Tuesday, September 06, 2011

Grant Money for Township 9

Tonight the City Council will assign the second round of Proposition 1C money in the amount of $10.9 million to Capitol Station 65, LLC and to increase the amount assigned under the first grant by $ 1 million to reflect the change in the cost of the parking garage for the Township 9 project.

The first awarding of Proposition 1C grant money was for $19.1 million in 2010. Capitol Station 65, LLC ("Master Developer") will dedicate a site to an affordable housing for development of 180 affordable units housing and undertake the off-site improvements needed for development of these parcels.

In 2008 and 2009, the City was awarded a total of $30 million in Proposition 1C Infill Infrastructure Grants from the State Department of Housing and Community Development (HCD) for the Township 9 project under two separate grants. Part of the HCD grants provides funds for project infrastructure and part is in support of the affordable housing project.

Affordable Housing Developer for the project has since changed. The initial grant allocated $7.2 million of the overall grant to the affordable housing parking garage. The initial budget for the parking garage was based on estimates for construction at the time of application. The budget has been refined, based on current cost estimates, and the amount needed to construct the parking garage is currently estimated to be $6.2 million. HCD has approved reducing the parking garage portion to $6.2 million and increasing the grant allocation to other infrastructure projects in the overall T9 budget.

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