Primary Department: Housing and Community Development
Primary Department Head/Elected Official: Thao Costis, Executive Director
Secondary Department: N/A
Secondary Department Head/Elected Official: N/A
Regular or Supplemental RCA: Regular RCA
Type of Request: Contract - Amendment
Project ID (if applicable): D2017-090
Vendor/Entity Legal Name (if applicable): HCHA Redevelopment Authority, Inc. and First Met Apartments, LP
MWBE Contracted Goal (if applicable): 30%
MWBE Current Participation (if applicable): N/A
Justification for 0% MWBE Participation Goal: N/A - Goal is not 0% and is listed above
Grant Indirect Costs Rate (if applicable): N/A
Justification for 0% Grant Indirect Costs Rate (if applicable): N/A - Not a grant item
Request Summary (Agenda Caption):
title
Request for approval of a third amendment to an agreement between Harris County, HCHA Redevelopment Authority, Inc., and First Met Apartments, LP to extend the construction completion date to June 1, 2025, due to unforeseen site conditions for the First Met Apartments project.
end
Background and Discussion:
On August 11, 2020, Harris County Commissioners Court approved funding for and submission of the project (Project Number D2017-090).
On August 23, 2022, Commissioners Court approved a request for funding for the construction of First Met Senior Apartments.
On April 25, 2023, Commissioner’s Court approved the First Amendment to the agreement to adjustment the Leverage Budget to include the following: a) an increase in the Construction Line Item by $33,957, due to adding water submeters on all units; b) an increase in the General Soft Cost Line Item by $440,000, which includes HCHA Sales Tax Savings ($350,000) and construction Management Fee ($90,000); c) an increase in the Construction Financing Line Item by $142,566, due to higher than anticipated Builder's Risk Premium; d) an increase in the Permanent Loan Financing Line Item by $200,000 due to additional legal fee and title fees. The reason for the First Amendment for First Met Apartments is to Firm up Limited Partner Agreement LPA. The total Harris County CDBG-DR funding will be $23,368,381 and $1,631,618 in NSP1 Funds. The total project cost is $44,696,168.
On November 12, 2024, Commissioner’s Court approved the Second Amendment to the agreement to include an additional $346,624 in NSP-1 Funds to the acquisition line item. The original NSP-1 funds award amount will increase from $1,631,618 to $1,978,242. The CDBG-DR funds of $23,368,381 will remain unchanged.
WHEREAS now, the Parties desire to amend said Agreement for the Third Amendment to extend the project construction timeline by 165 calendar days for project completion by June 1, 2025.
Expected Impact:
No fiscal impact. The expected impact is an increase in the number of available affordable units reserved for low-income households.
Alternative Options:
There are very limited alternative options to extending the construction completion date. Extending this date allows the developer to stay in compliance with the terms of the agreement.
County Strategic Plan Goal: 6. Help residents achieve housing stability.
County Strategic Plan Objective: W: Transition people experiencing homelessness into permanent supportive housing.
Justice/Safety Initiative (Goal 1): N/A
Infrastructure Initiative (Goal 2): N/A
Economy Initiative (Goal 3): N/A
Health Initiative (Goal 4): N/A
Climate/Resilience Initiative (Goal 5): N/A
Housing Initiative (Goal 6): W2: Increase stock of permanent supportive housing.
Additional notes related to the Strategic Plan:
Prior Court Action (if any):
|
Date |
Agenda Item # |
Action Taken |
|
12-14-18 |
9.a. |
Approval of and resolution to submit to Harris County Supplement Action Plan to the GLO |
|
8-11-20 |
8.h.2 |
Approval of funding for the First Met Senior Apartments |
|
8-23-22 |
181. |
Approval of the loan agreement for First Met Senior Apartments |
|
4-25-23 |
147 |
Approval of First Met Senior Apartments Amendment #1 |
|
11-12-24 |
147 |
Approval of First Met Senior Apartments Amendment #2 |
Location:
Address (if applicable): 8730 West Sam Houston Parkway, Houston, Texas, 77040
Precinct(s): Precinct 1
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Fiscal and Personnel Summary |
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Grant |
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$ |
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Grant |
$ |
$ |
$ |
$ |
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Total Existing Budget |
$ |
$ |
$ |
$ |
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Additional Budget Request (Requires Fiscal Review Request Form) |
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Choose an item. |
$ |
$ |
$ |
$ |
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$ |
$ |
$ |
$ |
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$ |
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$ |
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Total Additional Budget Request |
$ |
$ |
$ |
$ |
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Total Funding Sources |
$ |
$ |
$ |
$ |
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Grants - Proposed Budget (To be filled out by Grants staff only) |
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Local Match Source - Existing Budget: Choose an item. |
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$ |
$ |
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Local Match Source - Additional Budget Request: Choose an item. |
$ |
$ |
$ |
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Grant Funds Applied for/Awarded (Total) |
$ |
$ |
$ |
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Personnel (Fill out section only if requesting new PCNs) |
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Current Position Count for Service |
- |
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Additional Positions Request |
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Total Personnel |
- |
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Anticipated Court Date: 4/10/2025
Anticipated Implementation Date (if different from Court date): Click or tap to enter a date.
Emergency/Disaster Recovery Note: Disaster Recovery related item
Contact(s) name, title, department: Samuel Borders, Director, Multi-Family Housing Development, Harris County Housing and Community Development
Attachments (if applicable):