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Downtown Rehabilitation and Housing Creation Grant Program Copyright 2014 City of Dubuque Consent Items # 20. ITEM TITLE: Downtown Rehabilitation and Housing Creation Grant Program SUMMARY: City Manager recommending approval of two grant awards for 1804-1812 Central Avenue for Downtown Rehabilitation and Housing Creation proposed grant awards for first quarter of 2016. SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Approve ATTACHMENTS: Description Type Downtown Rehab& Housing Creation Grant Program- City Manager Memo MVM Memo Staff Memo Staff Memo Rehabilitation Grants Application-Design Approval Supporting Documentation Housing Creation Application Supporting Documentation THE CITY OF Dubuque UBE I erica .i Masterpiece on the Mississippi 2007-2012-2013 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Downtown Rehabilitation & Housing Creation Grant Programs — Proposed Grant Awards for 1St Quarter 2016 DATE: March 15, 2016 Economic Development Director Maurice Jones recommends City Council approval of two grant awards for 1804-1812 Central Avenue for Downtown Rehabilitation & Housing Creation Proposed Grant Awards for 1 St Quarter 2016. 1. 1804-1812 Central —This project has requested the rehabilitation grants, in an amount of up to $25,000 for design/planning and financial consultant assistance. 2. 1804-1812 Central —This project has requested the housing creation assistance. There will be a total of 8 quality one- and two-bedroom units at this property, 4 of which will be new units, thus a request of $40,000. 1 concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Maurice Jones, Economic Development Dubuque Economic Development Department THE CITY OF 50 West 13th Street AII-AwftlitY Dubuque,Iowa 52001-4864 DUB3 &kE1 I Office(563)589-4393 TTY(563)690-6678 ® http://www.cityofdubuque.org Masterpiece on the Mississippi 200.2012.2013 TO: Michael Van Milligen, City Manager FROM: Maurice Jones, Economic Development Director SUBJECT: Downtown Rehabilitation & Housing Creation Grant Programs — Proposed Grant Awards for 1St Quarter 2016 DATE: March 15, 2016 INTRODUCTION This memo presents for your concurrence two projects selected for rehabilitation and housing creation grant awards. BACKGROUND The Downtown Rehabilitation Loan Program (DRLP) provides several incentives from the Economic Development department for the rehabilitation of historic buildings in our greater downtown. Since 2007, the DRLP program has injected over $525,000 into our downtown for improved fagades. The Housing Creation grant program provides $10,000 per unit for the creation of quality workforce or market rate rental units in the Greater Downtown Urban Renewal Area. To date, this program has incentivized the creation of 297 units in the downtown. These programs have had a positive impact in the appearance and livability of our downtown, which lead to a more attractive business and residential environment. As such, the Economic Development department finds these to be great tools for attracting and retaining a quality workforce for our businesses. DISCUSSION Having recently received two applications for fagade project funding, Jill Connors and I conferred with Dave Johnson from Planning between January 21-25, 2016 to review the projects, as well as funds available in the program. We have reviewed current commitments, as well as grant applications for two properties. Our committee recommends the following two projects for funding: 1 . 1804-1812 Central — This project has requested the rehabilitation grants, in an amount of up to $25,000 for design/planning and financial consultant assistance. On the corner of 18th & Central, we anticipate the exterior improvements proposed will be influential in our efforts to attract businesses to storefronts along the Central Avenue Corridor. Funds for this award would transferred to CIP 3602436 (Washington Neighborhood Triple Grant) from CIP 3602267 (Downtown Housing Creation), which has a current balance of$261 ,728 minus written commitments including the Main Street Challenge Grant of$135,000 — for a remaining balance of$126,728. This funds transfer is included in our department's FY16 Budget Amendment #2. 2. 1804-1812 Central — This project has requested the housing creation assistance. There will be a total of 8 quality one- and two-bedroom units at this property, 4 of which will be new units, thus a request of$40,000. This project has been identified as a Main Street Challenge Grant property, thus having already secured a grant for the fagade improvements planned here. Funds for this award would come from CIP 3602438 (Washington Neighborhood Housing Creation), which has a current balance of$522,343. RECOMMENDATION/ ACTION STEP I recommend approval of the two grant awards for 1804-1812 Central Avenue as detailed above. THE MY OF Dubuque DUB E 11111.1 °-� Masterpiece on the Mississippi I I I I° w -Nn.wn MEMORANDUM TO: Maurice Jones, Economic Development Director FROM: David Johnson, Assistant Planner SUBJECT: Fagade Grant: 1804-1812 Central Avenue DATE: January 27, 2016 Introduction This