Orange Senior Housing Inc

TO PROVIDE HOUSING AND SUPPORTIVE SERVICES TO LOW AND MODERATE INCOME INDIVIDUALS AND FAMILIES.

DURING 2021, OSH CONTINUED IN ITS ROLE AS THE MANAGING GENERAL PARTNER OF TRIANGLE TERRACE AFFORDABLE LIMITED PARTNERSHIP, WHICH OWNS A 75-UNIT SENIOR AFFORDABLE APARTMENT COMMUNITY THAT WAS CONSTRUCTED FOR OSH IN THE 1980S, THEN RENOVATED AND RECAPITALIZED INTO A TAX CREDIT PARTNERSHIP DURING 2015-2016. OSHS PARTNERSHIP INTEREST IN TRIANGLE TERRACE IS HELD BY A WHOLLY-OWNED SUBSIDIARY ORGANIZATION THAT IS A TAXABLE ENTITY. THERE IS A STAFF SERVICES AGREEMENT BETWEEN OSH AND ITS SUBSIDIARY ORGANIZATION.OSH ALSO CONTINUED THE PROCESS TOWARD DEVELOPING A NEW COMMUNITY OF SENIOR AFFORDABLE APARTMENTS NAMED KATELLA TERRACE ON 1.54 ACRES OF LAND IN THE CITY OF ORANGE. TITLE TO THE LAND WAS ACQUIRED IN 2019 AND IS HELD BY A WHOLLY-OWNED SUBSIDIARY ORGANIZATION THAT IS A DISREGARDED FOR TAX PURPOSES. IN MARCH 2021, AFTER REVIEWING PROPOSALS FROM SEVERAL POTENTIAL CO-DEVELOPERS, OSH SIGNED A LETTER OF INTENT (LOI) WITH HOIZON ELOM HOLDINGS FOR THE FINANCING PHASE OF THE PROJECT; THE LOI ALSO ANTICIPATES THAT THE PARTIES WILL FORM A TAX CREDIT LIMINTED PARTNERSHIP FOR THE CONSTRUCTION AND LONG-TERM OWNERSHIP OF KATELLA TERRACE. IN MAY, OSH LEARNED THAT THE PROJECT'S FIRST COMPETITIVE APPLICATION TO A STATE FINANCING AGENCY WAS UNSUCCESSFUL. AFTER STUDYING THE APPLICATION SCORES FOR THAT STATE FINANCING PROGRAM AND OTHERS, OSH DETERMINED THAT THE PROJECT'S POTENTIAL FOR SUCCESS IN THE STATE COMPETITIONS FOR LOW-INCOME HOUSING TAX CREDITS, WHICH ARE ESSENTIAL FOR CONSTRUCTION OF THE PROJCT, DEPENDS ON FINANCIAL ASSISTANCE FROM THE CITY OF ORANGE. IN JULY, OSH BEGAN DISCUSSIONS WITH CITY STAFF REGARDING POTENTIAL STRUCTURES FOR THE CITY'S FINANCIAL ASSISTANCE TO THE PROJECT. AT YEAR END, CONVERSATIONS WITH CITY STAFF HAD LED TO A FRAMEWORK FOR FINANCIAL ASSISTANCE FROM THE CITY, AND DISCUSSIONS WITH CITY STAFF WERE INDICATING THAT A STAFF RECOMMENDATION FOR FINANCIAL ASSISTANCE TO THE PROJECT WOULD BE CONSIDERED BY THE CITY COUNCIL IN FEBRUARY 2022.