HomeMy WebLinkAbout2024-01 A Resolution Committing $2 Million to Habitat for Humanity Vail Valley towards the Purchase Price of Ten Three-bedroom Homes at the Timber Ridge II Village Apartments1
RESOLUTION NO. 1
Series of 2024
ARESOLUTION COMMITTING $2 MILLION TO HABITAT FOR HUMANITY VAIL
VALLEY TOWARDS THE PURCHASE PRICE OF TEN THREE BEDROOM
HOMES AT THE TIMBER RIDGE ll VILLAGE APARTMENTS TO BE MADE
AVAILABLE FOR OCCUPANCY BEGINNING IN THE FALL OF 2025
WHEREAS, the availability and affordability of both rental and home ownership remains
the most critical issue facing the Town of Vail as well as the entire Eagle River Valley;
WHEREAS, Habitat for Humanity Vail Valley (Habitat) has built and financed over 125
homes for families in the valley earning at or below 80% AMI since its inception in 1995;
WHEREAS, Habitat recognizes the potential of providing incremental affordable
homeownership opportunities for hardworking locals beyond just building houses – by way
of financing non-Habitat constructed homes with its zero percent loan product;
WHEREAS, Habitat has demonstrated its ability to bring together partnerships,
collaboration and innovative thinking and sees Timber Ridge as an opportunity to serve
families within the Town of Vail by piloting this new zero percent loan program;
WHEREAS, Habitat is in the process of completing a three-year, $18 million investment in
46 homeownership opportunities, doubling its impact;
WHEREAS, Habitat homeowners are educators, law enforcement officers, tradespeople,
as well as healthcare, grocery store and resort employees who make the Town of Vail and
greater Eagle County vibrant places to live;
WHEREAS, the Town of Vail has committed $2 million towards Habitat’s inaugural
mortgage lending pilot program at the Timber Ridge Phase II redevelopment project
scheduled to be available for occupancy in the fall of 2025. Pending its 2024 budget
approval on Jan. 9, Eagle County will invest an additional $2 million. The investment by both
the Town of Vail and Eagle County will allow Habitat to issue zero-interest mortgages
affordable to qualified buyers earning under 80 percent of the Area Median Income, or
$94,640 for a family of four. Homes will be deed-restricted by way of a predetermined resale
formula that will ensure they remain affordable in perpetuity, so families can be sure to have
a place to call home for decades to come; and
WHEREAS, using the estimated $868,000 three-bedroom home price at the Timber
Ridge Phase II, and a maximum affordability of $400,000 - $450,000 at the above-
mentioned AMI levels, along with Habitat’s zero percent loan, an approximate $400,000 per
home buy-down is required, for a total of $4 million for 10 homes.