memorandum forwards the recommended design review for work funded through a Fagade Grant for the property located at 1804-1812 Central Avenue. Background The project is located in the Greater Downtown Urban Renewal District and the Washington Neighborhood Urban Revitalization District. The City of Dubuque Architectural Guidelines, Secretary of the Interior Standards for Rehabilitation and applicable Technical Preservation Services Preservation Briefs published by the National Park Service apply to this project. Discussion The scope of work depicted and described in the drawings prepared by Adam Johnson Architecture with a revised date of January 26, 2016 is recommended for approval as submitted with the following recommendations: 1) Future signage for the building must comply with the recommendations outlined in the City of Dubuque Architectural Guidelines, Chapter 4— Signs and the City of Dubuque Unified Development Code. 2) If the property owner is keeping the bronzed metal doors on the front Fagade, it is recommended the color palate for the painted wood and iron on the storefront complement the color of the bronzed metal. Bronze, black and darker tones have been successfully used in previous similar applications. Requirement The project, if done in accordance with the described scope of work and drawings will meet the applicable guidelines and standards and is recommended for approval in terms of design review. Any deviation from the approved scope of work must be reviewed and approved by the Economic Development and Planning Services Departments prior to initiation. It is the property owner's responsibility to read and understand the terms of approval as well as ensure compliance with the project requirements. It is the property owner's responsibility to obtain the necessary building permits prior to starting work. It is the property owner's responsibility to ensure all contractors understand and properly execute all expectation of the project. Failure to comply with the approved scope of work will result in forfeiture of all funding. 2 Cit of City Dubuque, Iowa � Downtown Housing Incentive APPLICATION 1 i Applications for funding through the City of Dubuque's Downtown Housing Incentive will be accepted by the Economic Development Department, 50 West 13th Street, Dubuque, Iowa(563)589-4393. Applications will be reviewed by the Department on a case by case basis with qualifying projects being submitted to the City Council for final review and approval. Depending on the application and scope of the project, all attachments may not be required. Address of Project: 18 0 ! i i4-r"& 4L) . Name of Project (if different from address): /V`= Y>4- n Ta +p U,A CONTACT INFORMATION Name: C �l �"1 ? ►G� Af` Address: P6 Rox 65y3 ,P_Ai+eJ 1f1e_ WX 53 2?19 Company:, `� agar- � I SLC Telephone: &08 " 73- 2 1 j Fax: 1 E-mail: r � �l~� �( �fc•' 1, Cay '; Social Security# or Federal Tax ID #: Yes ❑ No x Is proof of building ownership attached? ❑ Please include as Attachment A. If no, reason for not providing proof of building ownership? / B' n�► 1aJ> f t r'w�+>� Crap CSP A ! A An c a d i If the owner is a for-profit or non-profit organization, is a Resolution adopted by the Board of Directors which authorizes both the project and the application attached with the Minutes of the Meeting when it was adopted? Please attach as Attachment B. Yes ❑ No N/A❑ Page 1 of 6 FAUSERS\Econ Dev\Program Handouts\Downtown Housing Incentive Program\20121106 Final application.docx DOWNTOWN HOUSING ASSISTANCE APPLICATION F-1Are housing units being created or improved? Created Improved I Number of housing units created that are greater than 650 Square Feet (in general, two (2) through seventy-five (75) units are eligible. Rehabilitated housing units that have been vacant for over three years are considered new units.): i, Number of improved housing units. Amount of assistance needed (no more than $10,000 per unit is eligible): $ `fid , 000 Are there additional benefits to the city greater than the creation of new housing? (If additional space is needed, please include as Attachment C.) S0—e- Af�e�C �1�t ecf Project Description: (if additional space is needed, please attach description as Attachment D.) Estimated Start Date: c 0 Estimated 25% Completion Date: rc� �0 J Estimated Completion Date: Aldy(►q b,, Ro I CS In what subarea of the Greater Downtown Urban Renewal District is the proposed project located? Please see the map on the back of the application for details. (Projects in the Washington Neighborhood must be located above a commercial component on the first floor of the building, unle s the project is rehabilitating or reusing a former church or school.) � r - Page 2 of 6 DOWNTOWN HOUSING ASSISTANCE APPLICATION i Certification i I, certify that I own or have some ownership in the following list of properties in the City of Dubuque: i Addresses (Please state "None"if Owner does not own other properties in Dubuque) i f-7 _1-73d 36 �n frltr i i As the Owner of /'®b l8 (Address of Project) certify that all property in the City of Dubuque which I own or in which I have any interest, other