Item I3
LAND AUTHORITY GOVERNING BOARD
AGENDA ITEM SUMMARY
Meeting Date: November 18. 2009
Division: Land Authoritv
Bulk Item: Yes No...x..
Contact / Phone #: Mark Rosch / 295-5180
Agenda Item Wording: Approval of a resolution authorizing amendments to the mortgage loan and
affordable housing deed restrictions for the Roosevelt Sands Housing Complex in Key West.
Item Background: The subject property is a 44-unit rental affordable housing complex located at 105
Truman Avenue in Key West owned by the Key West Housing Authority. To fund KWHA's purchase of
the site, the Land Authority issued a $1,500,000 mortgage loan in 2001.
KWHA proposes to demolish and rebuild this 70-year-old housing complex. Initially KWHA planned to
fund this reconstruction project with a $3,750,000 institutional mortgage loan and $5,000,000 mortgage
loan from the Florida Housing Finance Corporation's Community Workforce Housing Innovative Pilot
(CWHIP) program. The Land Authority adopted Resolutions 01-2008 and 02-2009 in support of this
previous financing plan.
Due to lower construction costs and the availability of a $2,933,000 Disaster Recovery grant from the
US Department of Housing and Urban Development, KWHA now proposes to finance the project with
considerably less debt consisting of a $2,900,000 institutional mortgage loan. To meet the lender's
requirements and to enhance the project's financial feasibility, KWHA requests approval of the subject
resolution to amend and subordinate both the deed restrictions and the mortgage held by the Land
Authority. Section 1 of the resolution lists the amendment and subordination actions, which include
exempting the lender from affordability restrictions in the event of a foreclosure.
Advisory Committee Action: On October 27,2009 the Committee voted 5/0 to approve this item.
Previous Governing Board Action: In 2001 the Board approved issuing a $1,500,000 mortgage loan
to KWHA for site acquisition. In 2008 and 2009 the Board approved Resolutions 01-2008 and 02-2009
to support the previous financing plan for reconstruction.
Contract/Agreement Changes: Amend and subordinate deed restrictions and mortgage per Section
1 of the resolution.
Staff Recommendation: Approval.
Total Cost: $ 750.00
Indirect Cost: $
Budgeted: Yes ~ No
Cost to Land Authority: $ 750.00
Source of Funds: Land Authoritv
(Tourist Impact Tax and State Park Surcharge)
Approved By: Attorney ~ County Land Steward _'
Documentation: Included: ~
To Follow:
Not Required:
Disposition:
Agenda Item
RESOLUTION NO.
A RESOLUTION OF THE MONROE COUNTY
COMPREHENSIVE PLAN LAND AUTHORITY AUTHORIZING
AMENDMENTS TO THE MORTGAGE LOAN AND DEED
RESTRICTIONS FOR THE ROOSEVELT SANDS HOUSING
COM PLEX.
