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Resolution Authorizing the City Manager to Enter into an Agreement with Blue Ridge Atlantic Development, LLC, d/b/a BRAD Apex on Market, LLC, for Gap Financing for a New Affordable Multiple-dwelling Development Utilizing $1,000,000 of the General Fund Committed Affordable Housing Fund
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Department: |
Housing & Neighborhood Services |
Meeting Date: |
9/23/2025 |
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Contact Name: |
Gilbert Combs |
Public Hearing: |
No |
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Contact Phone: |
910-341-5809 |
Advertising Date/Advertised By: |
N/A |
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Attachments: |
Attachment #1: Resolution; Attachment #2 Memo |
PURPOSE:
The purpose of this resolution is to approve funding from available General Funds to BRAD Apex on Market, LLC (“BRAD”), based upon their application requesting $1,000,000 from the City of Wilmington for a proposed 120-unit affordable housing development.
BACKGROUND:
BRAD applied to the City of Wilmington for $1,000,000 in funding to support Apex on Market, a 120-unit affordable Low-Income Housing Tax Credit (“LIHTC”) development. The project is being proposed at 2929 Market Street.
This project would be located within one mile of a pharmacy, a dentist's office, a public park, a convenience store, the YMCA, and a WAVE Transit bus stop. The units will be affordable for the following breakdown: 23 units at 30% area median income (“AMI”), 30 units at 50% AMI, 31 units at 60% AMI, and 36 units at 80% AMI.
The total project cost is estimated at over $40.19 million, meaning the investment from the City’s General Fund Committed Affordable Housing Fund of $1,000,000 is leveraging over $40 per $1 invested.
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BUDGET IMPACT:
General Funds located in the Affordable Housing Fund in the amount of $1,000,000 are available for this purpose.
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RECOMMENDATION / ACTION REQUESTED:
Staff’s recommendation is to approve the resolution authorizing the City Manager to enter into a funding agreement with BRAD in the amount of $1,000,000 at 1% interest and with a 30-year period of affordability. Repayment will be made based on cash flow and will continue over a period of at least 30 years. Monitoring of the property will be conducted to ensure compliance.