City of Milwaukee - File #: R13404

• File #: R13404
• Version: 0
• Type: Housing Authority Resolution
• Status: Passed
• File created: 5/31/2023
• In control: HOUSING AUTHORITY
• On agenda: 6/7/2023
• Final action: 6/7/2023
• Title: Resolution approving and authorizing the acquisition of membership interests in Scattered Sites LLC
• Sponsors: THE CHAIR

Date	Ver.	Action By	Action	Result	Tally
6/7/2023	0	HOUSING AUTHORITY	ADOPTED; Minutes note: Fernando Aniban, HACM’s Assistant Secretary, provided background information regarding the acquisition of membership interests in Scattered Sites LLC. He explained that the 24 single family homes were funded with Low Income Housing Tax Credits and that the LLC has reached the end of its 15-year tax credit compliance period. HACM would like to acquire the Investor Member’s 99.991% membership stake for the purchase price of $42,000.	Pass	4:0

Number
R13404

Version
Original

Reference

Sponsor
The Chair

Title
Resolution approving and authorizing the acquisition of membership interests in Scattered Sites LLC

Analysis

Body
WHEREAS, HACM is the sole member of Scattered Sites Development LLC, a Wisconsin limited liability company, which is the managing member of Scattered Sites LLC, a Wisconsin limited liability company (“Scattered Sites”); and

WHEREAS, Scattered Sites, comprising of 24 units scattered site building funded with Low Income Housing Tax Credit had already completed its 15 year tax credit compliance period; and

WHEREAS, the tax credit investors in Scattered Sites desires to exit and sale its interest in the project; and

WHEREAS, the Housing Authority of the City of Milwaukee (HACM) desires to acquire 99.991% of the membership interests in Scattered Sites from Nationwide Affordable Housing Fund 35 - Red Stone Equity Fund-2, LLC, a Delaware limited liability company (the “Investor Member”), Red Stone Equity Manager, LLC, a Delaware limited liability company (the “Special Member”, and together with the Investor Member may be referred to herein as the “Assignors”, pursuant to the terms of the Assignment and Assumption of Membership Interests and Third Amendment to the Amended and Restated Operating Agreement (the “Agreement”) by and among Assignor, HACM and Scattered Sites Development LLC.

NOW, THEREFORE, BE IT RESOLVED, by the Housing Authority of the City of Milwaukee that the execution and delivery of such Agreement is hereby approved and the proper officers of HACM and Scattered Sites Development LLC are hereby authorized and directed to execute and deliver such Agreement in such form and substance as may be approved by the Secretary-Executive Director; and be it

FURTHER RESOLVED, that the proper officers of HACM, Scattered Sites Development LLC or the Secretary-Executive Director is hereby authorized and directed to negotiate, execute and deliver such Agreement on behalf...