To: Honorable Chair and Commissioners
From: Vincent Smith, Community Development Director
Prepared By: Andrea Clark, Affordable Housing Representative
TITLE:
Title
Whistlestop Townhomes Subordination Agreement
LABEL
RECOMMENDED ACTION:
Recommendationle
Adopt a resolution authorizing the Executive Director to execute Subordination Agreements with Napa Valley Community Housing and Mechanics Bank subordinating a Housing Authority's Deed of Trust and Regulatory Agreement for Whistlestop Townhomes, located at 2220 Yajome Street, to a new deed of trust in favor of Mechanics Bank in the amount of $425,000.
Body
DISCUSSION:
Whistlestop Townhomes is a 17-unit rental apartment complex that was completed in 2000. The property is owned and operated by Napa Valley Community Housing (NVCH). Of the total 17 units, four are used as transitional units for persons who are either homeless or about to be homeless and who are disabled or are a victim of domestic violence. The remaining 13 units are permanent housing for lower income families. The property includes a laundry room, a community garden, a small playground area and a community room.
The property was originally financed with a conventional loan with additional funding provided by the City of Napa, Napa County, the Housing Authority, the Federal Home Loan Bank, the U.S. Department of Housing and Urban Development's Supportive Housing Program and the Napa Valley Vintners. The funding provided by the Housing Authority originated from and is returned to the Laurel Manor Fund 84101. The current principal and interest balance on the $222,400 Housing Authority loan as of June 30, 2019 is $70,960. A Regulatory Agreement was also executed and recorded to ensure long term affordability.
NVCH is proposing to refinance its existing first mortgage loan with a new loan from Mechanics Bank in the amount of $425,000. NVCH is requesting the Housing Authority subordinate its Deed of Trust and Regulatory Agreemen...
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