Item H4
LAND AUTHORITY GOVERNING BOARD
AGENDA ITEM SUMMARY
Meeting Date: December 17,2003
Bulk Item: Yes No X
Department: Land Authority
Agenda Item Wording: Presentation on the proposed conversion of Tradewinds Hammocks Phase II
from rental to homeownership.
Item Background: In August 2001 the Land Authority committed to making a $924,000 50-year, zero-
interest mortgage as the local contribution for Tradewinds Hammocks Phase II, 52 units of rental
housing for persons of low and very low income levels in partnership with the Florida Housing Finance
Corporation. Monthly rents were to range from $236 for an efficiency to $756 for a 3 bedroom/2 bath
and construction was scheduled to begin this year. The owner/developer now wishes to substitute
private financing for the FHFC financing and sell the units to low and moderate income persons. Under
one homeownerhip scenario, the owner/developer proposes to return the Land Authority funds and sell
the same units for $185,000 to $240,000. Under a second scenario, the owner/developer proposes to
continue partnering with the Land Authority, convey the land to the Monroe County Housing Authority,
and sell the same units for $167,600 to $219,900 subject to long-term ground leases. The
owner/developer will make a presentation to the Board regarding these proposals.
Advisory Committee Action: On November 24, 2003 the Advisory Committee voted 3/0 to approve
the second scenario, subject to the owner/developer's willingness to reduce the purchase prices to a
maximum of $200,000 on a dollar-for-dollar basis if additional funding is available.
Previous Governing Board Action: On 2/22/01 the Board denied the $924,000 loan request. On
4/11/01 the Board was sued by the owner/developer. On 8/16/01 the Board approved the $924,000
loan request.
Contract/Agreement Changes: To be determined.
Staff Recommendation: N/A
Total Cost: $ N/A
Budgeted: Yes
No
Cost to Land Authority: $ N/A Source of Funds:
Approved By: Attorney ~ County Land Steward
Executive Director Approval: ~ \
\'~~h
Documentation: Included: X
To Follow:
Not Required:
Disposition:
Agenda Item LA #4
Novemocr 14. .200~
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Mr. Mark Rosch
Monroe County Land ^Llthority
1200 Truman Avenue. Suite 207
Key West, Florida T1040
Re: Tradewinds Hammocks, Phase II
Dear Mark:
Pursuant to our discussion, this letter will serve as notice to the Land Authority that Tradewinds
Hammocks II, LLC wishes to develop Phase II of the Tradewinds Hammocks project as
affordable housing for ownership rather than rental.
We will market the units for sale to low-income or moderate-income persons as defined in
Section 420.004, Florida Statutes. The deed restrictions regarding affordable housing set forth in
Exhibit "A" of the Warranty Deed dated May 10, 2000, recorded at OR Book 1633, Page 729,
Monroe County Official Records, will remain in effect, with the exception of changing the
reference to "100% of the Monroe County median income" to "120% of the Monroe County
median income" in order to allow for the sale or rental of units to those with moderate incomes
as directed by the Board of County Commissioners in their recently passed ordinance 030-2003
approved by the Board on July 15, 2003.
In addition, the Monroe County Housing Authority will certify the qualification of prospective
buyers of the units under the restrictions set forth above.
The will be no change in the number of units (52) authorized by Monroe County Resolution 264-
2002 and no change in the site plan approved by Monroe County Planning Commission
Resolution P-52-02.
As a result of the shift from rental to ownership, we will be able to complete the project with
conventional bank construction loan financing and will not require any loans or tax credits from
the Land Authority or Florida Housing Finance Corporation. However, as you are aware, we can
make the units more affordable if the Land Authority continues to participate.
We, therefore, request that we be placed as an agenda item on the November 24,2003 Land
Advisory Committee meeting and the December 17,2003 Land Authority Governing Board
meeting to obtain approval of the updated deed restriction.
We greatly appreciate your assistance in our efforts to provide affordable housing for the hard-
working citizens of Monroe County.
Sincerely, ~ ~}
rA ^-~b4.~:.r
Peter Rosasco
for Tradewinds Hammocks II. LLC
cc: Board of County Commissioners
Timothy J. McGarry, AICP
Wi+h Me_LA ~924 /;00 I 04 fl
Tradewinds II
Key Lugo, Monroe County, FL
Sales Chart as a %
Construction Loan Amount $6,715,000 Gross p~rUnit per SF of Sales
Bridge loan Amount $500,000
Number of Units in Phase 52 100% of Total Units Sale Price $10,901,000 $209,635 $207
Number of Units, Tolal Project 52 Releases, 100% $10,137,930 $194,960 $192 93.0%
SF . living Space 52,784 Building Cost $11,061,930 $212,729 $210 101.5%
Required Pre-Sales 0 0% Loans $7,215,000 $138,750 $137 66.2%
Est. Clos Costs 7.00%
Loan I Cost 65.2%
I Release Price at 100% Net Sales Proceeds I
Developer's Release Release Release
Estimated Net Sale 100% Paid to Paid to
Unit Unit Contnlct or Unit Retail Contract Proceeds Pro Rata of Nel$ Const. In. Bridge Ln.
