blue point bay

8/6/2019 Blue Point Bay

1/38

Check all that apply:

Federal Low Income Housing Tax Credit

State Low Income Housing Tax Credit

Tax Exempt Bonds

Rental Production Program (RPP) Loan

Requested RPP Loan Amount:RPP Loan Product Requested: CHDO

Print Preview - Final Application

Tax Credits, RPP Loans, and/or Tax Exempt Bond Loans

Resources Requested

110,000

Page 1 of 38Print - APP03-0060

1/14/2005https://www.nchfa.org/Rental/RTCApp/(zkcny155qrxq25u4nbpedw45)/site/PrintApp.aspx...


2/38

Is project in Qualified Census Tract & Difficult to Develop area:

Project Name and Location

Project Name: Blue Point Bay

Address: Murdoch Road

City: Morehead City County: CARTERET Zip: 28557

Census Tract: 9705 Block Group: 4

No

Political Jurisdiction: 3rd Congressional District

Jurisdiction CEO Name: First: Last:Gerald Jones Title: Mayor

Jurisdiction Address: 706 Arendell Street, Drawer M

Jurisdiction City: Morehead City Zip: 28557

Jurisdiction Phone: (252)726-5243

Site Latitude: 34.7445

Site Longitude: -76.8214




3/38

Is this project a follow-on (Phase II, etc) to a previously-awarded tax credit development project?

If yes, list names of previous phase(s):If yes, list names of previous phase(s):

Will the project be receiving federal rental assistance?

If yes, provide the subsidy source:If yes, provide the subsidy source: HUD and number of units:and number of units:

Target Population: Family

Indicate below any additional targeting for special populations proposed for this project:

Square Footage Information

Project Description

Project Type:* New Construction Rehab Adaptive Reuse

No

Yes

1313

Mobility impaired handicapped: 5% of units comply with QAP Section IV(F)(3) (in addition to other federal and staterequirements)

Persons with disabilities or homeless populations: the greater of 5 units or 10% of the total units

Remarks: ECCDI has targeted 8 units for mobility impaired handicapped. All units will be on the ground floorwith handicapped parking spaces close by. In addition ECCDI has targeted 7 units for disabledpersons. Please see the attached targeting plan and MOU with the local lead agent.

Proposed number of residential buildings: 4 Maximum number of stories in buildings: 2

Types of Units:* Townhouse Duplex Garden Apartment Detached Single-Family

Project Includes:Separate community building -- Sq. Ft. (Floor Area):Sq. Ft. (Floor Area): 1,9021,902

Community space within residential bulding(s) -- Sq. Ft. (Floor Area):Sq. Ft. (Floor Area):

Elevators -- Number of Elevators:Number of Elevators:

Gross Floor Square Footage: 90,750

Total Net Sq. Ft. (All Heated Areas): 71,322




4/38

Applicant Information

Applicant Name: East Carolina Community Development Inc. - Managing Member

Address: 315 Turner Street

City: State: NC Zip:Beaufort 28516

Contact: First: Last: Title:Keith Walker CEO & President

Telephone: (252)504-3996

Alt Phone: (252)504-2424

Fax: (252)504-2248

Email Address: [email protected]




5/38

Total Site Acreage: Total Buildable Acreage:

If buildable acreage is less than total acreage, please explain:

Identify utilities and services currently available (and with adequate capacity) for this site:

Storm Sewer Water Sanitary Sewer Electric

Is the demolition of any buildings required or planned?

If yes, please describe:

Are existing buildings on the site currently occupied?If yes:(a) Briefly describe the situation:

(b) Will tenant displacement be temporary?

(c) Will tenant displacement be permanent?

Is the site in a distressed neighborhood?

If yes, does a community revitalization plan exist?

Is the site directly accessed by an existing, paved, publicly maintained road?

If no, please explain:

Site Description

8.23 7.08

The site consists of approximately 8.23 acres with frontage on Murdoch Road in Morehead City,North Carolina. The site is about 1000 feet north of U.S Highway 70 and Murdoch Road intersection.Elevations of 18 to 19 feet MSL on the site are unusually favorable for this coastal plain area near

Bogue Sound, and the site is several feet higher than Murdock Road and the land to the east ofMurdock Road. Hence, drainage is expected to be excellent throughout the project.

In the interior of the site is a narrow strip which totals approximately 1.15 acres or about 14% of thesite which is U.S. Army Corps section 404 jurisdictional wetlands. The total site consists of 8.23acres of which 7.08 acres are buildable uplands. The 1.15 acres not categorized buildable uplandsprovide no obvious barriers to the development of this project.In character, this site has only slightlylower elevations than the highest portions of the site, drains well, and provides sufficient acreage sothat the project's impervious surface ratio is a bit below the ratio that triggers the requirement for anon-site retention pond. Because the section 404 area drains so well, our engineers plan to routestorm water through this area on the surface, with considerable economic savings vs. extensivestorm sewer pipes.

A further advantage of this section 404 area is that it provides additional space for the natureinterpretive walking trail and good space away from the buildings for related amenities such asresident gardens. The site plan included elsewhere in this application illustrates how the presence ofthis section 404 area actually improves the livability of the proposed project.

No

No

No

Yes




6/38

Is any portion of the site located inside the 100 year floodplain?

If yes:(a) Describe placement of project buildings in relation to this area:

(b) Describe flood mitigation if the project is in the East Region and will have improvements within the 100 year floodplain:

No




7/38

Does the owner have fee simple ownership of the property (site/buildings)?

If yes provide:

Purchase Date: Purchase Price:

If no:

Site Control

No

(a) Does the owner/principal or ownership entity have vaild option/contract to purchase the property? Yes

(b) Does an identity of interest (direct or indirect) exist between the owner/principal or ownership entity with the option/contract for

purchase of the property and the seller of the property?If yes, specify the relationship:

No

(c) Enter the current expiration date of the option/contract to purchase: 09/01/2003

(D) Enter Purchase Price: 530,000




8/38

Present zoning classification of the site:

Is mutifamily use permitted?

Are variances, special or conditional use permits or any other item requiring a public hearing needed to develop this proposal?