WHEREAS, section 380.0666(3), Florida Statutes and section 2-396, Monroe County Code,
empower the Monroe County Comprehensive Plan Land Authority (hereinafter "Land Authority")
to acquire and dispose of interests in real property for the purpose of providing affordable
housing; and
WHEREAS, in 2001 the Land Authority issued a 30-year, zero interest mortgage loan in the
amount of $1,500,000 to the Key West Housing Authority (hereinafter "KWHA") to fund the
purchase of the 44-unit affordable housing site known as the Roosevelt Sands Housing
Complex (hereinafter "subject property") located at 105 Truman Avenue in Key West; and
WHEREAS, KWHA desires to demolish and rebuild the housing on the subject property; and
WHEREAS, KWHA originally planned to finance the project by obtaining a $5,000,000 mortgage
loan from the Florida Housing Finance Corporation's Community Workforce Housing Innovative
Pilot (CWHIP) program together with a mortgage loan from an institutional lender of
approximately $3,750,000; and
WHEREAS, the Land Authority adopted Resolutions 01-2008 and 02-2009 in support of
KWHA's CWHIP application; and
WHEREAS, based on the construction bids KWHA received, CWHIP financing is no longer
necessary, Land Authority Resolutions 01-2008 and 02-2009 are no longer applicable, and
KWHA plans to finance the project with a single institutional mortgage loan in the amount of
$2,900,000 together with a HUD 2005 Disaster Recovery Wilma Grant Award in the amount of
$2,933,000; and
WHEREAS, in order to meet the lender's requirements and to enhance the project's financial
feasibility, KWHA requests the Land Authority's approval to amend the existing mortgage loan
and deed restrictions encumbering the subject property's title; and
WHEREAS, the Land Authority Advisory Committee considered this resolution on October 27,
2009 and voted 5/0 to recommend approval; NOW, THEREFORE,
BE IT RESOLVED BY THE MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY:
Section 1. The Chairman of the Land Authority Governing Board is hereby authorized to
execute the necessary documents to:
a) restructure the restrictions on the warranty deed recorded in Official Records Book 1697 at
Page 2074 so they run in favor of the Land Authority but not in favor of Key Plaza
Apartments-II Ltd; and
b) modify said restrictions to implement the revisions shown in Attachment A; and
Page 1 of 2
c) subordinate said restrictions to an institutional first mortgage in an amount not to exceed
$2,900,000; and
d) subordinate the Land Authority's $1,500,000 mortgage loan recorded in Official Records
Book 1697 at Page 2076 to an institutional first mortgage in an amount not to exceed
$2,900,000; and
e) modify the restrictions on said Land Authority mortgage loan to implement the revisions
shown in Attachment B; and
f) extend the term of said Land Authority mortgage loan from the existing 30-year term that
commenced in 2001 to a term of 25 years commencing from the date of the institutional
first mortgage.
PASSED AND ADOPTED by the Monroe County Comprehensive Plan Land Authority at a
regular meeting on this day of 2009.
(Seal)
ATTEST:
MONROE COUNTY COMPREHENSIVE
PLAN LAND AUTHORITY
Mark J. Rosch
Executive Director
Kim Wigington
Chairman
Approved for Legal Sufficiency
Larry R. Erskine
Page 2 of 2
ATTACHMENT A
Revisions to Restrictions Attached to the Warranty Deed Recorded
in Official Records Book 1697 at Page 2074
Roosevelt Sands Housing Complex
THIS DEED IS MADE AND IS TO BE ACCEPTED WITH THE UNDERSTANDING THAT USE
OF THE PROPERTY CONVEYED IS RESTRICTED BY THE FOllOWING:
THE PROPERTY SHAll BE DEVELOPED WITH AFFORDABLE HOUSING FOR VERY lOW,
lOW, OR MODER^TE INCOME PERSONS ^S DEFINED IN SECTION '120.000'1 ill
ACCORDANCE WITH SECTION 380.0666(3), FLORIDA STATUTES, CONSISTENT WITH
THE FOllOWING POLICIES OF THE KEY WEST HOUSING AUTHORITY:
1. Income targeting shall be 80% of median adjusted for family size. Income targeting may
increase to 120% to maintain occupancy level and financial feasibility but not to exceed 40%
of project units. Income tarQetinQ for workforce housinQ units may increase to 150% of
median but may not exceed 20% of the proiect units.
2. Rental rates shall be calculated usinQ the same methodoloQY as the low income housing tax
credit program as adjusted annually.
3. The compliance requirements shall be the same of the low Income Housing Tax Credit
(L1HTC) Program as contained in the Florida Housing Finance Corporation (FHFC)
Compliance Manual and shall be the responsibility of the developer to insure compliance
annually.
4. The program requirements for the L1HTC, Mortgage Revenue Bond (MRB), State Apartment
Incentive loan (SAil), and HOME programs when competitively obtained require lower
income targeting (rents), which take precedence when utilized.
5. The US Department of Housing and Urban Development occupancy requirements (family
composition) shall be adhered to, as they pertain to maximum occupancy only.
The above restrictions shall not expire and may only be released by the Monroe County
Comprehensive Plan land Authority.
These restrictions are for the benefit of the present O'A'ner and its successors and assigns and
may be enforced by them in every I a'Nfu I manner.
