title
PROPOSED HOME INVESTMENT PARTNERSHIPS PROGRAM
Department: Planning and Development
Other Part(ies): Deerfield SLF Limited Partnership
Request: Cook County’s Department of Planning and Development requests approval of the investment of $2,000,000 HOME Investment Partnership Program funds to support the new construction of Deerfield Supportive Living, a 147-unit, affordable assisted living facility to be located at 1101-1121 Lake Cook Road in Deerfield.
Total Development Cost: $77,335,729.00
Project Loan Amount: $2,000,000.00
Fiscal Impact: $2,000,000.00
Account(s): 11900.1013.53493.580170.00000.00000; 11900.1013.53638.580170.00000.00000
Summary: Cook County’s Department of Planning and Development staff recommends the investment of $2,000,000 in HOME Investment Partnership Program (HOME) funds for the construction of Deerfield Supportive Living (the Project), a new 147-unit affordable assisted living development for seniors located in north suburban Deerfield. Deerfield Supportive Living will be certified under the Illinois Supportive Living Facility (SLF) program, which is the state’s Medicaid waiver program for assisted living. 100% of Project units are proposed to have the resident-paid room and board portion of rent be affordable to seniors earning 50-80% of area median income (AMI). The balance of payments for assisted living services will be provided by Medicaid.
The County’s HOME loan will be in a subordinate position during the construction and lease-up term (estimated 36 months) and remain subordinate during the permanent loan term (40-year term). The loan will bear interest at a rate of 1.00% with interest-only payments. The County’s $2,000,000 HOME loan ($13,605 per unit) is 2.6% of the $77.3MM total development cost ($526,093 per unit). The financing is a 4% low-income housing tax credit (LIHTC) transaction, which requires the use of tax-exempt financing to take advantage of the tax credits. Cook County will be the tax-exempt conduit bond issuer with bond inducement and approval requested of the Board of Commissioners under a separate item.
Celadon Partners, LLC (Celadon) will develop Deerfield Supportive Living through a single-purpose entity (Deerfield SLF Limited Partnership). Celadon is based in Chicago and has developed two SLFs in Cook County using the same financing structure (4% LIHTC with tax-exempt bonds). In addition to their SLF experience, they have developed several affordable family and senior properties.
end