042125 Resolution No. 1504 Amended CPD HempleHOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF RICHFIELD, MINNESOTA
RESOLUTION NO. 1504
RESOLUTION APPROVING THE EXECUTION AND DELIVERY OF AMENDED
CONTRACTS FOR PRIVATE REDEVELOPMENT AND DECLARATION OF RESTRICTIVE
COVENANTS WITH OWNER OF NEW ORLEANS COURT
WHEREAS, the Housing and Redevelopment Authority in and for the City of Richfield,
Minnesota (the "Authority") has recently learned that there are three naturally occurring
affordable housing ("NOAH") properties up for sale in the City of Richfield (the "City") and a
preservation buyer is interested in purchasing the properties; and
WHEREAS, the NOAH properties consist of the New Orleans Court Apartments and
Townhomes (located at 50 West 78th St), the Richland Court Apartments (located at 1300-1324
East 78th St), and the Winton House Apartments (located at 7500/7544 Cedar Ave); and
WHEREAS, the Authority proposes to work with Hempel Holdings, LLC, a Minnesota
limited liability company, or a subsidiary thereof (collectively, the "Redeveloper"), to preserve
and maintain the affordability of the three existing NOAH properties, and to that end the Board
of Commissioners of the Authority (the "Board") approved the execution and delivery of a
Contract for Private Redevelopment with the Redeveloper at its meeting on February 18, 2025;
and
WHEREAS, the Board has been presented with a new Contract for Private
Redevelopment (the "Agreement") between the Authority and the Redeveloper, which provides
for three separate Agreements to be filed against each property; and
WHEREAS, the Redeveloper's lender and equity investor have requested administrative
changes to the Agreements; and
WHEREAS, the Redeveloper's lender and equity investor have requested that the HRA
Subordinate its mortgage to the primary financing; and
WHEREAS, the Board has reviewed the Amended Agreements and the Declaration and
the Subordination Agreements and finds that the execution thereof by the Authority and
performance of the Authority's obligations thereunder are in the best interest of the City and its
residents; and
NOW, THEREFORE, BE IT RESOLVED, by the Board of Commissioners of the Housing
and Redevelopment Authority in and for the City of Richfield, Minnesota as follows:
1. The Agreements and the Declarations and Subordination Agreement presented to
the Board and on file with the staff of the Authority are hereby in all respects approved, subject to
modifications that do not alter the substance of the transaction and that are approved by the Chair
and Executive Director; provided that execution of such documents by such officials shall be
conclusive evidence of approval.
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2. The Chair and Executive Director are hereby authorized to execute the Agreements
and the Declarations and the Subordination Agreement on behalf of the Authority and to carry out
the Authority's obligations thereunder.
3. The Chair and the Executive Director are hereby also authorized to execute any
additional documents or certificates determined to be necessary by staff and counsel to the
Authority in order to cant' out the intention of this resolution, the Agreements, and the Declarations:
4. This resolution shall be in full force and effect upon its adoption.
Adopted by the Housing and Redevelopment Authority in and for the City of Richfield,
Minnesota this 21st day of April, 2025.
t
Erin Vri a banAs, Chair
Sean Hayford Oleary, Secret
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