ATTACHMENT B
Revisions to Restrictions Attached to the Mortgage Deed Recorded
in Official Records Book 1697 at Page 2076
Roosevelt Sands Housing Complex
In reference to the Mortgage Deed dated the 21st day of May, 2001, between the
HOUSING AUTHORITY OF THE CITY OF KEY WEST, FLORIDA, A PUBLIC BODY
CORPORATE AND POLITIC, Mortgagor, and MONROE COUNTY COMPREHENSIVE PLAN
LAND AUTHORITY, A LAND AUTHORITY UNDER SECTION 380.0663(1), FLORIDA
STATUTES AND MONROE COUNTY ORDINANCE NO. 031-1986, the Mortgagee, the parties
further covenant and agree as follows:
1. Mortgagor's use of the property shall be limited to the provision of affordable housing
to very low income, low income, or moderate income persons, as defined in 5/120.000'1 in
accordance with section 380.0666(3), Florida Statutes.
2. Mortgagor is responsible for developing and managing the property as affordable
housing and ensuring compliance with the affordability requirement of 1 above.
3. Mortgagor shall obtain Mortgagee's written consent prior to conveying the real
property and said conveyance shall be made subject to this mortgage.
Housing Authority of the City of Key West, Florida
1400 Kermedy Drive, Key West, FL 33040
Phone: (305) 296-5621 Fax: (305) 296-0932
Board of Commissioners
Frank Toppino
Bob Dean
Juanita Mingo
John G. Parks, Jr.
Roosevelt Sands, Jr.
Executive Director
J. Manuel Castillo, Sc
October 22,2009
Mr. Mark J. Rosch
Executive Director
Monroe County Land Authority
1200 Truman Avenue, Suite 207
Key West, FL 33040
Dear Iv1r. Rosch,
The Housing Authority of the City of Key West, Florida (KWHA) has concluded
procurement for the demolition and rebuilding of 44 units at the Roosevelt C.
Sands, Jr. Housing Complex. As you may recall, the improvements were built in
1939, are functionally obsolete and in need of replacement. KWHA has been
successful in raising in excess of $2,933,000 in grant funding which will be
utilized for construction. In order to complete the project we have received a first
mortgage loan commitment from the First State Bank of the Florida Keys in the
amount of $2,900,000. We have obtained an appraisal with a date of valuation of
June 1, 2009 indicating a value of $5,790,000.
Weare now in the process of proceeding to closing and would request the
following:
1. The current deed restrictions in place need to be eliminated and restructured
so they run in the favor of the Monroe County Land Authority (MCLA)
only.
2. The restructured deed restrictions reflect previously approved Workforce
Housing deed restriction approvals by the MCLA.
3. The MCLA mortgage and updated deed restrictions be subordinated and
waived to the First State Bank first mortgage in the amount of $2,900,000.
It is my understanding that counsel for MCLA and First State Bank have discussed
the above and the legal method to accomplish it pending approval by the Advisory
and govel11ing board. I would ask that the MCLA counsel review our request to
ensure it reflects accurately the conversations with the First State Bank counsel.
Sincer--E;ly yours,
;l
J. Manuel Castillo, Sf.
Executive Director
Photographs of Subject Property
Roosevelt C. Sands, Jr. Housing Complex
Prepared by and after
recording mail to:
Robert C. Reid, Esq.
Bryan.t Miller Olive P.A
101 North Monroe Street
Suite 900
Tallahassee, Florida 32301
SUBORDINA nON AGREEMENT
THIS AGREEMENT made this 5th day of October, 2009, between THE
MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY, a land authOlity
under Section 380.0663(1), Florida Statutes, hereinafter referred to as "Land Authority,"
and FIRST STATE BANK OF THE FLORIDA KEYS, hereinafter referred to as "Lender",
THE PARTIES STIPULATE AND RECITE THAT:
A. On or about May 21, 2001, THE HOUSING AUTHORITY OF THE CITY OF KEY
WEST, FLORIDA, hereinafter referred to as "Owner," took title to certain real property
pursuant to a Warranty Deed recorded in O.R Book 1697, Page 2024 (the "Warranty
Deed"), and granted a mortgage on such property to the Land Authority recorded in
O.R. Book 1697, page 2076, of the Public Records of Monroe County, Florida, a copy of
which is attached hereto as Exhibit "A" (the "Land Authority Mortgage").