than the Project, complies with all applicable City of Dubuque ordinances and regulations, including, but not limited to, housing, building, zoning, fire, health, and vacant and abandoned building regulations. further depose that the signature below is my own proper signature. Date: Signature i Subscribed and sworn to before me on This day of 1201_ (Notary Public) County j My commission expires on Page 5 of 6 ��� i i DOWNTOWN HOUSING ASSISTANCE APPLICATION Is the project rehabilitation of an existing structure? Yes No ❑ Will this project be utilizing Federal or State Historic Taxf ❑ Credits? Yes No I Has applicant discussed details of this project with the City ❑ of Dubuque Planning Department and has been made aware Yes No of the City's design review guidelines at htt :/Icit ofdubuQue.orgt1 / esi n®Gui alines? If yes, with whom?_ a uc, Say r� ^e S Does applicant own or have ownership interest in other Yes No properties in Dubuque? (If yes, please list addresses. If additional space is needed please attach as Attachment E.) 73, i 1 Do the above properties comply with all applicable City of Dubuque ordinances and regulations, including but not limited to, housing, building, zoning, fire, health and vacant and abandoned building regulations. Yes No ❑ Do existing signs on the project property comply with City Zoning regulations and design guidelines? Yes ❑ No M N/A ❑ i I If the above answer is no, or the applicant is proposing new signs, please describe the design materials and colors that will be used on the sign face, how the sign will be displayed, and any lighting proposed. If additional space is needed place attach as Attachment F. 4 y)lv G /(��ek�k'a( ��� / e-- c OrAytr Page 3 of 6 DOWNTOWN HOUSING ASSISTANCE APPLICATION El 1 Are detailed drawings showing dimensions, architectural details, and labels, attached to the application? Please attach Yes No as Attachment G. Is a 1 r yea pro forma attached as Attachment H ? Yes No Will residential units have any income restrictions? Yes ❑ No How many residential units will have income restrictions? (No more than 65% of the rental units can have a restriction of 80% median income.) What is the percentage of the average median income on the income restricted apartment? (No residential units will be allowed to have a restriction of less than 80%median income.) ii Is a Floor plan for all units attached (as Attachment I)? Yes 29 No El Does the pro forma show a developer's fee? Yes E:1 No El I If yes, over what period of time will this fee be paid? Does the project have bank financing? Yes ❑ No YL If yes,what financial institution? Attach Letter of CommitmOnt from financial institution. 9(gnaturkl Date A fully completed application with attachments and exhibits must be submitted in the office of the City of Dubuque's Economic Development Department, 50 W. 13th Street, Dubuque, Iowa 52001. I i Page 4 of 6 i 1 Attachment C: I Yes, some of the additional benefits for the city are as follows: This building had a serious crime problem, which is known by the city police department, as per my conversation with Lt.Scott Baxter. In this building in particular,there was a shooting in one of the units shortly before we purchased it; and it was visited often by the police. Lt. Baxter stated that he was behind us improving the building and managing it to our standards to reduce/eliminate the crime in that specific building. The building was previously unsecure and poorly managed. Once we have completed the project,the building will be secure and we will manage it correctly, ultimately making for an overall safer area. We hope to motivate other individuals or groups to continue investment into the Central corridor, which we believe is an important area to the City of Dubuque. By offering quality living at an affordable price and screening our applicants, we are confident our building will be a great asset to Central Ave.Also,we intend to find quality commercial tenants that will contribute to the area in a positive manner by filling vacant storefronts,adding much needed light at night, adding jobs, and contributing to the economy. Attachment D: I mentioned in the plans that we have attached in greater detail. Here The scope of work is also ent oned p is a general overview. We are creating 4 new, quality and affordable 1 and 2 bedroom apartments, as well as drastically improving 4 other units, all common areas and 2 storefronts. Along with that,the outside appearance will be improved. The 4 units that are being created are going to be new in every aspect (all mechanicals, flooring, wall coverings, etc.). We will be doing quality finishes and appliances (real 3/4" hardwood floors,energy efficient mechanicals, stainless steel appliances, etc.). The remainder of the building will be improved to the same quality standards that we expect in our properties. This is also a Historic Tax Credit Project, we will have to follow their guidelines for this project. Exterior work will include tuck pointing, repairing/improving the rear deck areas, restoring the storefronts, making the entry doors secure. i i I i i i I I I s i I i i' i I i I I