Contract Request Template (Contracts; IGAs; Leases)
Date Submitted: 5-15-2023
Requesting Agency: Department of Housing Stability
Division:
Subject Matter Expert Name: Alex Marqusee
Email Address: Alex.Marqusee@denvergov.org
Phone Number:
Item Title & Description:
(Do not delete the following instructions)
These appear on the Council meeting agenda. Initially, the requesting agency will enter a 2-3 sentence description. Upon bill filling, the City Attorney’s Office should enter the title above the description (the title should be in bold font).
Both the title and description must be entered between the red “title” and “body” below. Do not at any time delete the red “title” or “body” markers from this template.
title
A resolution approving a proposed Loan Agreement between the City and County of Denver and Renewal Village Housing Corporation to support 108 supportive housing units and 107 non-congregate shelter units with common amenities at the former Clarion Hotel, now Renewal Village, located at 200 West 48th Avenue in Council District 9.
Approves a performance loan agreement with Renewal Village Housing Corporation for $10,420,331 and 60 years to support 108 supportive housing units and 107 non-congregate shelter units with common amenities at the former Clarion Hotel, now Renewal Village, located at 200 West 48th Avenue in Council District 9 (HOST-202366697). The last regularly scheduled Council meeting within the 30-day review period is on 7-10-2023. The Committee approved filing this item at its meeting on 5-17-2023.
body
Affected Council District(s) or citywide? 9
Contract Control Number: HOST-202366697
Vendor/Contractor Name (including any “DBA”): Renewal Village Housing Corporation
Type and Scope of services to be performed:
The Colorado Coalition for the Homeless (CCH) is closing on a purchase of the Clarion Hotel, now called Renewal Village, at 200 W. 48th Avenue in the Globeville neighborhood. The facility will provide supportive housing and non-congregate shelter for those experiencing homelessness. The former hotel contains 215 total units, which CCH will split into supportive housing and non-congregate shelter uses. CCH has received an award of 108 Colorado Division of Housing (CDOH) State Housing Vouchers to provide operational subsidy to 108 supportive housing studio units and is not applying to the City for supportive services funding. The remaining 107 units will serve as non-congregate shelter units with common amenities, subject to HOST’s standard non-congregate shelter performance requirements.
The rental and occumpancy covenant securing the rental and occupancy restrictions will run with the land for 60 years.
The borrower will be required to house people with low/moderate incomes as shown in the following table.
Unit Type 30%AMI 50%AMI Total Units
Studio 54 54 108
1BR
______________________________________
Total 54 54 108
The loan agreement, deed of trust, covenant and promissory note will be executed directly with the ownership entity, Renewal Village Housing Corporation in accordance with HOME regulations. Renewal Village Housing Corporation is a nonprofit corporation wholly owned and operated by Colorado Coalition for the Homeless.
Location (if applicable):
WBE/MBE/DBE goals that were applied, if applicable (construction, design, Airport concession contracts):
N/A
Are WBE/MBE/DBE goals met (if applicable)?
Is the contract new/a renewal/extension or amendment?
New
Was this contractor selected by competitive process or sole source?
For New contracts
Term of initial contract:
HOST-202366697 Subject to the terms of this Loan Agreement, the City agrees to lend Borrower the sum of Ten Million Four Hundred Twenty Thousand Three Hundred Thirty-One Dollars and NO/100 ($10,420,331.00) (the “Loan”). In addition to this Loan Agreement, Borrower will execute a promissory note in a form satisfactory to the City evidencing this Loan (the “Promissory Note”). The Loan will mature and be due and payable on the 60th anniversary of the Promissory Note (“Maturity Date”), if not paid sooner. The outstanding principal balance of the Loan shall bear simple interest at a rate of 0% per annum until paid in full or forgiven in accordance with the terms hereof. Repayment shall be forgiven by the City on the Maturity Date so long as Borrower is in compliance with the terms and conditions of this Loan Agreement
Options for Renewal:
How many renewals (i.e. up to 2 renewals)?
Term of any renewals (i.e. 1 year each):
Cost of initial contract term:
$10,420,331
Cost of any renewals:
Total contract value council is approving if all renewals exercised:
For Amendments/Renewals Extensions:
Is this a change to cost/pricing; length of term; terms unrelated to time or price (List all that apply)?
If length changing
What was the length of the term of the original contract?
What is the length of the extension/renewal?
What is the revised total term of the contract?
If cost changing
What was the original value of the entire contract prior to this proposed change?
What is the value of the proposed change?
What is the new/revised total value including change?
If terms changing
Describe the change and the reason for it (i.e. compliance with state law, different way of doing business etc.)