B. Owner has executed, or is about to execute, a mortgage and promissory note in
the amount of Two Million Nine Hundred Thousand Dollars ($2,900,000.00) in favor of
Lender, and Land Authority acknowledges that such mortgage is in the best interest of
Owner.
C. Lender is wiIling to accept the said mortgage from Owner provided that Land
Authority will subordinate its mortgage referred to in paragraph A above.
For the reasons set forth above, and in consideration of the mutual covenants and
promises of the parties hereto, Land Authority and Lender agree as follows:
The Land Authority Mortgage referred to in paragraph A above, pertaining to
the real property described on Exhibit" A,n attached hereto, shaH be subordinate to the
claim of Lender under the Mortgage and Security Agreement (the "Lender Mortgage")
executed by Owner, dated as of October I, 2009 and recorded in O.R. Book , page
, of the Public Records of Monroe County, Florida.
Additionally, the Land Authority hereby agrees that in the event of a foreclosure
by Lender, or the delivery of a deed in lieu of foreclosure to the Lender, relative to the
No. 29
Lender Mortgage (including any modification thereof), the covenants and restrictions set
forth in the Warranty Deed are hereby waived and not enforceable against the Lender,
its successors and assigns or any person claiming by, through or under the Lender, as a
result of any such foreclosure or deed in Heu of foreclosure.
Land Authority shaH execute such additional documents as Lender may
reasonably require to give effect to this Agreement.
IN WITNESS WHEREOF, the parties have executed this Agreement at Monroe
County, State of Florida, the day and year first above written.
THE MONROE COUNTY COMPREHENSIVE
PLAN LAND AUTHOH1TY
WITNESSES:
Name:
By:
Kim Wigington, Chairperson
Name:
STATE OF FLORIDA
COUNTY OF MONROE
The foregoing instrument was acknowledged before me this 5th day of October,
2009 by Kim Wigington, Chairperson of The Monroe County Comprehensive Plan Land
Authority, on behalf of said Authority. Such person is personally known to me or has
presented a as identification.
(NOTARY SEAL)
NOTARY PUBLIC - STATE OF FLORIDA
Printed Name:
My Commission Expires:
2
FIRST STATE BANK OF THE FLORIDA
KEYS
WITNESSES:
Name:
By:
Kurt Lewin, Sr. Vice-President
Name:
STATE OF FLORIDA
COUNTY OF MONROE
The foregoing instrument was acknowledged before me this 5th day of October,
2009 by Kurt Lewin, Sr. Vice-President of First State Bank of the Florida Keys, on behalf
of said entity. Such person is personally known to me or has presented a
as identification.
(NOTARY SEAL)
NOTARY PUBLIC - STATE OF FLORIDA
Printed Name:
My Commission Expires:
3
Prepared oy, Jobn M. SpOlUlI'ood, Jr.
SPOTTSWOOD, SPOTTSWOOD & SPOTTSWOOD
500 F~aming Street
Kay West, FL 33040
PorcellI) Nn",be.,
Grim!"" ifl TIN:
Grnnlee #2 TIN:
Warranty Deed
This Indenture, Made this 21st dayof AD
May '2001 '"
KEY PLAZA APARTMENTS-II, LTD., a Florida limi. ted partnership
Between
of Ihe County of Monroe Stale of Florida , grantor, llrld
THE HOUSING AUTHORITY OF THE CITY OF KEY WEST, a public corporation
and a public body corporate and pOlitic, a corporation existing under
the laws of the State of Plorida
wb....e .dd""," is: 1400 Kennedy Drive, Key West, FL 33040
of Ihe Counly of Monroe
SIOle of Florida
, grantee.