If yes, have the hearings been completed and permits been obtained?

If yes, specify permit or variance required and date obtained. If no, describe permits/variances required and schedule for obtainingthem:

Is a public hearing of any kind required in the future for you to fully develop this property?

If yes, describe the nature of the hearing and when you expect the hearing will be held:

Are there any existing conditions of historical significance located on the project site that will require State Historic Preservation office review?

If yes, describe below:

Are there any existing conditions of environmental significance located on the project site?

If yes, describe below:

Zoning

Planned development multi-family

Yes

No

No

No

No




9/38

Ownership Entity

Owner Name: Blue Point Bay LLC


City: State: NC Zip:Beaufort 28516

Federal Tax ID Number of Ownership Entity: (If assigned)

Federal Tax ID Number of Managing GP or Member: (If Not Assigned)56-1909969

Entity Type: Limited Liability Company

Entity Status: Already Formed

Is the applicant requesting that the Agency treat the application as Non-Profit sponsored? Yes

Is the applicant requesting that the Agency treat the application as CHDO sponsored? Yes

List all general partners, members,and principals. Specify nonprofit corporate general partners ormembers. Click [Add] to add additional partners, members, and principals.

Org: East Carolina Community Development Inc.

First Name: Keith Last Name: Walker Function: Managing Member


City: Beaufort State: NC Zip: 28516

Phone: (252)504-3996 Fax: (252)504-2248

EMail: [email protected] Nonprofit: Yes TaxID 56-1909969




10/38


11/38

Specify Low Income Unit Targeting in table below. List each applicable targeting combination in a separate row below. Click [Add] to createanother row. Click "X" (at the left of each row) to delete a row. Add as many rows as needed.

Total Low Income Units:

Note: This number should match the total number of low income units in the Unit Mix section.

Targeting

# BRs Units %

2 8 targeted at 40 percent of median income.






64




12/38

Estimated pricing on sale of Federal Tax Credits: $0.

Remarks concerning project funding sources:(Please be sure to include the name of the funding source(s))

Loans with Variable AmortizationPlease fill in the annual debt service as applicable for the first 20 years of the project life.

Funding Sources

Source AmountNon-

Amortizing*Rate(%)

Term(Years)

Amort.Period(Years)

AnnualDebt

Service

Bank Loan

RPP Loan 110,000 2.00 20 20Local Gov. Loan - Specify:

0

RD Loan 490,000 6.00 20 30 35,253

AHP Loan 960,000 2.00 20 30 42,580

Other Loan 1 - Specify:0



Tax Exempt Bonds 0

State Tax Credit(Loan) 922,259 0 30 30 0

State Tax Credit(Direct Refund)

Equity: Federal LIHTC 2,830,407

Non-Repayable Grant 0

Equity: Historic Tax Credits 0

Deferred Developer Fees 58,847

Owner Investment 0 Other - Specify:

0

Total Sources** 5,371,513

* "Non-amortizing" indicates that the loan does not have a fixed annual debt service. For these items, you must fill in 20-year debt servicebelow.

** Total Sources must equal total replacement cost in Project Development Cost (PDC) section.

78

The sponsor has submitted applications for USDA 538 loan guarantees (refer AttachmentT.5.)and FHLBA AHP subsidized loans with Bank of America. Funding committments areanticipated in June 2003. Bank of America has issues letters of intent which are included in

the application. In addition the applicant proposes NCHFA RPP funding in the minimumamount of $95168. The sponsor is a certified CHDO. The sponsor has used a pricing estimateof $0.78. This estimate is supported by Raymond James Tax Credit Funds, Inc. Please referExhibit T.3.

RPP repayments below reflect the correct amount.sk

RPP Loan




13/38

Year:Amt:

1

6800

2

6800

3

6800

4

6800

5

6800

6

6800

7

6800

8

6800

9

6800

10

6800

Year:Amt:

11

6800

12

6800

13

6800

14

6800

15

8300

16

8500

17

7300

18

6500

19

4700

20

3500




14/38

Development Costs

Item Cost Element TOTAL COSTEligible Basis

30% PV 70% PV

1 Purchase of Buildings (Rehab) 0 0

2 Demolition 0 0

3 On-site Improvements 510,534 510,534

4 Rehabilitation 0 0

5 Construction of New Building(s) 2,572,577 2,572,577

6 Accessory Building(s) 0 0

7 General Requirements 185,000 185,000

8 Contractor Overhead 53,796 53,796

9 Contractor Profit 215,183 215,183

10 Construction Contingency 106,000 106,000

11 Architect's Fee - Design 35,000 35,000

12 Architect's Fee - Inspection 15,000 15,000

SUBTOTAL (lines 1 through 12) 3,693,090

13 Construction Insurance (prorate) 8,000 8,000

14 Construction Loan Orig. Fee (prorate) 22,500 22,500

15 Construction Loan Interest (prorate) 100,000 100,000

16 Construction Loan Credit Enhancement (prorate) 0 0

17 Construction Period Taxes (prorate) 3,500 3,500

18 Water, Sewer and Impact Fees 89,600 89,600

19 Survey 7,500 7,500

20 Property Appraisal 3,500 3,500

21 Environmental Report 4,000 4,000

22 Market Study 6,040 6,040

23 Bond Costs (specify) 0

24 Cost of Issuance 0

25 Placement Fee 0

26 Permanent Loan Origination Fee 0

27 Permanent Loan Credit Enhancement 0

28 Title and Recording 1,000

SUBTOTAL (lines 13 through 28) 245,640

29 Real Estate Attorney 5,000 5,000

30 Other Attorney's Fees 26,500 26,500

31 Tax Credit App Fees 24,866 24,866

32 Cost Certification/Accounting Fees (specify) 22,500 22,500

33 Tax Opinion 1,000

34 Organizational (Partnership) 1,500

35 Tax Credit Monitoring Fee 38,400


36 Furnishings and Equipment 15,000 15,000

37 Relocation Expenses 0 0

38 Developer's Fee (max 15% lines 2-36, less 8 & 9) 570,000 570,000

39 Soil borings: Testing: Travel 9,700 9,700

40 Other Basis Expense (specify)

41 Rent-up Expenses 16,000

42 Other Non-basis Expence (specify)

43 Other Non-basis Expense (specify)


44 Rent up Reserve 19,200




15/38

Comments:

