Hamm Building conversion to 128 affordable units to seek up to $14M in conduit bonds

Laura Hansen, principal project manager on the multifamily housing team, introduced the Hamm Building conversion at 408 Saint Peter Street and previewed a request that will be before the HRA on Sept. 23 for up to $14,000,000 in conduit multifamily revenue bonds. The developer, PAC Properties, proposes converting vacant upper floors into 128 units affordable at 60% of area median income and reported total renovation costs of just over $49,000,000. The project will follow state and federal historic guidelines for renovations and is expected to be eligible for 4% low-income housing tax credits and historic tax credit equity.

Hansen emphasized this is a conduit financing request: "So what will be before you in 2 weeks on September 23 is a request up to $14,000,000 in multifamily conduit revenue bonds," she said. She reminded the board that conduit bonds do not constitute indebtedness of the HRA or the City; borrower entities will be responsible for all payments. The matter will return to the HRA for a public hearing and a resolution, and then to the city council for final approval on the same day.