> forgiveness to the HRA. <br /> REQUIRED APPRAISALS OR ASSESSMENTS: Land appraisals of the current(as-is) <br /> and expected(pre-construction) value of the site are required so that the HRA can determine <br /> the fair market value and any business subsidy. Both appraisals must be done by an <br /> independent appraiser using accepted appraisal methodology. In lieu of an appraisal, the <br /> applicant may use the current and projected assessed values as determined by the local <br /> assessor. Values cannot be determined in any other manner. The value of the property after <br /> the proposed development is completed is also requested. <br /> 3 <br />
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