Witnesseth thol the GRANTOR, for and in consideration oflh. sum of
------------------------TEN DOLLARS ($10}-------------__________ DO~AM.
and Nhe. good and valuahle conside.ali,," k> GRANTOR in hand paid hy GRANmE, U,e receipt whereof is hereby aelmowledged, has
graltted~ bargained and sold to tile said GRANTEE and GRANTE~S heirs, s.uccesS-Or.s and assigns: forever, lbe fnt!uwing described hmd, situn!~,
lying all~ being in the Coun!)' of Monroe State of F ~or ida to wit:
~l of Lots 8 and 12 and a portion of Lot II, Tract 3 described as
follows;
BEGINNING at the intersection of the Westerly line of Division Street
(Truman Avenue) with the Southerly line of Emma Street thence
Westerly along the Southerly line of Emma Street a distance of 155.52
feet; thence in a Southerly direction parallel with the Westerly
boundary of Division Street (Truman Avenue) for a distance of 113.33
feet to a point; thence in a Westerly direction parallel with the
Southerly boundary of Emma Street for a distance of 82.46 feet to a
point; thence in a Southerly direction parallel with the Westerly
boundary of Division Street {Truman Avenue) for a distance of 89.34
feet to a point; thence in a Westerly direction parallel with the
Southerly boundary of Emma street for a distance of 82.46 feet to a
point; thence in a Southerly direction parallel with the Westerly
boundary of Division Street (Truman Avenue) for a distance of 89.33
feet to a point on the Northerly line of Fort Street. Said point
being 41.23 feet Easterly from the Easterly boundary of Olivia
Street; thence in an Easterly direction along the Northerly boundary
of Fort Street for a distance of 320.44 feet to the Westerly boundary
of Division Street (Truman Avenue) thence Northerly along the
(Continued on Attached)
and the, grantor does heroby fully warr.nt the title to said la"d, .nd wiH defend the ..me ag,;....! lawful claim. of .11 person. whomsoever.
In Witness Whereof, tho gruntor b.. he,.unlo ..t its h.nd and se.1 the day aud ear firs. above written.
Signed, s cd It ~iivcred ill our presence: KEY N'l'S-II, LTD.
By:
'JOHN O'BRIEN, General Partner
P.O. Ad ro,": P.O. n.. 129, Key W..t, Vl 33041
(Seal)
STATE OF Florida
COUNTY OF Monroe
The foregoing in.trumenl w.. acknowledged bofore me Ih i. 21 s t day of
JOHN O'BRIEN, General Partner, on behalf of KEY
LTD., a Florida limited partnership
he is personally known to m. Or he ha. produced hi. PIo r ida dr i ver 1
Linda Kay Arnold
Gommi..ion # 00 894'21
t:"l';'" hn. 22,2004
..... Bonds.d Th.ru
... Atlantic Bloiiill1f Co.. Inc.
(Corporate Seal)
May '2001
PLAZA APARTMENTS-II,
by
Warranty Deed -Page:2
hn:.l m Numb."
Westerly boundary of D~vision Street (Truman Avenue) for a distance
of 292 feet to a point of beginning,
THIS DEED IS MADE AND IS TO BE ACCEPTED WITH THE UNDERSTANDING THAT
USE OF THE PROPERTY CONVEYED IS RESTRICTED BY THE FOLLOWING;
THE PROPERTY SHALL BE DEVELOPED WITH AFFORDABLE HOUSING FOR VERY LON,
LOW, OR MODERATE INCOME PERSONS AS DEFINED IN SECTION 420.0004,
FLORIDA STATUTES, CONSISTENT WITH THE FOLLOWING POLICIES OF THE KEY
WEST HOUSING AUTHORITY:
1.. Income targeting shall be BO% of med~an adjusted for f~ly si~e.
Inoome targeting may increase to 120% to maintain ocoupancy level and
financial feasibility but not to exceed 40% of project units.
2. Rental rates shall be the same as the low income housing tax
credit program as adjusted annually.
3. The compliance requirements shall be the same as the LIHTC
Program as contained ~n the FHFC Compl~ance Manual and shall be the
responsibility of the developer to insure compliance annually.
