Title
Tax Equity and Fiscal Responsibility Act (TEFRA) Hearing, Approval of Tax Exempt Bonds and Loan Commitment in the Amount of $5.1 Million for Florin Family Apartments [Published 06/09/2026]
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FileID
File ID: 2026-01202
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Location
Location: 2800 Florin Road, District 8
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Recommendation
Recommendation: Conduct a public hearing and upon conclusion, adopt: 1) a City Council Resolution authorizing the Sacramento Housing and Redevelopment Agency (Agency) to a) amend its budget and allocate $5.1 million comprised of $2.3 million Mixed Income Housing Ordinance (MIHO), $1.75 million Housing Trust Fund (HTF), and $1.05 million Local Housing Trust Funds (LHTF) for the acquisition, construction and permanent financing of Florin Family Apartments (Project), b) approve a Conditional Loan Commitment of $5.1 million comprised of $2.3 million Mixed Income Housing Ordinance (MIHO), $1.75 million Housing Trust Fund (HTF), and $1.05 million Local Housing Trust Funds (LHTF) to Christian Church Homes (Developer), or related entity, c) execute related documents, and d) make related findings; 2) a City Council Resolution indicating the City Council has conducted a TEFRA public hearing related to the proposed construction and financing of the Project; and 3) a Housing Authority Resolution indicating the intention of the Housing Authority of the City of Sacramento to issue up to $21 million in tax-exempt mortgage revenue bonds to provide acquisition, construction, and permanent financing for the Project.
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Contact
Contact: Christine Weichert, Director of Development Finance, (916) 440-1353, cweichert@shra.org, Sacramento Housing and Redevelopment Agency
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Presenter
Presenter: Christine Weichert, Director of Development Finance, (916) 440-1353, cweichert@shra.org, Sacramento Housing and Redevelopment Agency
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Attachments
Attachments:
1-Description/Analysis
2-City Council Resolution - Loan Commitment
3-Exhibit A to Resolution - Commitment Letter
4-TEFRA Resolution
5-Inducement Resolution
6-Vicinity Map
7-Site Plan
8-Project Renderings
9-Project Summary
10-Cash Flow Proforma
11-Maximum Income and Rent Limits
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Description/Analysis
IssueDetail
Issue Detail: In accordance with the City Council-adopted Multifamily Housing Lending Guidelines, the Agency has two opportunities each year for affordable housing developers to apply for gap financing. Christian Church Homes (Developer) submitted a pre-application on January 2, 2026, and a full application on March 2, 2026, requesting financing from the Agency in the amount of $5.1 million comprised of $2.3 million Mixed Income Housing Ordinance (MIHO), $1.75 million Housing Trust Fund (HTF), and $1.05 million Local Housing Trust Funds (LHTF) for the acquisition, construction, and permanent financing of the Project. This report requests approval to allocate funds, execute a loan commitment, and issue tax-exempt bonds not to exceed $21 million for the Project.
Development: Florin Family Apartments is a proposed 122-unit affordable large family housing community in the City of Sacramento, at 2800 Florin Road, less than 1,000 feet from the SacRT Florin Station. The community will include 54 one-bedroom units, 34 two-bedroom units, and 34 three-bedroom units, including 1 two-bedroom manager’s unit. Florin Family Apartments will offer units to households earning between 30 and 60 percent Area Median Income (AMI). A vicinity map is included in Attachment 6, a site plan is included in Attachment 7, and renderings of the Project are included in Attachment 8.
The Florin Family Apartments site is currently a vacant 2.5-acre parcel at the corner of Florin Rd and 29th St. Two five-story buildings with double-loaded corridors and elevators will house 122 new construction units. The building will contain amenities such as a community room with a kitchen, a computer lab, a common laundry room, a secure entry, a mail room, and a play area. Elevators secured gated entry, and security cameras will also be installed. The site will provide approximately 80 parking spaces for residents and staff.
Developer: Christian Church Homes (CCH), or related entity, will serve as the Developer. The Developer is a non-profit company founded in 1961. CCH has completed 20 new construction and 17 substantial rehabs since its founding. CCH provides property management and social services coordination for nearly 50 developments, providing over 3,200 quality residential units for low-income to extremely low-income seniors.
Property Management: The Project will be managed by Christian Church Homes. Currently, Christian Church Homes manages 48 properties across the country, including Margaret McDowell Manor in West Sacramento, and approximately 3200 affordable units nationwide. Agency staff have reviewed Christian Church Homes qualifications and the management plan and have found that the proposed management company meets Agency requirements.
Resident Services: Resident Services will be provided by Christian Church Homes. A minimum of 40 hours per week of on-site resident services will be provided by a full-time resident services coordinator, including 14 hours of after-school programming. Resident services programs will include after-school programs, adult education, skill-building classes, and health and wellness services and programs. Agency staff have reviewed Christian Church Home’s qualifications and the resident services plan and have found that the proposed resident services provider meets Agency requirements.
Security Plan: The property will have a secure perimeter and will feature 6 ft wrought iron fencing. A keypad/fob entry system will be used for building access. Surveillance cameras and exterior lighting will be used throughout the property. The surveillance cameras will have third-party monitoring. Night patrols will occur 7 days a week, from 9pm-5am.