Building Floor Nbr Type Sq. Ft. Reservation Buyer Deposit Price Price (less 7%) Loan Adv. 80% 20%
Three 1 1 2/2 966 $214,900 $199,857 $142.235 $199,857 $159,886 $39,971
2 312 1,210 $219,900 $204,507 $145,544 $204,507 $ 163,606 $40,901
3 2/2 966 $209,900 $195,207 $138,926 $195,207 $156,166 $39,041
4 2/2 966 $209,900 $195,207 $138,926 $195,207 $156,166 $39,041
5 312 1,210 $219,900 $204,507 $145,544 $204,507 $163,606 $40,901
6 1/1 700 $167,600 $155,668 $110,929 $155,668 $124,694 $31,174
7 2/2 966 $209,900 $195,207 $138,926 $195,207 $156,166 $39,041
8 312 1,210 $219,900 $204,507 $145,544 $204,507 $163,606 $40,901
9 212 966 $209,900 $195,207 $138,926 $195,207 $156,166 $39,041
10 2/2 966 $209,900 $195,207 $138.926 $195,207 $156,166 $39,041
2 1 2/2 966 $214,900 $199,857 $142,235 $199,857 $159,886 $39,971
2 3/2 1,210 $219,900 $204,507 $145.544 $204,507 $163,606 $40,901
3 2/2 966 $209,900 $195,207 $138,926 $195,207 $156.166 $39,041
4 2/2 966 $209,900 $195,207 $138,926 $195,207 $156,166 $39,041
5 312 1,210 $219,900 $204.507 $145.544 $204,507 $163,606 $40,901
6 1/1 700 $167,600 $155,668 $110,929 $155,668 $124,694 $31,174
7 2/2 966 $209,900 $195.207 $138,926 $195,207 $156,166 $39.041
8 3/2 1,210 $219,900 $204,507 $145,544 $204,507 $163,606 $40,901
9 2/2 966 $209,900 $195,207 $138,926 $195,207 $156,166 $39,041
10 2/2 966 $209,900 $195.207 $138.926 $195,207 $156.166 $39,041
11 312 1,210 $219,900 $204,507 $145,544 $204.507 $163,606 $40,901
12 2/2 966 $214,900 $199.857 $142,235 $199,857 $159,866 $39,971
3 1 m 966 $214,900 $199,857 $142,235 $199.857 $159,866 $39,971
2 3/2 1,210 $219,900 $204,507 145,544 204,507 $163,606 $40,901
3 m 966 $209,900 $195.207 138,926 195,207 $156,166 $39,041
4 2/2 966 $209,900 $195,207 138,926 195,207 $156,166 $39,041
5 3/2 1,210 $219.900 $204.507 145.544 204,507 $163,606 $40,901
6 111 700 $167,600 $155,868 110,929 155,668 $124,694 $31,174
7 m 966 $209,900 $195.207 138,926 195,207 $156.166 $39,041
8 3/2 1,210 $219.900 $204,507 145,544 204,507 $163,606 $40,901
9 2/2 966 $209,900 $195,207 138,926 195,207 $156,166 $39,041
10 212 966 $209,900 $195,207 138,926 195,207 $156,166 ..$39,041
11 312 1,210 $219,900 $204,507 145,544 204,507 $163,606 $40,901
12 2/2 966 $214,900 $199,857 142,235 199,857 $159,866 $39,971
Four 1 2/2 966 $214,900 $199,857 142,235 199,857 $159,886 $39,971
2 3/2 1,210 $219,900 $204.507 145,544 204,507 $163,606 $40,901
3 2/2 966 $209,900 $195,207 138,926 195,207 $156,166 $39,041
4 m 966 $209,900 $195.207 138,926 195,207 $156,166 $39,041
5 3/2 1,210 $219,900 $204,507 145,544 204,507 $163,606 $40,901
6 1/1 700 $177,600 $165,166 117,547 165,168 $132,134 $33,034
2 1 2/2 966 $214,900 $199.857 142,235 199,857 $159,866 $39,971
2 312 1,210 $219,900 $204,507 145.544 204,507 $163,606 $40,901
3 m 966 $209,900 $195.207 138.926 195,207 $156,166 $39,041
4 m 966 $209,900 $195,207 138,926 195,207 $156,166 $39,041
5 3/2 1,210 $219,900 $204.507 145,544 204,507 $163,606 $40,901
6 1/1 700 $177,600 $165,168 117,547 165,168 $132,134 $33,034
1 2/2 966 $214,900 $199,857 142,235 199,857 $159,866 $39,971
2 3/2 1,210 $219,900 $204.507 145,544 204,507 $163,606 $40,901
3 2/2 966 $209,900 $195,207 138,926 195,207 $156,166 $39,041
4 2/2 966 $209,900 $195,207 138,926 195,207 $156,166 $39,041
5 3/2 1,210 $219,900 $204,507 145,544 204,507 $163,606 $40,901
6 1/1 700 $177,600 $165,168 117,547 165,168 $132,134 $33,034
52,784 $10,901,000 $0 $10,137,930 $7,215,000 $10,137,930 $8,110,344 $2,027,566
AII!I Release per Unit $194,960 $155,968 $38,992
payorr Point . Units 43 13
Payoff Point % 83% 25%
of Canst. Ln. of Bridge Ln.