45 Operating Reserve 153,117

46 Other Reserve (specify)

47 Other Reserve (specify)

48 DEVELOPMENT COST (lines 1-47) 4,841,513 0 4,611,296

49 Less Federal Financing

50 Less Disproportionate Standard

51 Less Nonqualified Nonrecourse Financing

52 Less Historic Tax Credit (residential) 0

53 TOTAL ELIGIBLE BASIS 4,611,296 0 4,611,296

54 Times Applicable Fraction 100.00% 100% 100%

55 TOTAL QUALIFIED BASIS 4,611,296 0 4,611,296

56 Tax Credit Rate 0.00% 7.87%

57 FEDERAL TAX CREDITS at Estimated Rate 362,908 0 362,908

57a FEDERAL TAX CREDITS at 8.5% or 3.75% 391,960 0 391,960

58 FEDERAL TAX CREDITS REQUESTED 392,914 392,914

59 STATE TAX CREDITS 945,202

60 Land Cost 530,000

61 TOTAL REPLACEMENT COST 5,371,513

units have been split to rents esc. to HOME rents.




16/38

Please provide a detailed description of the proposed project:

Construction (check all that apply):

Brick Vinyl Wood HardiPlank Balconies/Patios Sunrooms Front Porches

Front Gables or Dormers Wide Banding or Vertical/Horizontal Siding

Other:

Market Study Information

Blue Point Bay will consist of 64 general occupancy affordable rental apartments in four two-storybuildings. Unit mix will include two and three bedroom apartments and be offered to families andindividuals at 40%, 50% and 60% of the Area Median Income. The designs submitted by ArthurCogswell and Stroud Engineering are consistent with the North Carolina Housing Finance Agencydesign guidelines, to which the project will adhere.

The project will be similar to existing successful ECCDI developments, Elm Green apartments inNewport, NC. and Phoenix Park in Jacksonville, NC. However, whereas Elm Green and PhoenixPark each have 48 apartments in 3 residential buildings, Blue Point Bay will have 64 apartments infour residential buildings.

The design is aesthetically pleasing and presents as a market rate project, and does not matchtraditional expectations of a housing development for very low-income clientele.

The two-story design is particularly suitable for use in a non-urban community such as MoreheadCity, North Carolina where citizens are not accustomed to vertical living in three or more stories.

The proposed design is compatible with the use of horizontal siding, the type of trim and otherdesign characteristics of the recent townhouse and single-family developments throughoutMorehead City. Blue Point Bay will look appropriate in its neighborhood and in the wider community.

Consisting of four two-story buildings with 16 units in each building, the wood framed buildings willfeature brick and vinyl siding exteriors. Additional construction characteristics will include brokenrooflines, front gables, and wide band vertical/horizontal siding.

The design is relatively cost effective and the floor plans livable and easily furnishable. Laundryhookups will be in every unit, especially important as we expect many resident households toinclude children. Other unit specific amenities will include patio or balcony, a fully equipped kitchenwith refrigerator, and oven/range with hood, a dishwasher, a garbage disposal, a pantry,washer/dryer hook ups, mini blinds, walk-in closets, ceiling fans, central heat and air, additionalstorage, wall to wall carpeting in all living areas and vinyl flooring in the kitchen and bathrooms.

Blue Point Bay will also have a 1902 square foot community building (paint to paint). The communitybuilding will include two offices, one for the property manager and one for the supportive servicesmanager. The second office provides a private space for counseling and personal reviews thatcannot occur effectively without the availability of privacy. A catering kitchen opens to the mainmulti-purpose community room. Residents at other developments have reported that the ability tohave snacks, covered dish suppers and other events involving food is a huge plus encouraging

frequent, effective use of the community building. Food service capability in conjunction withmeeting and activity space will make the Community Center become a focal point for Blue Point Bayresidents, not just the location of offices for the developments staff.

Additional community amenities will include a common laundry area, a playground, car wash area,ball fields, picnic area including grills, gazebos, walking trails, and garden spots.

Operating within NCHFA guidelines for Blue Point Bay, the following design features are applied:Office /Community space exceeds 200 square feet. The bathrooms are handicap accessible. Themaintenance room exceeds 100 square feet.

Unit size exceeds the recommended requirement as follows:2 bedrooms: 920 square feet and 3 bedrooms: 1152 square feet.Master bedrooms exceed 145 square feet, and the proportions allow use of queen beds plusnightstands plus wall space for one or more chests. Master bedrooms also have walk in closets. Thethree bedroom units have two baths, with good vanity space for personal hygiene items. All unitshave separate dining areas large enough to accommodate a family size table.Exterior storage of 25 square feet is included for each unit.Plumbing will be in interior walls to avoid freezing.Breezeway entrances will be covered.Water heaters will be in interior heated spaces, will be in pans and will be drained and piped.HVAC will be 11.0 SEERConsiderable areas of brick will be used in building exteriors, particularly foundations.Exterior lighting will illuminate all ingress/egress areas and parking space.Address signs will be highly visible.




17/38

Have you built other tax credit developments that use the same building design as this project?

