HomeMy WebLinkAbout2023-03-20 I01F_01 Option to Purchase Agreement Amendment_Northpointe Development Corp II_Set PHAGENDA ITEM:
CITY OF WAUKEE, IOWA
CITY COUNCIL MEETING COMMUNICATION
MEETING DATE: March 20, 2023
AGENDA ITEM:Setting Date of Hearing to Consider an Amendment to the Option to Purchase
Agreement with Northpointe Development II Corporation for an Affordable
Housing Project
FORMAT:Public Hearing
SYNOPSIS INCLUDING PRO & CON: The City selected Northpointe Development II
Corporation’s proposal to develop affordable housing units on 6.44 acres near
Douglas Parkway and North Warrior Ln. As part of the City’s contribution to
the project, Northpointe will be given a nine-month option to purchase the
portion of the land that will house low-income housing rental units for $1. A
portion of the property will be developed by a third party to build 9-14 owner
occupied units for sale. The City will directly transfer that portion of the land
to the third party for $1. The public hearing for the amendment would be held
on April 3, 2023. If Northpoint does not receive low-income housing tax
credits, this agreement will dissolve.
FISCAL IMPACT INCLUDING COST/BENEFIT ANALYSIS: Northpointe Development noticed
a change between the proposed state funding for the low-income housing tax
credit (LIHTC) program and the final guidance. As a result of this change, the
project as proposed would result in a $3 million funding gap. As a way to
solve this funding gap, Northpointe has proposed building 46 LIHTC units
and approached Habitat for Humanity about building 9-14 single family or
townhomes for sale. This amendment has no additional fiscal impact to the
City.
COMMISSION/BOARD/COMMITTEE COMMENT:
STAFF REVIEW AND COMMENT:
RECOMMENDATION: Staff recommends approval
ATTACHMENTS: I. Proposed Resolution
II. Notice of Public Hearing
PREPARED BY: Nick Osborne
REVIEWED BY: Nick Osborne
PUBLIC NOTICE INFORMATION –
NAME OF PUBLICATION:
I1F1
THE CITY OF WAUKEE, IOWA
RESOLUTION 2023-
SETTING DATE OF HEARING TO CONSIDER AN AMENDMENT TO THE
OPTION TO PURCHASE AGREEMENT WITH NORTHPOINTE
DEVELOPMENT II CORPORATION FOR AFFORDABLE HOUSING
PROJECT
IN THE NAME AND BY THE AUTHORITY OF THE CITY OF WAUKEE, IOWA
WHEREAS, the City of Waukee, Iowa is a duly organized municipality within Dallas
County; AND,
WHEREAS, the City of Waukee has chosen Northpointe Development II Corporation’s
proposal to develop affordable housing on 6.44 acres of land near Douglas Parkway and
North Warrior Lane; AND,
WHEREAS, the previous agreement granted Northpointe Development II Corporation
the option to purchase the above described land for $1 AND,
WHEREAS, after discovering a funding gap, Northpointe Development II Corporation
has approached a third party non-profit about developing a small amount of affordable
owner occupied units AND,
WHEREAS, the City proposes to amend the existing Option to Purchase Agreement to
give the City the authority to grant the third party non-profit the ability to purchase their
portion of the parcel for $1 AND,
WHEREAS, Code of Iowa §384.15(3) requires a public hearing on the recommended
amendment to the Option to Purchase Agreement.
NOW THEREFORE BE IT RESOLVED by the City of Waukee City Council in
session this 20th day of March, 2023, that:
1.The public hearing on the proposed Option to Purchase Agreement is hereby fixed
and set for April 3, 2023, at 5:30 p.m. as part of the Waukee City Council regular
meeting, at which time public comments may be heard for or against the matter.
2.The City Clerk is hereby authorized and directed to publish notice of said hearing
in accordance with Code of Iowa §362.3.
____________________________
Courtney Clarke, Mayor
Attest:
___________________________________
Rebecca D. Schuett, City Clerk
RESULTS OF VOTE: AYE NAY ABSENT ABSTAIN
Anna Bergman Pierce
R. Charles Bottenberg
Chris Crone
Larry R. Lyon
Ben Sinclair
NOTICE OF PUBLIC HEARING CONCERNING
A PROPOSAL TO DISPOSE OF CITY PROPERTY BY ENTERING INTO CERTAIN
AMENDED AGREEMENTS WITH NORTHPOINTE DEVELOPMENT II CORPORATION
FOR THE DEVELOPMENT OF AN AFFORDABLE HOUSING PROJECT
In accordance with Iowa Code 364.7, the Waukee City Council will hold a public hearing on
April 3, 2023, at 5:30 p.m. at Waukee City Hall, 230 W. Hickman Road. Due to public health
concerns and guidance, in accordance with Iowa Code Sections 21.4(1)(b) and 21.8, this meeting
of the Waukee City Council will be conducted with two different options for public participation:
1) Members of the public wishing to attend in person may do so in the Council Chambers at
Waukee City Hall. 2) Members of the public wishing to participate electronically may do so via
Zoom at the following link or phone numbers:
https://zoom.us/j/352651371
Meeting ID: 352-651-371
Or by phone:
+1 646-558-8656 or
+1 312-626-6799 or
+1 301-715-8592
All persons wishing to observe or participate in this meeting via Zoom or telephone. Please
contact the City Clerk’s office at 515-978-7904 or bschuett@waukee.org if you have questions
or electronic accessibility issues.
The purpose of the hearing concerns a proposal to dispose of City Property by entering into
certain amended agreements with Northpointe Development II Corporation. After the public
hearing, the Waukee City Council will take action concerning the proposed resolution and the
proposed amended agreements.
The resolution setting forth the proposal and the proposed amended agreements are on file in the
office of the City Clerk, Waukee City Hall, 230 W. Hickman Road, and are available for public
inspection during the regular business hours of 8:00 a.m.-5:00 p.m., Monday-Friday.
Interested individuals are encouraged to attend the public hearing and offer their opinions, pro or
con, to the proposed agreement.
By order of the City Council,
Rebecca D. Schuett
City Clerk