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SOURCE & USE
Tradewinds II
Key Largo, Monroe County, FL
I 12/3/03 2:43 PM
CONSTRUCTION PHASE CONSTRUCTION COMPLETION PERMANENT
PHASE
COSTS , DEFERRED I TOTAL COSTS I DEFERRED I TOTAL TOTAL
SOURCES OF FUNDS
Construction Loan $6,715,000 $6,715,000 $6,715,000 $6,715,000 $0
Bridge Loan 500,000 500,000 500,000 500,000 0
Subordinate Loan / Grant 924,000 924,000 924,000 924,000 924,000
Syndication Equity 0 0 0 0 0
Projected Net Sales 0 0 0 0 10,137,930
Deferred Developer Profit & Overhead 0 0 0 0 0 0 0
Deferred GC Profit 0 0 0
Other Deferrals 0 0 0 0 0
Deferred Operating Reserve 0 0 0 0 0
Est Investment Earnings (if applicable) 0 0 0 0 0
Borrower Equity 1,399,067 1,399,067 1,399,067 1,399,067 0
TOTAL SOURCES $9,538,067 $0 $9,538,067 $9,538,067 $0 $9,538,067 $11,051,930
USES OF FUNDS
ACQUISITION
Purchase Price . Land $700,000 $0 $700,000 $700,000 $700,000 $700,000
Purchase Price - Building 0 0 0 0 0 0
Brokerage Fee/Carrying Costs/Other 224,000 0 224,000 224,000 224,000 224,000
TOTAL ACQUISITION $'9i4,OOO $0 $924,000 -- -, -- ___._n_____n_ $924,000 $924,000
I $924,000
17,769
CONSTRUCTION CONTRACT
Site Work 0 0 0 0 0 0
Structure 6,017,350 0 6,017,350 6,017,350 6,017,350 6,017,350
General Requirements 361,041 0 361,041 361,041 361,041 361,041
General Contractor Overhead 120,347 0 120,347 120,347 0 120,347 120,347
General Contractor Profit 361,041 0 361,041 361,041 0 361,041 361,041
Construction Contingency 215,000 0 215,000 215,000 0 215,000 215,000
Other-Impact Fees 0 0 0 0 0 0 0
Other-Amenities 200,000 0 200,000 200,000 0 200,000 200,000
TOTAL CONSTRUCTION CONTRACT $7,274,779 $7,274.779 $7,274,779 $7,274,779 $7,274,779
139,900
I FINANCING COSTS
Constructio Loan Commitment Fee 50,363 50,363 50,363 50,363 50,363
Bridge Loan Commitment Fee 3,750 3,750 3,750 3,750 3,750
Lender's Inspecting Engineer 15,000 15,000 15,000 15,000 15,000
Borrower Attorney 50,000 50,000 50,000 50,000 50,000
Lender Attorney 10,000 10,000 10,000 10,000 10,000
Due Diligence Fee 0 0 0 0 0
Loan Closing Costs 25,000 0 25,000 25,000 0 25,000 25,000
Ptnshp. Costs 20,000 20,000 20,000 20,000 20,000
Other- 0 0 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
OTHER SOFT COSTS.
Accounting 25,000 25,000 25,000 25,000 25,000
Advertising/Marketing 104,000 104,000 104,000 104,000 104,000
Appraisal 6,000 6,000 6,000 6,000 6,000
ArchitecVEngineer Fees 60,000 0 80,000 80,000 0 80,000 80,000
Builder's Risk/Hazard Insurance 35,000 35,000 35,000 35,000 35,000
Developer Profit and Overhead 0 0 0 0 0 0 1,523,864
EnVIronmental Report & Monitoring 7,500 7,500 7,500 7,500 7,500
Feasibility/Market Study 15,000 15,000 15,000 15,000 15,000
Permits/Tap Fees 52,000 52,000 52,000 52,000 52,000
Real Estate Taxes - Construction 26,000 26,000 26,000 26,000 26,000
Soils Report 6,000 6,000 6,000 6,000 6,000
Survey Costs 27,300 27,300 27,300 27,300 27,300
Title/Recording 90,000 90,000 90,000 90,000 90,000
Other- 0 0 0 0 0 0 0
Other- 0 0 0 0 0
Other. 0 0 0 0 0
i Other- 0 0 0 0 0
RESERVES & INTEREST
Construction Period Interest 441,375 441,375 441,375 441,375 441,375
Rent Up Reserve/lnt after Completion 0 0 0 0 0
Bridge Loan Interest 0 0 0 0 0
I Additional Contingency 250,000 250,000 250,000 250,000 250,000
I Operating Reserve 0 0 0 0 0 0
I Soft Cost Contingency 0 0 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
TOTAL USES $9,538,067 $0 $9,538,067 $9,538,067 $0 $9,538,067 $11,061,930
I Total Units In Project 52 Total Cost Per Unit $183,424
Total Square Footage of Project 52,784 Hard Const. Cost per sq. ft. $137.82
I
Accepted By Developer Profit & OH Paid out of transaction: $ 1,523,864
Date
i Prepared by: Shane P. Sarver
~'adewlnd~ ';O!1dC 1'\10')' "-J'go Revlsea 111703 xis
NC S&U Page
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Tradewlnds II
Key Largo, Monroe County, FL
Sales Chart as a %
Construction Loan Amount $7,639,000 Gross p~r_Unit I'er SF o'-S~J~
Bridge Loan Amount $500,000
Number of Units in Phase 52 100% of Total Units Sale Price $11,825,000 $227,404 $224
Number of Units, Total Project 52 Releases, 100% $10,778,700 $207,283 $204 912%
SF . living Space 52.784 Building Cost $10,997,250 $211,486 $208 930%
Required Pre-Sales 0 0% Loans $8,139,000 $156,519 $154 68.8%
Est. Clos Costs 7.00%
Loan I Cost 74.0%
IRelease Price at 100% Net Sales Proceeds I
Developer's Release Release Release
Estimated Net Sale 100% Paid to Paid to
Unit Unit Contract or Unit Retail Contract Proceeds Pro Rata of NetS Const. Ln. Bridge Ln.
