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HomeMy WebLinkAbout2/18/2025 Item 6f, Rendler Jim Rendler <rendlerjim@gmail. To:E-mail Council Website Cc:Michelle Pedigo Subject:Feb 18 - 2025 City Council Meeting- Agenda Item 6.f This message is from an External Source. Use caution when deciding to open attachments, click links, or respond. February 18, 2025 City Council Meeting- Agenda Item 6.f Good evening City Council members, Thank you for the opportunity to speak in support of the recommendation to award $321,866 in CDBG funds to Monterey Family Apartments. This development represents the final phase of a two-phase project led by the San Luis Obispo Non-Profit Housing Corporation (HASLO) and The Fort Group. The first phase, called Balay Ko on Monterey is currently under construction and will provide 55 affordable units for seniors. The funds being considered today will support the construction of an additional 51 affordable units. Monterey Family will offer a mix of studio, 1, 2, and 3-bedroom rent-restricted units. The site will include community space, on-site laundry, and a playground. Ideally located near transportation, groceries, pharmacies, and shopping, the development will be staffed with on-site management and a service coordinator. It is fully entitled and ready to begin construction as soon as the necessary funding is secured. A significant portion of the funding for this development will come from the Low-Income Housing Tax Credit program, also known as LIHTC. Due to the high demand for tax credit funding across the state, the LIHTC scoring process prioritizes developments that can leverage additional sources of funding, thereby reducing the overall demand for tax credits. Given the competitive nature of the LIHTC process, developments without substantial local funding commitments are unlikely to be awarded credits. To remain competitive, we must secure funding from multiple sources. So far, we have commitments from the State Housing and Community Development Department’s Infill Infrastructure Grant Program, the City of San Luis Obispo, and the Housing Authority of San Luis Obispo. More is needed to ensure we score competitively and can secure tax credits. This funding contribution from the City will help complete our funding package and enable us to submit our application for LIHTC funding. In closing, securing the City’s support for Monterey Family Apartments is a critical step toward addressing the urgent need for affordable housing in our community. By approving this funding, you will 1 help ensure the success of a development that will provide much-needed homes for families in San Luis Obispo. We appreciate your consideration and commitment to supporting affordable housing development, and we look forward to working together to make this development a reality. Sincerely, Jim Rendler The Fort Group, LLC 2