Title
A Resolution Of The City Commission Of The City Of Hollywood, Florida, Committing To Provide A Conditional Local Government Area Of Opportunity (LGAO) Contribution In The Amount Of $640,000.00 In Support Of An Application To The Florida Housing Finance Corporation In Response To Its Request For Applications For Nine Percent (9%) Housing Tax Credits To Support The Development Of New Affordable Housing Units, Subject To The Applicant's Receipt Of Low-Income Housing Tax Credits; And Authorizing The Appropriate City Officials To Execute All Documents Necessary To Effectuate This Resolution.
Strategic Plan Focus
Quality of Life & Strong Neighborhoods
Body
Staff Recommends: Approval of the attached Resolution.
Explanation:
The Florida Housing Finance Corporation (“FHFC”) has issued Request for Applications (“RFA”) 2026-202, entitled Housing Credit Financing for Affordable Housing Developments Located in Broward, Duval, Hillsborough, Orange, Palm Beach, and Pinellas Counties, for the allocation of nine percent (9%) Low-Income Housing Tax Credits (“LIHTC”) to assist in financing multifamily affordable housing developments.
Three development proposals have been submitted by experienced affordable housing developers who have secured site control within the City and are seeking City support for consideration under the Local Government Area of Opportunity (“LGAO”) program:
• Housing Trust Group, LLC (“HTG”):
o HTG is proposing Midtown Residences, a mixed-income multifamily residential community for families consisting of approximately 86 residential units, to be located at 2718, 2720, 2723, 2741, and 2742 Polk Street, in the City of Hollywood, Florida, as more fully described in Option A attached hereto, which consists of two architecturally modern four-story buildings, Midtown I located at 2718-2720-2723 Polk Street and Midtown II located at 2741-2742 Polk Street (together “Midtown Residences”), situated approximately 190 feet apart.
o HTG is proposing a second development alternative, Mosaic Hollywood, a mixed-income multifamily residential community for families consisting of approximately 84 residential units, to be located at 1708 North Dixie Highway, in the City of Hollywood, Florida, as more fully described in Option B attached hereto, which will provide housing opportunities across a range of income levels, including 10 units at or below 80 percent (80%) AMI, 19 units at or below 70 percent (70%) AMI, 42 units at or below 60 percent (60%) AMI, and 13 units at or below 30 percent (30%) AMI, thereby ensuring a diverse mix of attainable and deeply affordable housing.
• Pinnacle Communities II, LLC (“Pinnacle”):
o Pinnacle Communities II, LLC (“Pinnacle”) is proposing Pinnacle Vista, an approximately 90-unit multifamily affordable rental housing development located on the east side of North State Road 7 and bisected by Hayes Street, in the City of Hollywood, Florida, as more fully described in Option C attached hereto, which will provide a mix of studio, one-bedroom, and two-bedroom units, with all 90 units affordable to households at an average of 60 percent (60%) of AMI, as adjusted for household size, and including approximately 10 percent (10%) of units targeted to extremely low-income households at approximately 33 percent (33%) AMI pursuant to Florida Housing Finance Corporation guidelines, subject to change.
The City recognizes the importance of increasing the supply of quality affordable housing and seeks to maximize opportunities for federal housing resources, including LIHTC allocations.
Pursuant to RFA 2026-202, a local government may provide LGAO support to only one proposed development in a funding cycle. Accordingly, the City Commission will select one development to receive the City's conditional LGAO contribution.
The City proposes to provide a conditional LGAO contribution in the amount of $640,000.00, which may be structured as a 1% interest loan, a forgivable loan, or a grant, solely for the purpose of satisfying the requirements of RFA 2026-202. The City's commitment is contingent upon the selected applicant's receipt of an award of LIHTC under this funding cycle and the subsequent execution of definitive funding documents approved by the City. This action does not constitute an immediate obligation to disburse funds or approve final financing terms.
The LGAO contribution would be contingent upon:
• Submission of the LIHTC application by August 12, 2026;
• Receipt of an award of LIHTC funding by the selected applicant; and
• Execution of definitive funding documents approved by the City.
Fiscal Impact:
Funding, if approved, for the conditional LGAO contribution will be provided from the City's Affordable and Workforce Housing Interlocal Agreement ("ILA") Program in account number 116.160502.51900.592293.001247.000.000, and subject to future City Commission approval of definitive funding documents and satisfaction of all conditions set forth in this Resolution.
Recommended for inclusion on the agenda by:
Ryon Coote, Housing and Community Development Director
Adam Reichbach, Deputy City Manager