4. The program requirements for the LIHTC, MRB, SAIL, and HOME
programs when competitively obtained require lower income targeting
(rents), which take precedence when utilized.
5. The US Departmen,t of Housing and Urban Development occupancy
requirements (family composition) shall be adhered to, as they
pertain to maximum occupancy only.
The above restrictions shall not expire and may only be reieased by
the Monroe County Comprehensive Plan Land Authority.
These restrictions are for the benefit of the present owner and its
successors and assigns and may be enforced by them in every lawful
manner.
i'ueEL 1:
P1\RCEL :U
.'
"
J:.EGAL nllSCRli"T'lO~
All of that par~ of Block 8, Tract 10, bounded
by Amelia, virginia, Howe and EI!l.lna. streets,
Monroe County, Flori~a; and
All of Lots 0 and ~2 ond ~ portion of Lot 11,
Tract 3. Monroe County, Florida, described as
follows:
BEGINNING at the intersection of the westel:'ly
line of Division street (Truman Avenue) with
the Southerly line of Emma. street thence
westerly along the Southe.rly line of E'ml'IIa
street a distance of 155.5~ teet; thence in a
Southerly direction parallel with the Westerly
boundary of Division' street (Tl:\man Avenue)
tal; a distance of 11.3.33 feet to a point;
thence in a westerly direction parallel with
the southerly boundary of Emma street for a
distance of 32.46 feet to a point; thence in a
southerly direction plllralla1 with the. 'Westerly
boundary of 'Di...i$.ion street (Truman Avenue)
for III distance of 89.34. feet to a point.
thence in a westerly direction parallel with
the Southerly boundary of Enulla Street tor a
distance of 82.46 feet to a point, thence in a
Southerly direction plll:allel with the WesterlY
boundary of Division street (Truman Avenue)
for a d.istance t;J!' 1i!'!:!.:53 feet to a point on the
Northerly line of Fort street. said point
being .41.~3 feet Easterly from the Ea.sterly
boundary of olivia streett thence in an
Easterly direction' alorl9 the Northerly
boundary of Fort street for III distance of
320.44 feet to the Westerly boundary of
DiviSion street (Truman Avenue) thence
Northerly alon9 the Westerly bOundary of
Oivision street (Truman Avenue) for a distance
of 292 feet to a point of beginning.
-4-
RESOLUTION NO. 01-2008
A RESOLUTION OF THE MONROE COUNTY
COMPREHENSIVE PLAN LAND AUTHORITY AUTHORIZING
MODIFICATION OF THE MORTGAGE LOAN AND DEED
RESTRICTIONS ENCUMBERING THE ROOSEVELT SANDS
HOUSING COMPLEX IN KEY WEST.
WHEREAS, section 380.0666(3), Florida Statutes and section 9.3-2, Monroe County Code,
empower the Monroe County Comprehensive Plan Land Authority (hereinafter "Land Authority")
to acquire and dispose of interests in real property for the purpose of providing affordable
housing; and
WHEREAS, in 2001 the Land Authority issued a 30-year, zero interest mortgage loan in the
amount of $1,500,000 to the Key West Housing Authority to fund the purchase of the 44-unit
affordable housing site known as the Roosevelt Sands Housing Complex (hereinafter "subject
property") located at 105 Truman Avenue in Key West; and
WHEREAS, the Key West Housing Authority desires to demolish and rebuild the housing on
the subject property by obtaining a $5,000,000 mortgage loan from the Florida Housing Finance
Corporation's Community Workforce Housing Innovative Pilot (CWHIP) program together with a
mortgage loan from an institutional lender of approximately $3,750,000; and
WHEREAS, to enhance the project's financial feasibility and make the project's CWHIP
application more competitive, the Key West Housing Authority has requested the Land
Authority's approval to modify the existing mortgage loan and deed restrictions encumbering
the subject property's title; and
WHEREAS, the CWHIP application deadline is January 28, 2008 and the Land Authority
Advisory Committee will consider this resolution on January 24, 2008; NOW, THEREFORE,
BE IT RESOLVED BY THE MONROE COUNTY COMPREHENSIVE PLAN LAND
AUTHORITY:
Section 1. This resolution shall only take effect if approved by the Land Authority Advisory
Committee.
