Title
Consider/Discuss/Act on a Resolution by the City Council of the City of McKinney, Texas, Acknowledging the Tax Exempt Status of Certain Real Property and Improvements Under the Texas Housing Finance Corporation Act for the Project Located at 2150 Collin McKinney Parkway, Owned by a Wholly-Owned Affiliate of the McKinney Housing Finance Corporation, and Known as McKinney Flats, A 205-Unit Multi-Family Residential Development
Summary
COUNCIL GOAL: Enhance the Quality of Life In McKinney
5F: Maximize Partnerships Between the City and Private Industry
MEETING DATE: January 5, 2020
DEPARTMENT: City Attorney
Housing & Community Development
CONTACT: Mark Houser, City Attorney
RECOMMENDED CITY COUNCIL ACTION:
• Approve Resolution
ITEM SUMMARY:
• The City Council duly created and organized the McKinney Housing Finance Corporation (“MHFC”) pursuant to and in accordance with the provisions of the Texas Housing Finance Corporations Act, Texas Local Government Code, Chapter 394, as amended
• June 30, 2020, McKinney Flats Holdings, LLC, a wholly-owned affiliate of the MHFC took fee simple ownership of that certain property located at 2150 Collin McKinney Parkway, in the City of McKinney, Collin County, Texas
• Section 394.905 of the Act states all property owned by a Housing Finance Corporation is exempt from taxation
BACKGROUND INFORMATION:
• October 12, 2018, City Council approved the Request for Qualifications (RFQ) for Future Affordable Housing Development Utilizing Public Private Partnership with the MHFC
• October 12, 2018 Overview of Partnership Structure was presented to City Council
FINANCIAL SUMMARY:
• The MHFC has received $321,949 to date from the project. Over the life of the project, the MHFC may receive up to $5,100.000 from contractual partnership revenues. The MHFC will also receive $862,501 over the lifetime of the bonds issued for the development.
BOARD OR COMMISSION RECOMMENDATION:
• N/A