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`EVERETT <br />City Council Agenda Item Cover Sheet <br />Project title: Housing Hope- Kennedy Court Subordination Agreement and Omnibus Amendment for Use <br />Restriction Covenant <br />Council Bill # interoffice use <br />Agenda dates requested: <br />August 24, 2022 <br />Briefing <br />Proposed action <br />Consent X <br />Action <br />Ordinance <br />Public hearing <br />Yes x No <br />Budget amendment: <br />Yes x No <br />PowerPoint presentation: <br />Yes x No <br />Attachments: <br />HH Kennedy Court <br />Subordination Agreement <br />and HH Kennedy Court <br />Omnibus Amendment <br />Department(s) involved: <br />Community Development <br />Contact person: <br />Kembra Landry <br />Phone number: <br />425-257-7155 <br />Email: <br />Klandry@everettwa.gov <br />Initialed by: <br />Department head <br />Administration <br />Council President <br />Project: Housing Hope Kennedy Court Subordination Agreement <br />Partner/Supplier: Housing Hope <br />Location: 3228 Norton Avenue, Everett, WA <br />Preceding action: n/a <br />Fund: n/a <br />Project summary statement: <br />Housing Hope (agency) has requested subordination on an established City of Everett HOME <br />Program Loan to secure a private loan through Beneficial Bank, for the property located at 3228 <br />Norton Avenue (known as "Kennedy Court"). <br />In 2016, the City of Everett granted the agency $573,298.00 from the US Housing and Urban <br />Development (HUD) HOME Program funds, to establish housing for low/moderate income <br />households at or below 50% AMI. As standard city practice, the award was secured through an <br />unforgivable loan and Use Restriction Covenant, which is set to mature on September 30, 2035. <br />Agency has requested subordination of the City HOME Loan to a $600,000 private secured loan <br />through Beneficial Bank. As reviewed and approved by the City's Legal and Community <br />Development Departments, supporting documentation for this item includes the Subordination <br />Agreement between all parties and Omnibus Amendment for the Use Restriction Covenant to <br />maintain use of the property for households at or below 50% AMI until the loan's original <br />maturity date. <br />Recommendation (exact action requested of Council): <br />Authorize the Mayor to sign the Subordination Agreement and Omnibus Amendment for the Use <br />Restriction Covenant. <br />