Project Financing: The Developer applied for Affordable Housing and Sustainable Communities (AHSC) funds in May 2026. In addition, the proposed financing for the Project will also include tax-exempt bonds, tax credit equity, a deferred developer fee, and an Agency loan totaling $5.1 million funds comprised of $2.3 million Mixed Income Housing Ordinance (MIHO), $1.75 million Housing Trust Fund (HTF), and $1.05 million Local Housing Trust Funds (LHTF) to be used for the acquisition, construction, and permanent financing of the Project. A Project Summary and Proforma are included as Attachments 9 and 10.
Low-Income Set Aside Requirements: As a condition of receiving tax credits, federal law requires that developments be set-aside for targeted income groups. Income restrictions from LIHTC financing require that 40 percent of the units have rents that are affordable to households with income up to 60 percent of the AMI. The Agency further requires at least 15 percent of the units to have rents that are affordable to households with income up to 50 percent AMI and at least 5 percent of the units have rents that are affordable to households with income up to 30 percent AMI, based on financial feasibility. The affordability restrictions will be specified in regulatory agreements between the Agency and the Developer. A schedule of maximum income and rents are included as Attachment 11.
Affordability requirements are summarized in the table below:
|
Affordability Restriction (55 years) |
Units |
% of Units |
|
Extremely Low Income (30% AMI) |
13 |
11% |
|
Very Low Income (40% AMI) |
21 |
17% |
|
Very Low Income (50% AMI) |
40 |
33% |
|
Low Income (60% AMI) |
47 |
38% |
|
Management Unit(s) |
1 |
1% |
|
Total |
122 |
100% |
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PolicyConsiderations
Policy Considerations: The recommended actions are consistent with 1) The Agency’s Multifamily Lending and Mortgage Revenue Bond Policies, priority level 2 (iii) Workforce New Construction; 2) the 2021-2029 Housing Element, Policy H-2.3, “Assist in the Development of Affordable Housing.”
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EconomicImpacts
Economic Impacts: This multifamily residential project is expected to create 58.14 total jobs, 32.64 direct jobs and 25.50 jobs through indirect and induced activities) and create $8,059,729 in total economic output ($4,953,171 of direct output and another $3,106,558 of output through indirect and induced activities).
The indicated economic impacts are estimates calculated using a calculation tool developed by the Center for Strategic Economic Research (CSER). CSER utilized the IMPLAN input-output model (2009 coefficients) to quantify the economic impacts of a hypothetical $1 million of spending in various construction categories within the City of Sacramento in an average one-year period. Actual impacts could differ significantly from the estimates and neither the City of Sacramento nor CSER shall be held responsible for consequences resulting from such differences.
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EnvironmentalConsiderations
Environmental Considerations:
California Environmental Quality Act (CEQA): Christian Church Homes (CCH) planned to submit their entitlement package to the City of Sacramento’s Ministerial Housing program on May 1 and anticipates approval and a CEQA exemption by July 1, 2026.
National Environmental Policy Act (NEPA): No federal funding is involved in this project and NEPA does not apply.
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Sustainability
Sustainability: The Project has been reviewed for consistency with the goals, policies, and targets of the 2040 General Plan. If approved, the Project will advance the following goals, policies, and targets that will directly or indirectly conserve energy resources and reduce greenhouse gas emissions, in part, from the 2040 General Plan: a) Housing Element - Strategies and Policies for Conserving Energy Resources - Climate Action Plan, subsection 7.2: improving the energy efficiency in new buildings; and b) Environmental Resources - Air Quality and Climate Change sub-section 6.1.7: reduce greenhouse gas emissions from new development, promoting water conservation and recycling, promoting development that is compact, mixed-use, pedestrian friendly, and transit oriented; and promoting energy-efficient building design and site planning.
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Commission/Committee Action
Commission/Committee Action: Sacramento Housing and Redevelopment Commission: At its June 3, 2026 meeting, the Sacramento Housing and Redevelopment Commission adopted a Commission resolution related to the Project and recommended that the City Council and Housing Authority Board consider approval of the recommendations in this report.
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RationaleforRecommendation
Rationale for Recommendation: The actions recommended in this report enable the Agency to continue to fulfill its mission of providing a range of affordable housing opportunities in the City and are consistent with the Agency’s approved Multifamily Lending and Mortgage Revenue Bond Policies, and the City of Sacramento’s 2021-2029 Housing Element as part of Sacramento’s 2040 General Plan.
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FinancialConsiderations
Financial Considerations: The recommended funding for this project is $5.1 million comprised of AHF, HTF, and LHTF funds. Related to the issuance of bonds, the Agency will receive a one-time fee of 0.25 percent (25 basis points) of the bond amount, which is payable at bond closing. SHRA will collect an annual administrative fee of 0.05 percent (5 basis points) of the outstanding bond amount not less than $15,000, plus a fee equal to $100 per SHRA-funded unit per year, for monitoring the regulatory restrictions and administration of the funds
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LocalBusinessEnterprise
Local Business Enterprise (LBE): M/WBE & Section 3 Considerations:
The items discussed in this report have no M/WBE or Section 3 impact; therefore, M/WBE and Section 3 considerations do not apply.
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