Department: Housing and Community Development
Department Head/Elected Official: Thao Costis, Executive Director
Regular or Supplemental RCA: Regular RCA
Type of Request: Contract - Award
Project ID (if applicable): D2017-091
Vendor/Entity Legal Name (if applicable): Pillar Pinnacle, LP
MWDBE Contracted Goal (if applicable): N/A
MWDBE Current Participation (if applicable): N/A
Justification for 0% MWDBE Participation Goal: N/A - Goal not applicable to request
Request Summary (Agenda Caption):
title
Request for approval of a loan agreement with Pillar Pinnacle Capital, LP, and Pillar Pinnacle, LP using CDBG-DR and HOME funding in the amount of $20,301,904 and $2,200,000 respectively for the Pinnacle Apartments Project in Precinct 3.
end
Background and Discussion:
On April 4, 2023, the Harris County Commissioners Court approved funding for and submission of the project (Project Number D2017-091). On December 8, 2023, the GLO notified Harris County it conditionally approved the Pinnacle Apartments project, including the Affirmatively Furthering Fair Housing review. The project was selected to receive CDBG-DR funds via a project application process that opened on September 28, 2022, and closed on October 20, 2022. Attached for Commissioners Court review and approval is a request for funding for the rehabilitation of Pinnacle Apartments, constructed in 2004, 23 two and three-story residential buildings consisting of 248 units for low to moderate- income for families of Harris County, of which 168 units will be set aside as Community Development Block Grant- Disaster (CDBG-DR) assisted units. Of the 168 assisted units, five (5) units are to be set aside for permanent supportive housing through the Continuum of Care’s (CoC) Coordinated Access System. Pillar Pinnacle LP will maintain ownership at project completion. The total Harris County CDBG-DR funding will be $20,301,904 and $2,200,000 in HOME Funds. The total project cost is $33,801,904.
Expected Impact:
The expected impact will be for Pillar Pinnacle, LP to utilize CDBG-DR and HOME funds and enter a loan agreement from Harris County to fund costs for the rehabilitation of the project and increase affordable housing for low to moderate-income families. The fiscal impact to Harris County would be $20,301,904 in CDBG-DR funding and $2,200,00 in HOME funds.
Alternative Options:
There are no alternative options as rehabilitation is needed to provide safe, resilient, and affordable rental housing units to families in the area. Approval of the loan agreement is necessary to move forward with the project.
Alignment with Goal(s):
_ Justice and Safety
_ Economic Opportunity
x_ Housing
_ Public Health
_ Transportation
_ Flooding
_ Environment
_ Governance and Customer Service
Prior Court Action (if any):
|
Date |
Agenda Item # |
Action Taken |
|
12-14-18 |
9. a. |
Approval of Harris County Supplemental Action Plan 2017 Texas CDBG-DR Hurricane Harvey Funding |
|
04-04-23 |
166 |
Approval to submit to GLO |
Location:
Address (if applicable): 10451 Huffmeister Rd, Houston, TX 77065
Precinct(s): Precinct 3
|
Fiscal and Personnel Summary |
|
Service Name |
Housing Development |
|
|
|
Current Fiscal Year Cost |
Annual Fiscal Cost |
|
|
Labor |
Non-Labor |
Total |
Recurring Expenses |
|
Funding Sources |
|
|
Existing Budget |
|
|
|
|
|
Grant |
$ |
$22,301,904 |
$22,301,904 |
$ |
|
Grant |
$ |
$2,200,000 |
$2,200,000 |
$ |
|
Choose an item. |
$ |
$ |
$ |
$ |
|
Total Current Budget |
$ |
$22,501,904 |
$22,501,904 |
$ |
|
Additional Budget Request (Requires Fiscal Review Request Form) |
|
|
Choose an item. |
$ |
$ |
$ |
$ |
|
Choose an item. |
$ |
$ |
$ |
$ |
|
Choose an item. |
$ |
$ |
$ |
$ |
|
Total Additional Budget Request |
$ |
$ |
$ |
$ |
|
Total Funding Request |
$ |
$22,501,904 |
$22,501,904 |
$ |
|
Personnel (Fill out section only if requesting new PCNs) |
|
|
Current Position Count for Service |
- |
- |
- |
- |
|
Additional Positions Request |
- |
- |
- |
- |
|
Total Personnel |
- |
- |
- |
- |
Anticipated Court Date: March 26, 2024
Anticipated Implementation Date (if different from Court date): N/A
Emergency/Disaster Recovery Note: Disaster Recovery related item
Contact(s) name, title, department: Sam Borders Director, Multi-Family Housing Development
Attachments (if applicable): Loan Agreement