Building Floor Nbr Type Sq. Fl. Reservation Buyer Deposit Price Price (less 7%) Loan Adv. 80% 20%
Three 1 1 2/2 966 $235,000 $0 $0 $0 $0 $0
2 3/2 1.210 $240,000 $223,200 $168,538 $223,200 $178,560 $44.640
3 212 966 $225,000 $209,250 $158,005 $209,250 $167,400 $41,850
4 212 966 $225,000 $209,250 $158,005 $209,250 $167,400 $41,850
5 3/2 1,210 $240,000 $223,200 $168,538 $223,200 $178,560 $44,640
6 1/1 700 $185.000 $172,050 $129,915 $172,050 $137,640 $34,410
7 212 966 $225,000 $209,250 $158,005 $209,250 $167,400 $41,850
8 3/2 1,210 $240,000 $223,200 $168,538 $223,200 $178,560 $44,640
9 212 966 $225,000 $209,250 $158,005 $209,250 $167,400 $41,850
10 212 966 $225,000 $209,250 $158,005 $209,250 $167.400 $41,850
2 1 2/2 966 $235,000 $218,550 $165,027 $218,550 $174,840 $43,710
2 312 1,210 $240,000 $223,200 $168,538 $223,200 $178,560 $44,640
3 2/2 966 $225,000 $209,250 $158,005 $209,250 $167,400 $41,850
4 2/2 966 $225.000 $209,250 $156.005 $209,250 $167,400 $41,850
5 3/2 1.210 $240.000 $223,200 $168.538 $223,200 $178.560 $44,640
6 1/1 700 $185.000 $172,050 $129.915 $172,050 $137,640 $34,410
7 2/2 966 $225,000 $209.250 $158.005 $209,250 $167,400 $41,850
8 3/2 1.210 $240.000 $223,200 5168,538 $223,200 $178,560 $44,640
9 2/2 966 5225,000 $209,250 5158,005 $209,250 $167,400 $41,850
10 2/2 966 $225,000 $209,250 5158,005 $209,250 $167,400 $41,850
11 312 1,210 $240,000 $223,200 $168,538 $223.200 $178,560 $44,640
12 2/2 966 5235.000 5218,550 5165,027 5218,550 $174,840 $43,710
3 1 2/2 966 $235.000 $218,550 5165,027 $218,550 $174,840 $43,710
2 312 1,210 $240.000 $223,200 168.538 223,200 $178,560 $44,640
3 2/2 966 5225,000 5209.250 158,005 209,250 $167,400 $41,850
4 2/2 966 5225,000 $209,250 158,005 209,250 $167,400 541,850
5 3/2 1,210 $240.000 $223,200 168,538 223,200 5178,560 $44,640
6 1/1 700 5185,000 $172,050 129,915 172,050 $137,640 $34,410
7 2/2 966 5225.000 $209,250 158,005 209,250 $167,400 $41,850
8 3/2 1.210 5240.000 $223,200 168,538 223,200 $178,560 $44,640
9 2/2 966 5225,000 $209,250 158.005 209,250 $167,400 $41,850
10 2/2 966 $225,000 $209,250 158.005 209.250 $167,400 .-$41,850
11 312 1.210 $240,000 5223,200 168.538 223,200 $178,560 $44,640
12 2/2 966 5235,000 5218,550 165,027 218,550 $174,840 $43,710
Four 1 2/2 966 $235,000 $218,550 165.027 218,550 $174,840 $43,710
2 312 1.210 $240,000 $223,200 168.538 223,200 $178,560 $44,640
3 2/2 966 $225.000 $209,250 158,005 209,250 $167,400 $41,850
4 2/2 966 5225.000 $209,250 158,005 209,250 $167,400 $41,850
5 3/2 1,210 $240,000 $223,200 168,538 223,200 $178,560 $44,640
6 1/1 700 $195,000 $181,350 136,937 181,350 $145,080 $36,270
1 2/2 966 $235,000 $218,550 165,027 218,550 $174,840 $43,710
2 3/2 1,210 $240,000 $223,200 168.538 223,200 $178,560 $44,640
3 2/2 966 $225,000 $209.250 158.005 209.250 $167,400 $41,850
4 2/2 966 $225,000 $209,250 158.005 209,250 $167,400 $41,850
5 3/2 1.210 $240,000 $223,200 168.538 223,200 $178,560 $44,640
6 1/1 700 $195,000 $181,350 136,937 181,350 $145,080 $36,270
3 1 2/2 966 $235,000 $218,550 165,027 218,550 $174,840 $43,710
2 3/2 1,210 $240,000 $223,200 168,538 223,200 $178,560 $44,640
3 2/2 966 $225,000 $209,250 158,005 209,250 $167,400 $41,850
4 2/2 966 $225.000 $209,250 158,005 209,250 $167,400 $41,850
5 312 1.210 5240,000 $223,200 168,538 223,200 $178,560 $44,640
6 1/1 700 $195,000 $181,350 138,937 181,350 $145,080 $36,270
52,784 $11,825,000 $0 $10,778,700 $8,139,000 $10,778,700 $8,622,960 $2155,740
Avg Release per Unit $207,283 $165,826 $41,457
Payoff Point - Units 46 12
Payoff Point % 89% 23%
of Const Ln of Bridge Ln.
