HomeMy WebLinkAbout1997-01-13 97-85 ORDERCOUNCIL ACTION
Date: anuary 13, 1997
Item No. 97-85
Item/subject: Authorizing Execution of Option to Leese and Lease Agreement -Hope House
Responsible Department: Community and Economic Development
Ceamentary:
Hope Hous, Inc. has requestedihe City lease an additional 0.9 acres of land adjacent to the lead curtently
leasedfromthegtyforitsfacilityaztheintersectionofTexeeandI iana Avenuesadjacentwthe Maine Business
Emerluise Park (ace allached). The lease of additional land is needed to expand its existing facility for the
development of 10 SRO (single room occupancy) units to provide a continuum of services for homeless people who
require supervisinnaspmt ofdmir recovery. HUD and the Maine State Housing Authority have made conditional
commitments to fund Ne facility at a currently estimated cost of $285,000. The final "Technical Submission" to
HUD requires an executed option to lease, or an executed lease agreement. This Order would authorize execution
of an option to leas, and when final funding is assured for the new facility, execution of a lease agreement.
The 30-year lease of City property for the existing Hope House facility for $1 per year expires April 17,
2016. The proposed revised lease would replace the existing lease and would incorporate the additional land area.
The term would be for twenty years at $1 per year. The Community and Economic Development Commiuce
initially reviewed this request, and the City's application for HUD fiends for the project on lune 5,1996 and voted
W recommend approval. This item will be reviewed with the current members of the C&ED Committee at its
January 8 meeting.
De ar[/enen[ esti
Manager 1 s Cormente: Ct- YWW �AwQ PUAA
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City Manager
Associated Information: 0411,,
Budget Approval: •, ^1
Finance Director
Legal Approval: �I
/I • 4
City Solicit
Introduced For $Passage ❑ First Reading ❑ Referral
Page-A�o£3
9]-85
Aeeip9,ed to Cpmcdw Baldacci ]aauaxy 13, 1997
iy,CITY OF BANGOR
(TITLE.) (DrDBrr, Author ang Execunon of Option to Leaseand Lease Agreement Hope House
By the My ComwB of Ow My of Bonsor:
ORDERED,
7"T WHEREAS, Hope House, Inc. has
requested the City gram a lean of
Texas
approximately 0.9 acres of additional property adjacent v its facility off Texas Avenue to
provide adequate
10 SRO
to expand its present) housing
to develop a Supervised Living Project
containing 10 SRO (single room occupancy) housing units for the homeless; and
WHEREAS, the development of the new facility was contingent upon the receipt of
finding from the City's application to the U.S. Department of Housing and Urban
Development for Federal Continuum of Can Homeless Assistance Funds as provided for
in the Stewart B. McKinney Homeless Assistance Ad and National Affordable Housing
Act; and
WHEREAS, said application was autocratical by passage of Council Order 96-280
on June 10, 1996 and the City has received notice of conditional selection for funding
trader the FY 1996 Supportive Housing Program to provide the foods necessary to develop
the SRO facility; add
WHEREAS, the Maine State Housing Authority bas approved an Agreement for
the Resection of Commodity Housing Development Organization Set -Aside Foods
pursuant to Ne Federal Home Investment Partnership Program to provide the matching
funds necessary to develop the SRO facility; and
WHEREAS, submission of the fired application / Technical Submission an the U.S.
Detainment of Housing and Urban Development for funding requires evidence of site
control in the form of an executed option to purchase or lease, or an executed lease
agreement;
NOW, THEREFORE, BE IT ORDERED THAT the City Nis Tager is hereby
summarized m execute an option to lease, aM upon final commitment of funds by the U.S.
Department of Housing and Urban Development, a revised Indenture of Lease by and
between the City of Bangor and Hope House, Inc., copies of which are on file in the City
Clerk's Office, and in a final form approved by the City Solicitor, to provide for the lease
of an additional 0.9 acres of land to Hope House, Inc, as depicted on Plan No: L-282
prepared by the City of Bangor Engineering Department dated December 27, 1996.
LN CITY COUNCIL
January 13. 1997
Passed
Cl CLE
97-83
ORDER
Title, Authorizing Execution of
Option to Lease Agre cuo-Hope
Noue
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Councilman
May 29, 1996
9J-85�
RECEIVED MAY g 0
Is .
V9 Indiana Avenue • Bangor, Maine 04301
Telephone Q07) 931-28W
Mr. Rod McKay, Director
Communing and Economic Development
City of Bangor
Bargm,ME 04401
Dear Mr. McKav,
Hope House would hike the Circ of Bangor to consider earning a lease for propem-
adjacenttoowcurrentleasedpropem-. We would like you to consider gaming that maseat the
ate of 51 which is the mm for our current site Anached is a map provided to us w Code
Enforcement by which they suggested that it consider the Property, in our north as most in
keeping with plans for the Enterprise Park.
This request is made in conjunction with and contingent upon the success of ow current
collaborative effort with the Civ of Bangor in me Alliance for HealCy Housing Options. A
major part of the continuum of mrsices for homeless people is a Supen hed kiting Project at
Hope House for chronic homeless shelter clients. R'e are requez[m¢ a housing facilin-next to
Hope House which would have to SRO mti[s for she targeted population . N addition. we have
allowed space in a basement area for a medical clinic which will be stalled by the Health First
(FQHC) project being sough[ by Acadia and other area hospitals.
As you know Hope House has no discretionary funds with which to match the federal
fim6s for the caoiml inv'ezunen[. ti order for this investment to be made, rte would need to have
the lease rapan of the latah match. Ism hope that tow committee and the Council will be as
•abinathe pmw jec[ w we and ocollaborative partners are. Ifyou lace questions
about the project, please contact me here at Hope House T.J. Manual and Stan Moses of
our office have also been part of the development of this plan and I'm sure they, wcold be happy
to discuss it with you or other Council members.
Sincerely
Stephen James
Executive Director
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