If yes, please provide name and address:

Site Amenities (check all that apply):

Onsite Activities:

Peepholes and Deadbolt locks will be included.Aluminum, Double Pane, with thermo break windows will be used throughout.Steel, 6 panel entry doors will be used for each unit.Low maintenance exteriors will include: Brick, vinyl siding, vinyl trim, refinished fascia and soffit,gutters with guards.Roof will include anti-fungal shingles with 25-year warranties. Extensive ridge and eave vents willalso be used which will exceed code and minimize heat build-up inside the roofs. Roof gables will bevinyl or aluminum.Dishwashers and garbage disposals will be included in all units.Sound transmission will be reduced by double stud walls between units with offset studs, offset

electrical boxes and insulation.NORMAC Cabinets will be used. These have duals tracks, stout hinges and are both highly durableand attractive. These cabinets have been used at ECCDIs Camellia Court, Elm Green, and Troonapartments with excellent results,Carpet and pad will meet or exceed FHA standards. Bath, kitchen and utility space will use VCT orhighly durable vinyl. Other spaces will have wall-to wall carpet with 6 pound rebond pad.First floor door widths will meet all accessibility standards. Water closets will comply with the 18-inchwall center standard. Mirrors will be of generous size and extend to backsplashes. Anti-scald valveswill be installed in tubs and showers.Hallways will meet the required 36-inch width.A generous landscaping budget will provide for an attractive overall site.Overhead lighting will be included in living areas and bedrooms in combination with ceiling fans,which have been popular with residents in our other affordable communities. They have contributedto a material reduction in utility bills.Fire extinguishers will be placed in each kitchen. Two parking spaces per unit will be provided.

Yes

Elm Green Apartments100 Elm Green Loop DriveNewport, NC 28570Phoenix Park ApartmentsPhoenix Park DriveJacksonville, NC 28546

Community Bldg - Sq Ft: 2,342 Community Room - Sq Ft: Garages - Number:

Laundry Rm Screened Porch Resident Computer Center Exam Rm Reading Rm/Library

Game/Craft Rm Exercise Rm TV Rm Beauty Salon Vending Rm

Chapel/Prayer Rm Picnic Area Onsite Leasing Office Onsite Mgr Onsite Maint. Person

Irrigated Lawns Security Gate Car Care Area Storage Units Gazebos

Walking Trails Garden Spots Basketball/Tennis Court Playground Ball Field

Pool Fitness Stations Horseshoe Pit Shuffleboard Covered Drive Thru

A comprehensive supportive services plan will be in place at Blue Point Bay for the benefit ofresidents. The Supportive Services Representative/Community Resource Coordinator will work in

conjunction with the on-site manager to organize functions and facilitate community focussedevents. Newsletters and fliers will be used to spread news, share information and advertiseupcoming events. These may include: Parenting workshops working towards stronger families and stronger community. Self-Sufficiency and Budgeting workshops. Homework hour for the school aged children with tutoring and drug prevention components. Art classes providing alternative activities for individual expression. Homeownership education leading to goal oriented economic self-sufficiency and financial literacyclasses. Preventative health screening including blood pressure screenings. Community events which provide positive opportunities for families to interact. Referrals to agencies to provide special populations with assistance to live independently. Mediation and advocacy support and training to provide residents with the skills to advocate for theneeds of their families.




18/38

Landscaping Plans:

Interior Apartment Amenities (check all that apply):

Flooring: Carpet Vinyl Wood Wood Parquet Ceramic Tile Other

Heating/Cooling: Central Air Gas Heat Heat Pump Electric Pump

Do you plan to submit additional market data (market study, etc.) that you want considered?

If yes, please make sure to include the additional information in your pre-application packet.

A generous landscaping budget of $900 per unit has been set aside. Engineers will take advantageof a 1.15 acre 404 area to provide a nature interpretive walking trail. The area is away from thebuildings and allows for related amenities such as resident gardens. The site plan includedelsewhere in this application illustrates how the presence of the section 404 area actually improvesthe livability of the proposed project.

Range Hood Dishwasher Disposal Refrigerator (frost free) Storage interior/exterior

W/D Hookups Mini-blinds Pantry Ceiling fans Walk-in closets

Yes




19/38

Briefly describe your site in each of the following categories:

Applicant's Site Evaluation

NEIGHBORHOOD CHARACTERISTICS

Physical condition of buildings and improvements. Trend and direction of real estate developmentrelative to the project. Area economic health (degree of decline or investment).

Morehead City, N.C. is situated on a peninsula bordered on the south by the inland waterway;east/north east by the Newport River; and the north by Calico Creek. Due to the curvature of thecoast at this point, the Atlantic Ocean lies both south and east of Morehead City. The area isaffectionately known as the "Crystal Coast" of North Carolina. Morehead City is the largest town inpopulation [7,691] in Carteret County and is a popular summer resort and fishing area, providingmost of the goods and services to both the permanent and seasonal population.

The 8.23-acre site for the proposed project is a portion of a 23-acre vacant site which extends southalong Murdock Road about mile to Highway 70, the main highway through Morehead City. Thesubject parcel is the portion of the 23 acres furthest from Highway 70.

The site neighborhood is bordered by the Newport River to the north east: a mix of residential andcommercial land uses to the south with some vacant land; single-family residential, public schooland vacant land uses to the east; and predominantly vacant land uses to the west. US Hwy 70 to thesouth is almost fully developed with a combination of retail, commercial and residential uses.

Suitability of surrounding development. Land use pattern is primarily residential with a balance of

other uses, including non-competing multifamily and single family units, relevant amenities, shoppingand services.North and East of the site are modest homes, many well maintained and also a number of mobilehomes. The majority of the surrounding land is undeveloped and is zoned for a PlannedDevelopment which is anticipated to include single family for-sale housing. A gated residentialcommunity is north and east of the site off Old Airport Road. South of the site across highway 70 isBrandywine Bay, an established but still developing golf and residential community. The area alongHighway 70 is primarily used by retail businesses with two relatively new auto dealers havingshowrooms across highway 70 from the site. Diagonally opposite is Plantation Place, a commercialdevelopment with resident businesses inlcuding a diner and an insurance office. The Cypress Bayshopping plaza, (home to Sears and a new Belk department store) and the Wal-Mart Super Centershopping center (housing a Wal-Mart, Lowes and a Staples store) is only mile east of the sitealong Highway 70. Many new business ventures have commenced operations in the same area inthe last 18 months. These include The Sound Banking Group a local community based bank,Ruby Tuesdays restaurant, The Outback Steakhouse restaurant, a Dollar Tree store and numerousother retail outlets.

North and west of the site are areas of undeveloped land, including farmland and woodland, asexpected in a semi rural area such as Morehead City.