Section 2. If the Key West Housing Authority's CWHIP application is approved by the Florida
Housing Finance Corporation, the Chairman of the Land Authority Governing Board is hereby
authorized to execute the necessary documents to:
a) modify the restrictions on the warranty deed recorded in Official Records Book 1697 at
Page 2074 to implement the revisions shown in Attachment A; and
b) subordinate the Land Authority's $1,500,000 mortgage loan recorded in Official Records
Book 1697 at Page 2076 to an institutional first mortgage in an amount not to exceed
$3,750,000; and
c) extend the term of said Land Authority mortgage loan from the existing 30-year term that
commenced in 2001 to a term of 50 years commencing from the date of the CWHIP note
and mortgage; and
Page 1 of 2
d) modify the restrictions on said Land Authority mortgage loan to implement the revisions
shown in Attachment B.
PASSED AND ADOPTED by the Monroe County Comprehensive Plan Land Authority at a
reg~lar meeting on this 16th day of January 2008.
. ."
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\:",;~~~~..:J ._~,., ~~~JI ~,
~<;'~:'.. ...~'/,~ ~
"'..: ."
..." ~
. , "...."'. .
Mark J. Rosch
Executive Director
MONROE COUNTY COMPREHENSIVE
PLAN LAND AUTHORITY
Charles' on
Chairman
AZ:~
Larry R. Erskine
Page 2 of 2
ATTACHMENT A
Revisions to Restrictions Attached to the Warranty Deed Recorded
in Official Records Book 1697 at Page 2074
Roosevelt Sands Housing Complex
THIS DEED IS MADE AND IS TO BE ACCEPTED WITH THE UNDERSTANDING THAT USE
OF THE PROPERTY CONVEYED IS RESTRICTED BY THE FOllOWING:
THE PROPERTY SHAll BE DEVELOPED WITH AFFORDABLE HOUSING FOR VERY lOW,
lOW, OR MODER~.TE INCOME PERSONS AS DEFINED IN SECTION '120.000'1 IN
ACCORDANCE WITH SECTION 380.0666(3), FLORIDA STATUTES, CONSISTENT WITH
THE FOllOWING POLICIES OF THE KEY WEST HOUSING AUTHORITY:
1. Income targeting shall be 80% of median adjusted for family size. Income targeting may
increase to 120% to maintain occupancy level and financial feasibility but not to exceed
40% of project units. Income taraetina for workforce housina units may increase to 150% of
median but may not exceed 20% of the proiect units.
2. Rental rates shall be calculated usina the same methodoloay as the low income housing tax
credit program as adjusted annually.
3. The compliance requirements shall be the same of the low Income Housing Tax Credit
(L1HTC) Program as contained in the Florida Housing Finance Corporation (FHFC)
Compliance Manual and shall be the responsibility of the developer to insure compliance
annually.
4. The program requirements for the L1HTC, Mortgage Revenue Bond (MRB), State
Apartment Incentive loan (SAil), and HOME programs when competitively obtained require
lower income targeting (rents), which take precedence when utilized.
5. The US Department of Housing and Urban Development occupancy requirements (family
composition) shall be adhered to, as they pertain to maximum occupancy only.
The above restrictions shall not expire and may only be released by the Monroe County
Comprehensive Plan land Authority.
These restrictions are for the benefit of the present owner and its successors and assigns and
may be enforced by them in every lawful manner.
ATTACHMENT B
Revisions to Restrictions Attached to the Mortgage Deed Recorded
in Official Records Book 1697 at Page 2076
Roosevelt Sands Housing Complex
In reference to the Mortgage Deed dated the 21 st day of May, 2001, between the
HOUSING AUTHORITY OF THE CITY OF KEY WEST, FLORIDA, A PUBLIC BODY
CORPORATE AND POLITIC, Mortgagor, and MONROE COUNTY COMPREHENSIVE PLAN
LAND AUTHORITY, A LAND AUTHORITY UNDER SECTION 380.0663(1), FLORIDA
STATUTES AND MONROE COUNTY ORDINANCE NO. 031-1986, the Mortgagee, the parties
further covenant and agree as follows:
1. Mortgagor's use of the property shall be limited to the provision of affordable housing
to very low income, low income, or moder:ite income persons, :is defined in S.420.0004 in
accordance with section 380.0666(3), Florida Statutes.