SOURCE & USE
Tradewinds II
Key Largo, Monroe County, FL
W',thr>U.+ W-L..^ 4~'2..~DOO L.tdl\
I
:'\'
CONSTRUCTION PHASE CONSTRUCTION COMPLETION PERMANENT I
PHASE i
COSTS I DEFERRED I TOTAL COSTS I DEFERRED I TOTAL TOTAL I
!
, ,
SOURCES OF FUNDS
Construction Loan $7,639,000 $7,639,000 $7,639,000 $7,639,000 $0
Bridge Loan 500,000 500,000 500,000 500,000 0
Subordinate Loan / Grant 0 0 0 0 0
Syndication Equity 0 0 0 0 0
Projected Net Sales 0 0 0 0 10,778.700
Deferred Developer Profit & Overhead 0 0 0 0 0
Deferred GC Profit 0 0 0
Other Deferrals 0 0 0 0 0
Deferred Operating Reserve 0 0 0 0 0
Est Investment Earnings (if applicable) 0 0 0 0 0
Borrower Equity 1,399,067 1,399,067 1,399,067 1,399,067 218,550
,
TOTAL SOURCES $9,638,067 $0 $9,638,067 $9,538,067 $0 $9,538,067 $10,997,250
I
1 I
USES OF FUNDS I
I
ACQUISITION:
Purchase Price - Land $700,000 $0 $700,000 $700,000 $700,000 $700000
Purchase Price - Building 0 0 0 0 0 0
Brokerage Fee/Carrying Costs/Other 224,000 0 224,000 224,000 224,000 224,000
TOTAL ACQUISITION $924,000 $0 $924,000 $924,000 $924,000 $924:000
17,769
CONSTRUCTION CONTRACT:
Site Work 0 0 0 0 0 0
Structure 6,017,350 0 6,017,350 6,017,350 6,017,350 6,017,350
General Requirements 361,041 0 361,041 361,041 361,041 361,041
General Contractor Overhead 120,347 0 120,347 120,347 0 120,347 120,347
General Contractor Profit 361,041 0 361,041 361,041 0 361,041 361,041
Construction Contingency 215,000 0 215,000 215,000 0 215,000 215,000
Other-Impact Fees 0 0 0 0 0 0 0
Other-Amenities _200,000 _.. 0 _m~.9,pp_O .. . _?QP',OQO 0 200.000 200.000
.-- -.--.-.-..