The remainder of the 23-acre vacant site from which this parcel will be subdivided is zoned PlannedDevelopment and intended for moderately priced, for sale-attached housing. ECCDI understandsthere are active negotiations underway for the development of the land parcel at the corner ofMurdock Road and Highway 70 at the far end of the 23-acre vacant site. Adjacent to the site,predevelopment plans are in progress for single family market rate housing.

In summary, this developing part of Morehead City is a highly desirable area for an affordable multi-family project: Over the past few years the Morehead City area has experienced an increase inresidential and commercial development, especially in the retail sector. Most of this developmenthas occured along this Hwy 70 corridor. Underutilized land in the area provides a good potential forcontinued development and growth in the neighborhood. The site's immediate neighborhood istransitioning from vacant land use to development of higher density residential communities.

SITE SUITABILITY

Adequacy of street(s) and/or access road(s) serving the proposed project and traffic controls (lights,stop signs, turning lanes). Access to mass transit (if applicable).Murdock Road, on which the site has frontage, is a 2 lane residential road with low traffic volume,which can clearly support the additional traffic volume from the proposed project and any other newdevelopment in the area. There is a stop sign at the corner of Highway 70, and a median island inHighway 70 with a curb cut and short acceleration lane to support left turns into Highway 70 fromMurdock Road. Access and traffic conditions for a multi-family development at this site all appearpositive.

Amount and character of vacant, undeveloped land. Effect of industrial, large-scale institutional orother incompatible uses: wastewater treatment facilities, high traffic corridors, junkyards, prisons,




20/38

landfills, large swamps, distribution facilities, frequently used railroad tracks, power transmission linesand towers, factories or similar operations, sources of excessive noise, and sites with environmentalconcerns (such as odors or pollution).This site is integrated into an existing residential area, which is likely to expand as Morehead Cityspath of development continues west in a band a mile or so in depth on each side of Highway 70. Onthe site there are no overhead power lines, no known flood hazards or other incompatible land usesnearby that would degrade the quality of life for residents at the proposed project. Highway 70seems the ideal distance away close enough for quick access but far enough away (approx mile)that Highway 70 traffic volume and traffic noise will not impact on the development.

Degree of on-site negative features and physical barriers that will impede project construction oradversely affect future tenants; for example: power transmission lines and towers, flood hazards,steep slopes, large boulders, ravines, year-round streams, wetlands, and other similar features. Foradaptive re-use projects- suitability for residential use and difficulties posed by the building(s), suchas limited parking, environmental problems or the need for excessive demolition.There are no known physical barriers to the proposed development on this site. Its relatively highelevations of +18 to +19 ft. MSL are usually favorable for this part of Carteret County, and willfacilitate drainage. As with most areas in the coastal plain, the site has very little slope. The 1.15acres of Section 404 Jurisdictional wetlands of the total 8.23 acres is dry and will provide space for anature interpretive trail plus some solitude for garden spots. Opportunities for on site green spaceand personal solitude are not usually available at projects on slightly smaller sites which have to bemore intensely developed to achieve the same total unit count. The developer considers theadditional outdoor space for play and recreational areas crucial given the large number of childrenexpected to live at the development.

Similarity of scale and aesthetics/architecture between project and surroundings.The Blue Point Bay development will be the newest apartment complex of its size and scale in thisdevelopment corridor of Morehead City. This development is part of a greater neighborhooddevelopment estimated to be in place by 2005. The adjoining property owners plan to develop 40single family detached homes of size no greater than 1300 sq. ft. The development is well placed onthe edge of rapidly developing triangle between Hwy 70 and Hwy 24 while its outer rear perimeterremains unspoilt bordered by a natural and undeveloped rural strip.

The chosen design is aesthetically pleasing and presents as a market rate project, and does notmatch traditional expectations of a housing development for very low-income clientele. The two-story design is particularly suitable for use in a non-urban community such as Morehead City, NorthCarolina where citizens are not accustomed to vertical living in three or more stories.

The proposed design is compatible with the use of horizontal siding, the type of trim and otherdesign characteristics of the recent townhouse and single-family developments throughoutMorehead City. Blue point Bay will look appropriate in its neighborhood and within its broadersurroundings.

The wood framed buildings will feature brick and vinyl siding exteriors. Additional constructioncharacteristics will include broken rooflines, front gables, and wide band or vertical/horizontal siding.The proposed buildings will be compatible with recently developed housing communities inMorehead City and will be more attractive than the majority of existing rental stock.

Concentration of affordable housing (housing credit, project-based rental assistance, public housing).ECCDI believe the proposed site is as attractive or more attractive than all of the existing affordablerental communities in the primary market area. Multifamily rental stock in the area is fairly old andnot well maintained. More than 25% of rental units are mobile homes. The most comparableaffordable multi-family rental community is Elm Green in Newport. Elm Green offers 2 and 3bedroom units and is 100% occupied. A low vacancy rate for existing affordable rental propertyindicates a real demand for quality affordable rental units.

At the time of writing this preliminary application, ECCDI are in discussion with Coastal CommunityAction, the county's PHA. It is anticipated that when the full application is submitted, committedfederal project based rental assistance will be in place for atleast twenty percent (20%) of the taxcredit units. CCA have pledged their support for the project and have already said they will endeavorto make available the number of vouchers needed for all eligible residents.

Blue Point Bay will be competitive with or exceed market standards in kitchen amenities, unitamenities, decor and location and will offer a community room with catering kitchen, a playground,gazebos, walking trails, picnic areas, ball fields, and garden spots.Blue Point Bay will offer competitive rents, new construction, an attractive location and unmatchedamenities.

Availability of Supportive Services (if applicable):Supportive Services will be provided to the estimated minimum of 64 adults and 80 children living atBlue Point Bay. Targeted populations will include those l iving with disabilities and victims ofdomestic violence. A collaborative approach will be taken to the provision of supportive services, notonly collaborating with a multitude of local community organizations and agencies to help provide




21/38

For each applicable neighborhood feature, enter distance from project in miles.

Other facilities or services:

services and meet the changing needs of individuals and community as a whole, but also theresidents themselves, who are best able to discern their own needs.

