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Alpharetta authority approves revenue note to finance rehab of 100-unit Dogwood Square senior housing
Summary
The Alpharetta Development Authority voted 4-0 to authorize a tax‑exempt revenue note, not to exceed $20 million, to support the acquisition and rehabilitation of Dogwood Square, a 100‑unit senior affordable housing community at 555 Janice Lane.
The Alpharetta Development Authority voted 4-0 to adopt a resolution authorizing the issuance of tax‑exempt revenue notes, in an aggregate principal amount not to exceed $20,000,000, to support the acquisition and rehabilitation of Dogwood Square, a 100‑unit senior affordable housing property at 555 Janice Lane in Alpharetta.
The measure matters because the property is covered by a U.S. Department of Housing and Urban Development Section 8 HAP contract that provides long‑term rent support for residents. Authority staff and legal counsel said the issuance would further the public purposes of the authority by preserving affordable housing in the city.
Legal counsel told the authority the development authority will act as a pass‑through issuer for the financing; the funds will be the proceeds of a private loan (originated by Pinnacle Bank) and the authority will not be an obligor on the loan. "You are what we call a pass through issuer," said the authority's legal counsel. Counsel also said the authority is fully indemnified and is not pledging its taxing power to repay the debt.
Developer representatives described the project and the planned renovations. Dogwood Square sits on about 3.46 acres, was built in 1987, is five stories tall and contains 100 predominantly elderly independent‑living units and some units for mobility‑impaired adults. The developer said the work will include interior unit rehabs (new cabinets, appliances and flooring), expansion and reconfiguration of the community room, exterior improvements (a new pavilion, raised garden beds, repaired parking and a retaining wall) and other modernization to preserve the property for another 15–30 years.
The developer said temporary relocation will be necessary during construction and described a relocation plan that typically uses hotels, provides move‑out and move‑back services, and an allowance for food; the developer said it will provide transportation when required. "Our hope is to close August 28," said a representative of the development/management team, and construction would begin after closing.
Authority staff said the issuance is intended to support an acquisition‑rehab transaction; Holland & Knight prepared the financing documents attached to the resolution. Staff identified Rebuild America (a nonprofit general partner) and Mansomar (development and management arm) as members of the development team; Pinnacle Bank is the participating lender/originator.
A motion to adopt the revenue note resolution was made by Sean Allen, seconded by Dan (surname not specified), and the authority voted 4‑0 to approve the resolution.
Next steps include executing the financing documents, closing the loan, and implementing the relocation and rehabilitation schedules described by the developer.