TOTAL CONSTRUCTION CONTRACT $7,274,779 $7,274,779 $7,274,779 $7,274.779 $7.274 779
139,900
FINANCING COSTS
Construction Loan Commitment Fee 50,363 50,363 50,363 50,363 50,363
Bridge Loan Commitment Fee 3,750 3,750 3,750 3,750 3,750
Lender's I nspecting Engineer 15,000 15,000 15,000 15,000 15,000
Borrower Attorney 50,000 50,000 50,000 50,000 50,000 I
Lender Attorney 10,000 10,000 10,000 10,000 10,000
Due Diligence Fee 0 0 0 0 0 I
Loan Closing Costs 25,000 0 25,000 25,000 0 25,000 25,000
Ptnshp, Costs 20,000 20,000 20,000 20,000 20,000
Other- 0 0 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
OTHER SOFT COSTS:
Accounting 25,000 25,000 25,000 25.000 25.000
Advertising/Marketing 104,000 104,000 104,000 104 000 104.000
Appraisal 6,000 6,000 6,000 6,000 6,000
Architect/Engineer Fees 80,000 0 80,000 80,000 0 80,000 80.000
Builder's Risk/Hazard Insurance 35,000 35,000 35,000 35,000 35.000
Developer Profit and Overhead 0 0 0 0 0 0 1,459,183
Environmental Report & Monitoring 7,500 7,500 7,500 7,500 7.500
Feasibility/Market Study 15,000 15,000 15,000 15,000 15.000 I
PermitslTap Fees 52,000 52,000 52,000 52,000 52,000 I
Real Estate Taxes - Construction 26,000 26,000 26,000 26,000 26,000 I
Soils Report 6,000 6,000 6,000 6,000 6,000
Survey Costs 27,300 27,300 27,300 27,300 27,300 I
Title/Recording 90,000 90,000 90,000 90,000 90,000
Other- 0 0 0 0 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
RESERVES & INTEREST:
Construction Period Interest 441,375 441,375 441,375 441,375 441,375
Rent Up Reserve/I nt after Completion 0 0 0 0 0
Bridge Loan Interest 0 0 0 0 0
Additional Contingency 250,000 250,000 250,000 250,000 250.000
Operating Reserve 0 0 0 0 0 0
Soft Cost Contingency 0 0 0 o I 0
Ot:-:er- 0 0' 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
Other- 0 0 0 0 0
TOTAL USES $9,638,067 $0 $9,638,067 $9,638,067 $0 $9,538,067 $10,997,250
Total Units in Project 52 Total Cost Per Unit $183,424 I
Total Square Footage of Project 52.784 Hard Const Cost per sq. ft. $137.82 I
Accepted By: Developer Profit & OH Paid out of transaction: $ 1.459.183
Date:
Prepared by: Shane P, Sarver
Tradewinds Condo * Key Largo - Revised First Draft 1121 03.xls
NC S&U Page
RESOLUTION NO 09-2001
A RESOLUTION OF THE MONROE COUNTY
COMPREHENSIVE PLAN LAND AUTHORITY APPROVING A
MORTGAGE AGREEMENT AND PROMISSORY NOTE FOR
USE WITH TRADEWINDS HAMMOCKS II, L TD TO PROVIDE
AFFORDABLE HOUSING AND AUTHORIZATION FOR THE
CHAIRMAN TO EXECUTE THE ASSOCIATED FLORIDA
HOUSING FINANCE CORPORATION APPLICATION FORM
WHEREAS, section 380.0666(3), Florida Statutes (FS) and section 9.3-2, Monroe County Code,
empower the Monroe County Comprehensive Plan Land Authority (hereinafter "Land Authority")
to acquire an interest in real property for the purpose of providing affordable housing to very low,
low, or moderate income persons as defined in section 420.0004, FS, where said acquisitions
are consistent with a comprehensive plan adopted pursuant to Chapter 380, FS; and
WHEREAS, MRT of the Florida Keys, LLC., a limited liability company and Heritage Affordable
Development, Inc., a Florida corporation, propose to form Tradewinds Hammocks II, Ltd., a
limited liability company (hereinafter "Owner") for the purpose of constructing, owning, and
operating 56 units of affordable rental housing known as Phase 2 of Tradewinds Hammocks
(hereinafter "housing development") on Key Largo to provide housing for persons of very low
and low incomes for a period of 50 years; and
WHEREAS, in order to finance the $7,074,680.80 total cost of the housing development, the
Owner proposes to apply for tax credits and a HOME loan from the Florida Housing Finance
Corporation (hereinafter "FHFC"), a public corporation created within the Florida Department of
Community Affairs pursuant to section 420.504, FS; and
WHEREAS, the application process for the FHFC tax credit program is highly competitive and
awards maximum points to those applicants providing a local contribution in the amount of
$250,000 or 10% of the total project cost ($707,468), whichever is less; and
WHEREAS, the Owner states that it is necessary to receive subsidies in the form of a $924,000
non-recourse mortgage loan from the Land Authority and $74,536 in impact fee waivers from
Monroe County in order to make this project financially feasible; and
WHEREAS, the Land Authority Advisory Committee considered this proposal at a meeting held
July 26, 2001 and voted 3/0 to recommend approval of the loan subject to the requirements
contained in this Resolution; and
WHEREAS, the Governing Board wishes to approve the Advisory Committee's
recommendations; NOW, THEREFORE,
BE IT RESOLVED BY THE MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY:
Section 1. Effective immediately, the Land Authority Chairman is authorized to sign the
applicable FHFC form indicating a local government contribution in the form of a zero-interest,
50-year loan In the amount of $924,000 in support of the Owner's application to FHFC for a
Page 1 of 3
HOME loan In the amount of $545,000 and tax credits in the annual amount of $425877 63 for
ten years for the housing development
Section 2 The Land Authority Executive Director IS authorized to disburse $700,000 to the
Owner provided all of the following conditions have been satisfied
a) The Owner has provided to the Land Authority a copy of the completed application for tax
credits and a HOME loan and proof that the Owner submitted said application to FHFC by
the appropriate application deadline
b) The Monroe County Planning Director has provided notice that the 56-unit affordable
housing project on Lots 1-14 as described in Attachment A has been fully approved for
development, including the granting of 56 RaGa allocations and 56 nutrient credits.