ECCDIs goals in providing supportive services to the residents of Blue Point Bay will be:1) To promote self-sufficiency and economic independence.2) To build community, affording residents a sense of ownership and pride in their neighborhood.3) To enhance the quality of life for the residents by providing educational information andopportunities, health screenings, and cultural enrichment activities for the residents.

There will be a Community Resource Coordinator (CRC) responsible for carrying out the goals ofthe supportive services. The CRC will be available at the Blue Point Bay Community Center withhours to suit the needs of all residents, including evening and weekend hours as needed.

Grocery Store0.5 Community/Senior Center3.5

Mall/Strip Center0.5 Hospital3.75

Outdoor Athletic Fields1.5 Pharmacy0.5

Day Care/After School2.0 Basic Health Care0.5

Schools1.7 Medical Offices0.5

Public Transportation Stop0.5 Bank/Credit Union1.0

Convenience Store0.5 Restaurants0.5

Basketball/Tennis Courts2.0 Professional Services1.0

Public Parks2.0 Movie Theater3.5

Gas Station0.5 Video Rental0.5

Library3.5 Public Safety (Fire/Police)1.0

Fitness/Nature Trails0.5 Post Office3.0

Public Swimming Pools2.0

As a result of the positive economic influence of the N. C. State Port Terminal in Morehead City, theTown increasingly provides a balance between residential, commercial, and industrial activities. TheN. C. State Port has complete ocean port facilities and lies only five (5) miles from the shipping lane.

Local employment is concentrated in the fishing, commercial, governmental and retail service areas.Morehead City has experienced increases in its military population who are provided stableemployment in surrounding counties at Cherry Point Air Station and Camp Lejeune Marine Base;and local facilities such as Bogue Field and Ft. Macon Coast Guard Station. Many state agenciesand universities whose work involves coastal issues are also located in Morehead City.

Morehead City is fortunate to be served by air, rail and highway transportation facilities. U. S.Highway 70 serves as a major East-West connector from the mountains to the outer banks andstretches through the center of Morehead City.

The area is also served by N. C. Hwy. 24 and N. C. Hwy. 101. Seashore Transportation Company[Trailways] provides intercity bus service and rail freight service is provided by Atlantic and EastCarolina Railway [Norfolk-Southern]. The Carteret County Area Transportation System (CCATS)currently operates a deviated fixed route public transit service within the area and also offers ademand response human service and general public transportation service.

The Beaufort-Morehead City Airport is county owned with three (3) runways that will accommodatesingle and twin-engine aircraft. A $12 million, 4-lane high-rise bridge from Morehead City to BogueBanks has eliminated an existing traffic bottleneck and vastly improved transportation between themainland and the beach resort areas.

Approximately 88 churches are located in the area representing more than 24 denominations. Allmajor civic organizations are represented, as well as four (4) FM Radio Stations and two (2) AMRadio Stations with one (1) TV Station.The Town is served by five (5) major banks, two (2) savings and loan associations, as well as morethan twenty-five [25] motels in the area; a large convention center and rental facilities.

Carteret County General Hospital, located in Morehead City, is a 114-bed acute care facility thatserves the county and surrounding area. The Town of Morehead City provides a full-service Park




22/38

and Recreation program that includes a community center, six (6) parks [covering 10 acres], andtwo (2) boat launching facilities.




23/38


24/38

DevelopmentList number low-income/tax credit housing projects and units developed, operated, and maintained in compliance by the principal(s) betweenDecember 1, 1996 and January 1, 2003:

ManagementList number of low-income housing tax credit units managed in the past 10 years:

Has any owner, principal, or management agent been debarred or received a limited denial participation in the past 10 years by any federal or

state agency?

Has any owner, principal, or management agent been involved in a bankruptcy, an adverse fair housing settlement, an adverse civil rights

settlement, or an adverse federal or state government proceeding and settlement in the past 10 years?

Has any owner or principal been in a mortgage default or delinquency of three months or more within the last 5 years on a FHA-insuredproject, a Rural Development funded rental project, a tax-exempt funded mortgage, a tax credit project, or any other publicly subsidized

project?

Has any owner or principal been involved within the last 10 years in a project which previously received an allocation of tax credits but failed tomeet compliance standards of the tax credit allocation, including return of a reservation of tax credits to the Agency after the carryover

agreement has been signed?

Has any owner or principal had a Form 8823 filed with the IRS for noncompliance on a project using low-income housing tax credits or

received a letter of non-compliance from the Agency?

Project Team Experience

North Carolina Other States

Projects: 6 0

Units: 272 0

North Carolina Other States

Projects: 43 0

Units: 2,413 0

No

No

No

No

Yes




25/38

Financing Commitments

Does the project have a firm commitment for construction financing? Yes

Does the project have a letter of intent for private permenant financing? Yes

Does the project have a firm commitment for government financing? No

Does the project have a letter of intent from an investor? Yes

Is any portion of the eligible basis of new contruction or rehabilitation financed with federal subsidies other than CDBG funds or fundsfrom the HOME program? Yes

If yes, indicate the type and amount below:

Tax Exempt Financing: $

RD 515 Financing: $

Hope VI Financing: $

Other: $ 1,450,000

If Other, specify the type of Federal subsidy:

The applicant proposes funding under the USDA RuralHousing service Section 538 Guaranteed Rental HousingProgram without interest rate credit. 538 guaranteed loans aredetermined not to be federal funds for the purpose ofcalculating eligible basis. A letter of intent from USDA isincluded in this application.(Attachment T.5.)




