THE COUNCIL OF THE CITY OF NEW YORK
RESOLUTION NO. 1114
Resolution approving an Amended Project as an Urban Development Action Area Project pursuant to Section 694 of the General Municipal Law, for property located at 586 Linwood Street (Block 4050, Lot 25), 669 Linwood Street (Block 4067, Lot 8), 806 Blake Avenue (Block 4058, Lot 18), 980 Dumont Avenue (Block 4081, Lot 23), 617 Cleveland Street (Block 4065, Lot 22), 291 Hinsdale Street (Block 3767, Lot 10), 289 Hinsdale Street (Block 3767, Lot 11), 287 Hinsdale Street (Block 3767, Lot 12), 285 Hinsdale Street (Block 3767, Lot 13), 848 Blake Avenue (Block 4060, Lot 16), and 588 Warwick Street (Block 4062, Lot 30), Borough of Brooklyn, Community District 5 (L.U. No. 545; 20205026 HAK).
By Council Members Salamanca and Adams
WHEREAS, the New York City Department of Housing Preservation and Development ("HPD") submitted to the Council August 13, 2019 its request dated August 9, 2019, pursuant to Section 694 of the General Municipal Law, that the Council approve an Amended Project as an Urban Development Area Project (the “Amended Project”) for property located at 586 Linwood Street (Block 4050, Lot 25), 669 Linwood Street (Block 4067, Lot 8), 806 Blake Avenue (Block 4058, Lot 18), 980 Dumont Avenue (Block 4081, Lot 23), 617 Cleveland Street (Block 4065, Lot 22), 291 Hinsdale Street (Block 3767, Lot 10), 289 Hinsdale Street (Block 3767, Lot 11), 287 Hinsdale Street (Block 3767, Lot 12), 285 Hinsdale Street (Block 3767, Lot 13), 848 Blake Avenue (Block 4060, Lot 16), and 588 Warwick Street (Block 4062, Lot 30), Community District 5, Borough of Brooklyn (the “Disposition Area”):
WHEREAS, the request made by the New York City Department of Housing and Development is related to a previously approved City Council Resolution No.1263 (L.U. No. 428) dated October 27, 2016 (the “Original Resolution”);
WHEREAS, upon due notice, the Council held a public hearing on the Amended Project on October 3, 2019; and
WHEREAS, the Council has considered the land use and financial implications and other policy issues relating to the Amended Project.
RESOLVED:
The Council approves the Amended Project as an Urban Development Action Area Project pursuant to Section 694 of the General Municipal Law.
The Amended Project shall be developed upon the terms and conditions in the Amended Project Summary that HPD has submitted to the Council on August 13, 2019, a copy of which is attached hereto.
Adopted.
Office of the City Clerk, }
The City of New York, } ss.:
I hereby certify that the foregoing is a true copy of a Resolution passed by The Council of The City of New York on October 17, 2019, on file in this office.
..................................………….
City Clerk, Clerk of The Council
PROJECT SUMMARY
1. PROGRAM: NEW INFILL HOMEOWNERSHIP
OPPORTUNITIES PROGRAMS
2. PROJECT: Blake Hendrix
3. LOCATION:
a. BOROUGH: Brooklyn
b. COMMUNITY DISTRICT: 5
c. COUNCIL DISTRICT: 42
d. NEW PROJECT AREA: BLOCKS LOTS ADDRESSES
4050 25
4067 8
4058 18
4081 23
4065 22
3767 10-13
4060 16
4062 30
4. BASIS OF DISPOSITION PRICE: Nominal. Sponsor will pay one dollar per tax lot and deliver a note and mortgage for the remainder of the appraised value ("Land Debt"). For a period of twenty (20) years following completion of construction, the Land Debt will be repayable out of resale or refinancing profits.
5. TYPE OF PROJECT: New Construction
6. APPROXIMATE NUMBER OF BUILDINGS: Up to 13
7. APPROXIMATE NUMBER OF UNITS: Up to 30
8. HOUSING TYPE: 2-Family and 3-Family Homes. If homes remain unsold at the end of the Marketing Period and HPD determines in writing that (i) sale is not feasible within a reasonable time, and (ii) a rental fallback is the best available alternative, then the unsold homes may be rented in accordance with the written instructions of HPD.
9. ESTIMATE OF INITIAL PRICE: Sales prices will be affordable to families with annual household incomes between 80% and 130% of the area median income (AMI).
10. LIENS FOR LAND DEBT: The difference between the appraised value of the land and the purchase price ("Land Debt") and the amount of any construction financing provided through loans from the City ("City Subsidy") are apportioned pro rata to each home and may be unsecured at the time of sale based on the home's post-construction appraised value. HPD may forgive the Land Debt (but not the City Subsidy) apportioned to a home upon conveyance of the home to an eligible purchaser, based on the appraised value of the home and/or if HPD determines that the forgiveness is necessary to reduce the taxable consideration that the eligible purchaser is paying for the home. Purchasers repay the Land Debt and City Subsidy, if any, attributable to their homes by delivering a note and mortgage and/or conditional grant agreement to the City. The sum evidenced by the note and secured by the security instruments will be reduced to zero after 20 years of owner occupancy. Initial purchasers and subsequent owners are required to make payments to the City out of resale or refinancing profits.
11. INCOME TARGETS: Families with annual household incomes between 80% and 130% of AMI.
12. PROPOSED FACILITIES: None
13. PROPOSED CODES/ORDINANCES: None
14. ENVIRONMENTAL STATUS: Type II
15. PROPOSED TIME SCHEDULE: Approximately 18 months from closing to completion of construction.