2. Mortgagor is responsible for developing and managing the property as affordable
housing and ensuring compliance with the affordability requirement of 1 above.
3. Mortgagor shall obtain Mortgagee's written consent prior to conveying the real
property and said conveyance shall be made subject to this mortgage.
RESOLUTION NO. 02-2009
A RESOLUTION OF THE MONROE COUNTY
COMPREHENSIVE PLAN LAND AUTHORITY AUTHORIZING
SUBORDINATION OF THE MORTGAGE LOAN ENCUMBERING
THE ROOSEVELT SANDS, JR. HOUSING COMPLEX IN KEY
WEST TO A CWHIP MORTGAGE LOAN.
WHEREAS, section 380.0666(3), Florida Statutes and section 9.3-2, Monroe County Code,
empower the Monroe County Comprehensive Plan Land Authority (hereinafter "Land Authority")
to acquire and dispose of interests in real property for the purpose of providing affordable
housing; and
WHEREAS, in 2001 the Land Authority issued a 30-year, zero interest mortgage loan in the
amount of $1,500,000 to the Key West Housing Authority to fund the purchase of the 44-unit
affordable housing site known as the Roosevelt Sands, Jr. Housing Complex (hereinafter
"subject property") located at 105 Truman Avenue in Key West; and
WHEREAS, the Key West Housing Authority desires to demolish and rebuild the housing on
the subject property by obtaining a $5,000,000 mortgage loan from the Florida Housing Finance
Corporation's Community Workforce Housing Innovative Pilot (CWHIP) program together with a
mortgage loan from an institutional lender of approximately $3,750,000; and
WHEREAS, to enhance the project's financial feasibility and make the project's CWHIP
application more competitive, the Land Authority adopted Resolution 01-2008, which authorized
modifying the subject property's deed restrictions, subordinating the Land Authority's mortgage
loan to an institutional first mortgage in an amount not to exceed $3,750,000, and extending the
term of the Land Authority's mortgage loan from 30 years to 50 years; and
WHEREAS, due to state budget reductions the project's CWHIP application is one of only three
selected for funding and is undergoing an accelerated underwriting review; and
WHEREAS, due to the recent decline in the real estate market the subject property may
appraise at a value below the proposed financing package of the institutional first mortgage, the
Land Authority's second mortgage, and the CWHIP mortgage, in which case the project would
fail to receive the underwriting approval necessary to proceed; and
WHEREAS, the Key West Housing Authority requests that the Land Authority authorize the
subordination of the Land Authority mortgage to the CWHIP mortgage if necessary to satisfy
the CWHIP underwriting requirements; and
WHEREAS, the Land Authority Advisory Committee considered this resolution at a meeting
held on April 28, 2009 and voted 4/0 to recommend approval; NOW, THEREFORE,
BE IT RESOLVED BY THE MONROE COUNTY COMPREHENSIVE PLAN LAND
AUTHORITY:
If necessary to satisfy the CWHIP underwriting requirements, the Chairman of the Land
Authority Governing Board is hereby authorized to execute the necessary documents to
subordinate the Land Authority's $1,500,000 mortgage loan recorded in Official Records Book
1697 at Page 2076 to both an institutional first mortgage in an amount not to exceed
Page 1 of 2
$3,750,000 as previously authorized by Resolution 01-2008 and a CWHIP second mortgage in
an amount not to exceed $5,000,000.
PASSED AND ADOPTED by the Monroe County Comprehensive
r~g~!ar meeting on this 20th day of May, 2009.
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MONROE COUNTY COMPREHENSIVE
PLAN LAND AUTHORITY
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Mark J. Rosch
Executive Director
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Kim Wigington
Chairman
Approved for Legal S~ff' ncy
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Larry R. Erskine
Page 2 of 2