c) The Land Authority's legal counsel has provided notice that the Owner has executed in favor
of the Land Authority a zero-interest, 50-year non-recourse first mortgage agreement and
promissory note for the amount of $700,000 encumbering the property described in
Attachment A (Lots 1-14). In the event FHFC has not awarded the tax credit and HOME
loan commitment by the conclusion of two application cycles, beginning with the first cycle in
2002, the Owner shall convey the property described in Attachment A to the Land Authority,
free and clear of all encumbrances, together with all development rights and approvals,
including but not limited to RaGa allocations and nutrient credits, necessary for
development of the 56-unit affordable housing project on the property described in
Attachment A.
d) The Land Authority's legal counsel has provided notice that use of the property described in
Attachment A has been permanently restricted by deed restriction as follows:
1. the property is to be used only for housing for very low, low, or moderate income persons
as defined in section 420.0004, FS;
2. said deed restriction shall also reference the affordable housing requirements of the
Monroe County Land Development Regulations and shall impose said requirements
permanently, notwithstanding the normal 20 or 25 year period of said regulations; and
3. in accordance with the Memorandum of Understanding between Monroe County and
Department of Community Affairs dated December 27, 1999, persons currently or
formerly housed in an illegal downstairs enclosure who have or will be displaced as a
result of the removal of said enclosures and who meet all applicable affordability
requirements shall be given first priority when the Tradewinds Hammocks housing
occupants are selected.
Section 3. The Land Authority Executive Director is authorized to disburse $224,000 to the
Owner provided all of the following conditions have been satisfied.
a) The Land Authority's legal counsel has provided notice that the Owner has secured the tax
credits, HOME loan, and construction loan necessary to build the 56-unit project as
described in Attachment B.
b) The Land Authority's legal counsel has provided notice that the Owner has executed in favor
of the Land Authority a modification of the note and non-recourse mortgage referred to in
Section 2(c) above to provide for a total indebtedness in the amount of $924,000 on a non-
recourse basis encumbering the property described in Attachment A (Lots 1-14).
Section 4. The Land Authority will subordinate the non-recourse mortgage referenced In
Section 3(b) above only to the following loans obtained by the Owner in furtherance of
developing the property a conventional first non-recourse mortgage, a second mortgage in
Page 2 of 3
favor of FHFC with a 30-year term, and a third mortgage In favor of a member of the Federal
Home Loan Bank with a 1 O-year term or any other mortgage approved by the Land Authority
Section 5 Notwithstanding the approvals and conditions contained In Sections 1 through 4
above,1f all the conditions in Section 2 are not satisfied within three years from the date of
adoption of this resolution, the Land Authority's commitment to the subject housing development
shall expire.
Section 6. It IS acknowledged and understood that the information contained in this Resolution,
including Attachment B, represents the Owner's best estimates of loan amounts, tax credits,
total project costs, and the anticipated requirements of the upcoming FHFC funding rule.
Furthermore the net rents in Attachment B are adjusted annually by HUD and are therefore
subject to change. In view of these uncertainties, the actual amounts of the HOME loan,
conventional first mortgage, tax credits, numbers of units, and unit mix of the development are
deemed to be approved provided said actual amounts are within 10% of the estimates contained
in this Resolution. The maturity periods indicated in Section 4 are illustrative only and may be
adjusted as required by the Florida Housing Finance Authority or the Federal Home Loan Bank
program. The flexibility provisions of this Section 6 do not apply to the amount or maturity period
of the Land Authority's mortgages, which are fixed as specified in the other Sections of this
Resolution.
PASSED AND ADOPTED by the Monroe County Comprehensive Plan Land Authority at a
special meeting on this 16t:h day of August: 2001.
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Executive Director
MONROE COUNTY COMPREHENSIVE
PLAN LAND AUTHORITY
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Nora Williams
Chairman
Approved for Legal Sufficiency
Larry R. Erskine
Page 3 of 3
ATTACHMENT A
Lots 1 through 14 inclusive, Block 4, Industrial Acres subdivision, according to the Plat thereof
as recorded in Plat Book 5 at Page 15 of the Public Records of Monroe County, Florida.
/
ATTACHMENT B
Phase II Tradewinds Hammock 56-Unit Affordable Housing Development
Financing
Local Contributions
Land Authority Mortgage
County Impact Fees of $74,536
FL Housing Finance Corporation (State Contributions)
Tax Credit Equity
HOME Loan
Conventional First Mortgage (Private Lender)
Deferred Developer's Fees
$924,000.00
fees waived
$3,275,978.47
$545,000.00
$1,864,299.95
$465,402.38
Total Project Cost
$7,074,680.80
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HONROE COUNTY
OFFICIAL RECORDS
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RCD Hay 16 2000 03,47PM
DANNY L KOLHAGE, CLERK
DEED DOC STA~ 2332.40
05/16/2000 ~ DEP CLK
Grantee TIN
"
WARRANlYDEED
TInS INDENTIJRE, made this 10th day of May 2000, between MANGIL INC., a
Florida Corporation, of the County of Broward and State of Florida, "GRANTOR"., and
TRADEWINDS HAMMOCKS n, LLC, a Florida Limited Liability Company, whose post
office address is 5505 N. Atlantic Avenue, #115, Cocoa Beach, Florida, 32931, of the County of
Brevard, State of Florida, "GRANTEE".,
WITNESSETH: That said GRANTOR, for and in consideration of the sum of TEN
AND NO/100 ($10.00) DOLLARS, and other good and valuable considerations, to said
GRANTOR in hand paid by said GRANTEE, the receipt whereof is hereby acknowledged, has
granted, bargained and sold to the said GRANlEE, and GRANTEE's heirs and assigns forever,
the following described land, situate, lying and being in County, Florida, to wit:
Tax Folio Number: See Exhibit "B" attached hereto.