26/38

Project Operations (Year One)

Projected Operating Costs

Administrative Expenses

Advertising 1,500

Other Administrative Expense (specify):1,500

Office Salaries 2,000Office Supplies 3,200

Office or Model Apartment Rent 0

Management Fee 25,000

Manager or Superintendent Salaries 20,000

Manager or Superintendent Rent Free Unit 0

Legal Expenses (Project) 800

Auditing Expenses (Project) 8,000

Bookkeeping Fees/Accounting Services 2,500

Telephone and Answering Service 3,000

Bad Debts 0

Other Administrative Expenses (specify):0

SUBTOTAL 67,500

Utilities Expense

Fuel Oil 0

Electricity (Light and Misc. Power) 9,310

Water 3,990

Gas 0

Sewer 5,700

SUBTOTAL 19,000

Operating and Maintenance Expenses

Janitor and Cleaning Payroll 7,590

Janitor and Cleaning Supplies 1,800

Janitor and Cleaning Contract 0

Exterminating Payroll/Contract 1,500

Exterminating Supplies 0

Garbage and Trash Removal 5,500

Security Payroll/Contract 610

Grounds Payroll 4,250

Grounds Supplies 8,000

Grounds Contract 14,500

Repairs Payroll 7,700

Repairs Material 2,000

Repairs Contract 0

Elevator Maintenance/Contract 0

Heating/Cooling Repairs and Maintenance 320

Swimming Pool Maintenance/Contract 0

Snow Removal 0

Decorating Payroll/Contract 2,200

Decorating Supplies 2,450

Other (specify):0

Miscellaneous Operating & Maintenance Expenses 2,480

SUBTOTAL 60,900

Taxes and Insurance

Real Estate Taxes 24,480




27/38

Payroll Taxes (FICA) 3,275

Miscellaneous Taxes, Licenses and Permits 0

Property and Liability Insurance (Hazard) 18,800

Fidelity Bond Insurance 75

Workmen's Compensation 370

Health Insurance and Other Employee Benefits 6,500

Other Insurance:0

SUBTOTAL 53,500

Supportive Service Expenses

Service Coordinator 0

Service Supplies 0

Tenant Association Funds 0

Other Expenses (specify):2,500

SUBTOTAL 2,500

Reserves

Replacement Reserves 16,000

SUBTOTAL 16,000

TOTAL OPERATING EXPENSES 219,400

ADJUSTED TOTAL OPERATING EXPENSES(Does not include taxes, reserves and resident support services) *

176,420

TOTAL UNITS(from total units in the Unit Mix section)

64

PER UNIT PER YEAR 2,756




28/38


29/38

Design Features

ITEM DESCRIPTION

Foundation/Slab Components Post-tensioned slab, 3000 PSI MIX CODE 3308

Primary Windows Make: Model:GEN.ALUM 2100 series Type/Construction: ALUMINUM VINYL GLASS

Exterior DoorsType: Frames:

6 PANEL STEEL24GA WOOD

Siding Type: Grade/Thickness:HARDI PLANK 5/16

Warranty: 50 YR

Exterior Trim KOAT # 1 PRE PRIMED P.T.

Shingles Type: Weight:GAF TIMBERLINE 225 lbs.

Warranty: 30 YR

Sprinkler System NFPA 13R RESIDENTIAL

Cabinets NORMAC 800 CAMELOT WHITE PVC

Heat Pump SEER: Make:12 SEER GOODMAN

Model:

VARIES TO SIZE OFUNIT.

Air Conditioner SEER: Make:12 SEER GOODMAN

Model:

VARIES TO SIZE OF

UNIT.

Other Heat Systems SEER: Make:12 SEER GOODMAN

Model:

VARIES To SUITCONDITIONS(Community Bldg,Laundry Facilities,Maintenance).




30/38

This is a detailed breakdown of rehabilitation or construction costs you summarized in the Development Costs table (Rehabilitation andConstruction of New Building(s)). The total should match those roll-up values.

Costs - Construction

ITEM LABOR MATERIAL TOTAL

Concrete Footings 0

Backfill-slab, Crawl 0

Slab-concrete/Rebar/Gravel 88,000 88,000 176,000

Waterproofing 38,839 38,840 77,679

Masonry Foundation 41,121 41,121 82,242

Brick Veneer 116,000 116,000

Steel/Structure/Rails 0

Framing/Lumber/Nails 478,855 478,855 957,710

Trusses 0

Crane Rental 35,000 35,000 70,000

Windows/Grilles/Screen 0Exterior Doors 33,944 33,944 67,888

Roofing 0

Fencing 0

Vinyl Siding/Trim/Box 0

Gutters/Shutters 0

Insulation 0

Drywall 93,897 93,898 187,795

Interior Doors 0

Int. & Final/Stair/Trim/Shelves 0

Cabinets & Tops 43,637 43,637 87,274

Painting 35,000 35,000 70,000

Marble - Tub/Shwr/Tops 0

Plumbing 0

Electrical 75,105 75,105 150,210

Heating/Air Conditioning 215,723 215,724 431,447

Floor Covering and Underlayment 0

Wall Paper 0

Mailboxes/Special Features/Signage 0

Gypcrete 0

Blinds/Shades/Art Work 0

Light Fixtures/Fans 10,435 10,440 20,875

Sprinkler System 0

Security Alarm 0

Hardwood Floors 0

Elevator 0

Ceramic Tiles 0

Acoustical Ceilings 0




31/38

Remarks:

Mirror/Shower Door/Encls. 0

Hardware/Bath Access. 0

Appliances 62,457 62,457

Playground Equipment 15,000 15,000

Interior Clean 0

Exterior Clean/Dumpster 0

Other 1 (specify in Remarks) 0


Total Cost 1,189,556 1,383,021 2,572,577




32/38

This is a detailed breakdown of the General Requirements cost element you summarized in the Development Costs table (GeneralRequirements). The total should match that roll-up value.

Remarks:

Costs - General

ITEM TOTAL

Supervision 88,145

Job Site Office/Trailer Rental 5,040

Impact Fees

Office Supplies 500

Security/Watchman 26,000

Water and Sewer Connection Fees

Project Signage 1,000

Tools and Equipment 1,500

Gas, Oil, and Maintenance

Cleanup/Dumpster Rental 23,000

Temporary Water, Electric, and Telephone 8,025Storage/Hauling

Driveway Access Permit

Porta-John Rental/Dumping 2,400

Builders Risk Insurance

Re-inspection Fees

Extra Plans and Specifications

Miscellaneous, Casual Labor 21,890

Equipment Rental 7,500

Other 1 (specify in Remarks)

Other 2 (specify in Remarks)

Total Cost 185,000




33/38

This is a detailed breakdown of the Site Improvements cost element you summarized in the Development Costs table (On-siteImprovements). The total should match that roll-up value.

