Res 1033-2019

By Council Members Salamanca and Adams WHEREAS, the City Planning Commission filed with the Council on July 8, 2019 its decision dated July 8, 2019 (the "Decision"), on the application submitted by the New York City Department of Housing Preservation and Development ("HPD") regarding city-owned property located at 201-207 Seventh Avenue (Block 797, Lots 80, 81, 82, and 83), (the "Disposition Area"), approving: a) pursuant to Article 16 of the General Municipal Law of New York State the designation of the Disposition Area as an Urban Development Action Area; b) pursuant to Article 16 of the General Municipal Law of New York State an Urban Development Action Area Project for the Disposition Area (the "Project"); and c) pursuant to Section 197-c of the New York City Charter the disposition of the Disposition Area to a developer to be selected by the New York City Department of Housing Preservation and Development; which in conjunction with the related action would facilitate the development of a nine-story, mixed-use commercial and residential development that will provide 26 affordable homeownership units in the Chelsea neighborhood of Manhattan Community District 4 (ULURP No. C 190253 HAM) (the "Application"); WHEREAS, the Application is related to Non-ULURP application 20195731 HAM (Pre. L.U. No. 478), a real property tax exemption pursuant to Section 577 of the Private Housing Finance Law; WHEREAS, the City Planning Commission has certified its unqualified approval of UDAAP pursuant to Article 16 of the General Municipal Law; WHEREAS, the Decision is subject to review and action by the Council pursuant to Section 197-d of the City Charter; WHEREAS, by letter dated June 24, 2019 and submitted to the Council on June 25, 2019, HPD submitted its requests (the "HPD Requests") respecting the Application including the submission of the project summary for the Project (the "Project Summary"); WHEREAS, upon due notice, the Council held a public hearing on the Application and Decision and the HPD Requests on July 16, 2019; WHEREAS, the Council has considered the land use and financial implications and other policy issues relating to the Application; and WHEREAS, the Council has considered the relevant environmental issues, including the negative declaration issued on January 25, 2019 (CEQR No. 16HPD051M) (the "Negative Declaration"). RESOLVED: The Council finds that the action described herein will have no significant impact on the environment as set forth in the Negative Declaration. Pursuant to Section 197-d of the New York City Charter, based on the environmental determination and the consideration described in the report C 190253 HAM and incorporated by reference herein, and the record before the Council, the Council approves the Decision of the City Planning Commission and the HPD Requests. Pursuant to Article 16 of the General Municipal Law of New York State, based on the environmental determination and the consideration described in the report (C 190253 HAM) and incorporated by reference herein, and the record before the Council, the Council approves the Decision of the City Planning Commission and the HPD Requests. The Council finds that the present status of the Disposition Area tends to impair or arrest the sound growth and development of the City of New York and that a designation of the Project as an urban development action area project is consistent with the policy and purposes stated in Section 691 of the General Municipal Law. The Council approves the designation of the Disposition Area as an urban development action area pursuant to Section 693 of the General Municipal Law. The Council approves the Project as an urban development action area project pursuant to Section 694 of the General Municipal Law and subject to the terms and conditions of the Project Summary annexed hereto. The Council approves the disposition of the Disposition Area under Section 197-d of the New York City Charter, to a developer to be selected by the New York City Department of Housing Preservation and Development for the development of the Project consistent with the Project Summary annexed hereto. Adopted. Office of the City Clerk, } The City of New York, } ss.: I hereby certify that the foregoing is a true copy of a Resolution passed by The Council of The City of New York on August 14, 2019, on file in this office. ..................................................... City Clerk, Clerk of The Council PROJECT SUMMARY 1. PROGRAM: AFFORDABLE NEIGHBORHOOD COOPERATIVE PROGRAM 2. PROJECT: 201 - 207 7th Avenue 3. LOCATION: a. BOROUGH: Manhattan b. COMMUNITY DISTRICT: 04 c. COUNCIL DISTRICT: 03 d. DISPOSITION AREA: BLOCK LOT ADDRESS 797 83 201 7th Avenue 797 82 203 7th Avenue 797 81 205 7th Avenue 797 80 207 7th Avenue 4. BASIS OF DISPOSITION PRICE: Nominal ($1.00 per building). The Sponsor will also deliver a note and mortgage for the remainder of the appraised value ("Land Debt"). For a period of up to sixty (60) years following cooperative conversion, the Land Debt will be repayable out of resale or refinancing profits. The remaining balance, if any, may be forgiven in the final year of that period. 5. TYPE OF PROJECT: New Construction 6. APPROXIMATE NUMBER OF BUILDINGS: 1 Multiple Dwelling 7. APPROXIMATE NUMBER OF UNITS: 26 cooperative units 8. HOUSING TYPE: Cooperative. If units remain unsold at the end of the marketing period and HPD determines in writing that (i) sale is not feasible within a reasonable time, and (ii) a rental fallback is the best available alternative, then Sponsor may operate the building as rental housing in accordance with the written instructions of HPD. 9. ESTIMATE OF INITIAL PRICE: The cooperative interests attributable to occupied apartments will be sold to the existing tenants for $2,500 per apartment. The cooperative interests attributable to vacant apartments will be sold for a price affordable to families earning no more than 165% of the area median income. 10. INCOME TARGETS: The Disposition Area contains an occupied building which will be sold subject to existing tenancies. After sale, units must be resold in compliance with federal regulations, where applicable. Units not subject to such regulation may be resold to purchasers with annual household incomes up to 165% of the area median. 11. PROPOSED FACILITIES: Ground floor retail space 12. PROPOSED CODES/ORDINANCES: None 13. ENVIRONMENTAL STATUS: Negative Declaration 14. PROPOSED TIME SCHEDULE: Approximately 36 months from closing to cooperative conversion. Page 5 of 5 C 190253 HAM Res. No. 1033 (Pre. L.U. No. 477)