Loti 1 through 14, inclu.ive, Block 4, INDUSTRIAL ACRES, at per plat thereof
recorded in Plat Book 5, Page 15, of the Public Reconb of Monroe County, Florida.
The above-dacribed property is conveyed by Grantor to Grantee .ubject to the
Deed Restriction. Ht forth in Exhibit "A", attached hereto and made a part hereof,
and the Grantee by ita acceptance of that conveyance, agrees to accept .uch Deed
Restriction. aad abide by the term. thereof during the period of time that the
Grantee is the oWller fo the within described real property.
and said GRANTOR does hereby fully warrant the title to said land, and will defend the same
against the lawfu] claims of aI] persons whomsoever.
..ORANTQR" and "ORANI'EE" _1IlMII for "au- or pIunI, .. coatellt reqyinL
IN WITNESS WHEREOF, GRANTOR has hereunto set GRANTOR's hand and seal the
clay and year first above written.
Signed, sealed and delivered
in the presence of:
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Print Name .Jut::=- 7" . B~ '1S5
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Print Name A ~cv.r
STATE OF FLORIDA
COUNTY OF BROW ARD
FILE 1:1. 1 7 9 58 1
BKll 6.3:3 PG#7 2 8
The foregoing instrument was acknowledged before me this ~ day of
~ ' 2000, by Gilbert Hyatt, m, President ofMangil Inc., who is personally
known to me or ""he pr.edueed 83 identifieatisll, and who did /did not
~ take an oath.
My Commission Expires:
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Notary Public
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*iI '" Mr CommIulon CCt31280
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EXHIBIT "A"
D~ RESTRICJ10NS
1
The property shall be developed with affordable housing for very low, low, or moderate income
persons as defined in IOCtion 420.0004, Florida Statutes, consistent with the following affordable
housing requirements of ~;Momoe County.LInd Development Rei\lbrtiOn8:
1 ..I ,". .
1. ~ annual a<ljusted ~ss in~e fur the ~ed or tenant-otcUpied household sha.l1
not exgeccf one hundred (100) pm:ent of1ho mediarl adjUsted .P?JS annual income within Monroe
County. .
2. The yearly rent (employee hausinw'tr:oBnt) Ib8Jl not exceed thirty (30) percent each month of
that wluch represents the median adjusted II'OBS lIU1uaI iJacome fot hoU$eholds within Monroe
I
County. , ' .'
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3. Under Monroe County Code Section 9.5.266, thoaffOmabIe housina dweUina unit is restricted
to a maximum of one thOWland three hundred (l ,300) ~ feet ofbabitable space.
4. The app1icut his used the aifOIdabJc housiDg proaram to pin additional points in the pennit
allocation system purawm.t to Monroe ~ Section 9.5-122.3(6).
5. These deed restrictions shall mnab1 in etreot in perpetuity regardless of the ability of the
owner(s) or occupants(s) to complyorre-qUllli1Y ODan annual basis or as otherwise may be requited.
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6. All of the restrictions herein shaII bel binding upon any tnDsfcrees, loaees, heirs, assigns or
successors in the chaW of title.
In addition to the fOleioing, in accordance with the Memorandum of Understanding between
Monroe County and the ~ent ofCommuaity Affairs dated Oc<:ember 27, 1999, persons
currently or formerly housed in an U1ega1 doWILltlin' eDClOSUre who have or will be displaced as a
result of the removal of said encloS\ll'eS and who mcet.a1l applicable aft'ordabilityrequirements shall
be given first priority when the Tmdewinds HammoCks hOusing OCC1lplUltJ are select.ed~
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FILE t 1 1795 a :L
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EXHIBIT "B"
ALTERNATE KEY NUMBER
PROPERTY
1559121
1559130
1559148
1559156
1559164
1559172
1559181
1559199
1559202
1559211
1559229
1559237
1559245
1559253
Lot 1, Block 4, Industrial Acres
Lot 2, Block 4
Lot 3, Block 4
Lot 4, Block 4
Lot 5, Block 4
Lot 6, Block 4
Lot 7, Block 4
Lot 8, Block 4
Lot 9, Block 4
Lot 1 0, Block 4
Lot 11, Block 4
Lot 12, Block 4
Lot 13, Block 4
Lot 14, Block 4
MONROE COUNTY
OFFICIAL RECORDS
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Phase II
Mile Marker
101.5
Island
Key Largo
Property
Tradewinds Hammocks Affordable Housing Sit:e