HomeMy WebLinkAbout2025-05 An Ordinance Concerning the West Middle Creek Housing Development1
ORDINANCE NO. 5
Series of 2025
AN ORDINANCE CONCERNING THE WEST MIDDLE CREEK HOUSING
DEVELOPMENT AND IN CONNECTION THEREWITH AUTHORIZING
THE LEASING OF CERTAIN TOWN PROPERTY, THE ADVANCE OF A
LOAN TO THE VAIL HOME PARTNERS CORPORATION, AND THE
EXECUTION AND DELIVERY OF A SITE LEASE, LEASE PURCHASE
AGREEMENT AND OTHER DOCUMENTS
WHEREAS, pursuant to Article XX, Section 6 of the Colorado Constitution and
Section 13.3 of the Town of Vail Home Rule Charter (the "Charter"), the Town is
authorized to lease, for such term as the Town Council determines, any real or personal
property to or from any person, firm or corporation, public or private, governmental or
otherwise;
WHEREAS, the Town owns, in fee title, various properties and facilities as defined
and more particularly described in Exhibit A to the Lease (the "Leased Property");
WHEREAS, because the demand for workforce housing in the Town exceeds the
supply, the Town Council hereby determines that it is in the public interest and is a public
purpose for the Town to assist the Vail Home Partners Corporation (the "Corporation") to
finance the acquisition, construction, installation, equipping of the West Middle Creek
housing development, a for-rent housing development that are offered at rental rates that
are attainable to a range of individuals and families (the "Development"), including any
legally permitted costs and expenditures in connection therewith, all for public purposes,
and as authorized by law, by advancing a loan to the Corporation (the "Project");
WHEREAS, the Town Council hereby determines that it is in the best interests of
the Town and the public health, safety and welfare to lease the Leased Property pursuant
to a Site Lease (the "Site Lease") between the Town, as lessor, and U.S. Bank Trust
Company, National Association, as lessee (the "Trustee") and lease back the Trustee's
interest in the Leased Property pursuant to the terms of a Lease Purchase Agreement
(the "Lease") between the Trustee, as lessor, and the Town, as lessee;
WHEREAS, the Trustee will execute and deliver an Indenture of Trust (the
"Indenture") pursuant to which there will be executed and delivered certain certificates of
participation (the "Certificates") dated as of their date of delivery, that shall evidence
proportionate interests in the right to receive certain revenues including rental payments
made by the Town under the Lease;
WHEREAS, proceeds of the Certificates, along with approximately $10,000,000 in
available funds of the Town, shall be loaned to the Corporation for the construction of a
portion of the Development;