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HomeMy WebLinkAbout2024-03-11-AHTBT-min-copy 1 Affordable Housing Trust Executive Session - Meeting Minutes of March 11, 2024 10:00 am Hybrid meeting on Zoom and attended in-person in Parker room, Town Office Building Affordable Housing Trust Board Members present: Elaine Tung, Chair; Mark Sandeen, Tiffany Payne, Linda Prosnitz, William Erickson Staff present: Ragi Ramachandran, Administrative Assistant Other attendees: Lester Savage Ms. Tung chaired the hybrid meeting and called the meeting to order at 10:01 am. 1. Executive Session Exemption 6: To consider the potential purchase of real property. Mr. Erickson moved for the Affordable Housing Trust to go into Executive session under Exemption 6 to discuss the potential purchase of real property. Ms. Prosnitz seconded. The Trustees voted in favor of the motion 5-0-0, by a roll call vote (Payne – yes, Sandeen – yes, Prosnitz – yes, Tung – yes, Erickson – yes). 50 Valleyfield Street Lexington The Trustees reviewed their questions with Mr. Savage about the property. There was discussion on potential income from the property based on the pro forma, handling situations when tenant cannot pay their rent, the lottery application process, income verification process and AMI calculations. To a question on whether there will be an inspection contingency in the purchase and sale agreement, Mr. Savage responded that LexHAB have done the inspections. Mr. Savage explained the rehab estimates were for changing the oil heat to electric heat pumps, removal of asbestos, creating a full bath on the second floor, sanding the floors, removing all the wallpaper, full painting inside, and for de-leading if that is necessary. The closing is planned for May 15 2024. LexHAB has signed the offer, and they will be signing the purchase and sale that week. LexHAB will be using their own funds for the deposit. The Trustees discussed the proposed easement through the property for drainage purposes. Conservation had requested an easement be placed for the culvert that runs through the middle of the property diagonally. The Trustees reviewed the funding request in detail. The consensus was to support the funding to purchase th e property but everyone expressed strongly that it is preferable for the Trust to use its funds to leverage the creation of affordable housing rather than rely on what had been done in the past. The Trust stated their support for LexHAB, and recognized that it’s a unique and exceptional opportunity for a 4-bedroom house in an off-market deal. The Trustees decided not to ask LexHAB to split the savings on the broker’s commission. Ms. Tung requested a motion that the Affordable Housing Trust fund LexHAB for the purchase of 50 Valleyfield Street Lexington in the amount of $600,000, and that Ms. Tung will send LexHAB a letter approving the funding, contingent upon Select Board approval. Mr. Sandeen 2 moved. Ms. Prosnitz seconded. The Trustees voted in favor of the motion 5-0-0, by a roll call vote (Payne – yes, Sandeen – yes, Prosnitz – yes, Tung – yes, Erickson – yes). Mr. Sandeen moved to adjourn, which was seconded by Ms. Prosnitz, and on a 5-0 roll call vote: (Erickson – yes, Prosnitz – yes, Sandeen – yes, Tung – yes, Payne – yes), the executive session adjourned at 10:44am. The Affordable Housing Trust reconvened in the open session at the conclusion of the Executive session.