Agenda Item - 2024-06-18 - Number 16.1 - Presentation - North Anchor DDA 16.1
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North Anchor ._.„.,_ ..
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June 18, 2024 �,, -
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Where we stand
• Interest rates have remained higher for longer .
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than anticipated
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• Hotel is ready for permits, subject to recent T
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• Apartments permit process is nearly complete i �'
• We would like to proceed a renewed financing7:4, I *' . _ .
push to bring in aligned capital partners d ] -
• Extending the timeline would be a vote of
confidence in the project from the City to secure
these partnerships and start construction
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Accomplishments since our last meeting in November
• Completed a substantial redesign of the hotel and rec€
approval for our Development Review Modification ' I
• Obtained a term sheet and LOI for apartment debt fina P-r 1 -
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• Engaged a hospitality-focused partner �' J. d , __
• Executed a Prospective Purchaser Agreement with DE - —_ v ' , `i, r - ' ,�j� � �_
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• Addressed permitting issues for both projects i;.t, v. a R
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• Collaborated with our design team to value engineer and"
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refine both projects f'` _ ' '3;
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• Outreach to over 50 equity investors and over 20 lenders to /<r!`E-= '
explore financing options ,: --'`
• Continued community engagement with stakeholders I II ''e"
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including presentations to the LO Chamber of Commerce II i, vtx '���Ij I i ;
• Maintained regular meeting cadence with the LORA board 11 '° 404 ''r.it y
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We are requesting more time to complete. . .
• Execute agreements with new debt and equity brokers
• Formalize a Joint Venture agreement with our hotel equity
partner f tY p 9 q Ycam ai n to raise uit
• Continue a s ndication e for the I
apartments 1
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• Complete due diligence and close on debt financing for the
hotel and apartments "P — '`'
• Work with our architect, engineers and the city to secure liP
updated permits 1
• Obtain neighbor agreements for construction work
• Negotiate and execute construction contracts for both
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• Conduct quarterly meetings with LORA to report progress
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• Complete the legal and closing process
Requested changes in DDA
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24-Month Extension ALL DAYS
ALL SEASONS
Current Revised
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Closing Date (Apts & Hotel) 6/28/24 6/30/26 r tie ,� , +
Construction Start 7/8/24 7/8/26 Y y,.
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Program Changes TAME" 1I1=
Current Revised I Current Program
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Hotel Rooms 70-80 At least 80 86 keys H_ ] --,4,4 " i
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Hotel Parking At least 60 At least 40 52 + -' / 'I — f r...„.
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Apartment Units 60-70 At least 60 67 0a" L '
Apartment Parking 75-95 At least 71 76
Commercial Space (sf) 5,500-6,500 At least 5,000 -5,200 __ __
Thank You
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