Remarks:

Costs - Improvements

ITEM TOTAL

Subsurface Exploration/Perk Testing/Site Engineering 24,000

Clearing/Grading/Final Grading/Excess and Borrow 160,000

Demolition

Earthwork/Excavation/Aerating

Soil Treatment 3,000

Pile Foundations

Caissons

Shoring/Bracing

Site Drainage 30,000

Site Utilities/Site Lighting 70,000

Paving and Surfacing/Curb and Gutter 46,034Walkways 6,500

Site Signage 15,000

Parking Lot Painting 45,000

Dumpsite Pads/Fencing 9,000

Fencing/Gates 30,000

Landscaping/Topsoil 72,000

Waterproofing/De-Watering

Operation of Construction Equipment/Fuel/Oil

Crane Rental

Rock and Hardpan Excavation

Site Supervision Personnel

Other (specify in Remarks)

Total Cost 510,534




34/38

This is a detailed breakdown of the Bond Costs cost element you summarized in the Development Costs table (Bond Costs). The totalshould match that roll-up value.

Remarks:

Costs - Bond Costs

ITEM TOTAL

Letter of Credit Fee 0

Credit Enhancement 0

Underwriter Discount 0

Capital Interest Fund 0



Total Cost 0




35/38

This is a detailed breakdown of the Bond Issuance cost element you summarized in the Development Costs table (Cost of Issuance). Thetotal should match that roll-up value.

Remarks:

Costs - Bond Issuance

ITEM TOTAL

Bond Counsel 0

Issuer Counsel 0

Credit Enhancement/LOC Counsel 0

Underwriter Counsel 0

Developer's Counsel 0

Rating Agency Fee 0

Printing 0

Trustee Fee 0

Trustee Counsel 0


Other 2 (specify in Remarks) 0Other 3 (specify in Remarks) 0

Total Cost 0




36/38

MINIMUM REQUIRED SET ASIDES (No Points Awarded):

Minimum Set-Asides

Select one of the following two options:

20% of the qualified units are rent restricted and occupied by households with incomes at or below 50% of the median income (Note:No Tax Credit Eligble Units in the the project can exceed 50% of median income)

40% of the qualified units are rent restricted and occupied by households with incomes at or below 60% of the median income (Note:No Tax Credit Eligble Units in the the project can exceed 60% of median income)

If requesting RPP funds:

40% of the qualified unit are occupied by households with incomes at or below 50% of median income.

State Tax Credit and QAP Targeting Points:

High Income county:

At least twenty-five percent (25%) of qualified units will be affordable to households with incomes at or below thirty percent (30%) ofcounty median income.

At least twenty-five percent (25%) of qualified units will be affordable to and occupied by households with incomes at or below thirtypercent (30%) of county median income.

At least fifty percent (50%) of qualified units will be affordable to households with incomes at or below forty percent (40%) of countymedian income.

At least fifty percent (50%) of qualified units will be affordable to and occupied by households with incomes at or below forty percent(40%) of county median income.

Moderate Income County:

At least twenty-five percent (25%) of qualified units will be affordable to and occupied by households with incomes at or below fortypercent (40%) of county median income.

At least fifty percent (50%) of qualified units will be affordable to households with incomes at or below fifty percent (50%) of county

median income.At least fifty percent (50%) of qualified units will be affordable to and occupied by households with incomes at or below fifty percent(50%) of county median income.

Low Income County:

At least forty percent (40%) of qualified units will be affordable to households with incomes at or below fifty percent (50%) of countymedian income.

At least forty percent (40%) of qualified units will be affordable to and occupied by households with incomes at or below fifty percent(50%) of county median income.

Tax Exempt Bonds

Threshold requirement (select one):

At least ten percent (10%) of qualified units will be affordable to and occupied by households with incomes at or below fifty percent

(50%) of county median income.

At least five percent (5%) of qualified units will be affordable to and occupied by households with incomes at or below forty percent(40%) of county median income.

Eligible for mortgage subsidy points (select one):

At least twenty percent (20%) of qualified units will be affordable to and occupied by households with incomes at or below fifty percent(50%) of county median income.

At least ten percent(10%) of qualified units will be affordable to and occupied by households with incomes at or below forty percent(40%) of county median income.




37/38




38/38

PLEASE indicate which of the following exhibits are attached to your application. Others may be required as noted.

Full Application Checklist

A Nonprofit Organization Documentation or For-profit Corporation Documentation

B Current Financial Statements/Principals and Owners

C Ownership Entity Agreement, Development Agreement or any other agreements governing development services

D Management Agent Agreement

E Development and manager multi-family experience & Management Questionnaire (Appendix C)

F Letters from State Housing Agencies or designated monitoring agent verifying Out of State Management Experience

G Completed IRS Form 8821 (Appendix I)

H Permitted zoning letter (including conditional and special use)

I Site plan, floor plans and elevations

J Hazard and structural inspection and termite reports (Renovation projects only)

K Description of any existing conditions of historical significance.

L Description of environmental significance.

M Anticipated budget demonstrating how the project would meet the 10% test by November 14th.

N Evidence of Architect's Errors and Omissions insurance (or equivalent).

O Description of acquisition for existing/occupied projects or for projects with occupied buildings to be demolished.

P Description of proposed Relocation Plan & Relocation Budget, Etc. If any relocation is anticipated, reference Appendix F.

Q Targeting Plan and supporting documentation (Required for projects targeted to Special Populations)

R Local Housing Authority Agreement (Reference Model in Appendix I)

S Appraisal (for land costs greater than $5,000 and for buildings in rehab projects)

T Evidence of Permanent Loan Commitment, other sources of funds, and project-based subsidies.

U Statement regarding terms of Deferred Developer Fee and, if nonprofit, resolution of Board approving fee.

V Inducement Resolution (Tax-Exempt Bond Financed Projects only)

W Documentation to support estimated utility costs.


blue point bay

Documents