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Board approves amendment to Phoenix Crossings affordable‑housing agreement to preserve SHIP funding eligibility
Summary
The commission approved a first amendment that clarifies conveyance and management arrangements for Phoenix Crossings so the SHIP grant recipient (Abundant Life Ministries, a 501(c)(3)) remains eligible for funding even if the property is conveyed to a manager LLC the nonprofit controls.
The Flagler County Board of County Commissioners approved Jan. 12 a first amendment to the SHIP/SHIP rental development agreement for Phoenix Crossings, an affordable housing project previously awarded ARPA and SHIP funds.
Assistant County Attorney Sarah Spector told the board that Abundant Life Ministries (a 501(c)(3)) was the original SHIP award recipient and that Phoenix Crossings LLC — an LLC created to act as project manager and owner — is not itself a nonprofit. The amendment clarifies that a conveyance to the LLC will not constitute an event of default so long as the LLC is managed by Abundant Life Ministries and the LLC's ownership structure preserves nonprofit control.
"So long as they are only conveying the property to this LLC for which they are the sole manager ... then that is not an event of default," Spector said, adding staff will return to the board for any required subordination or simple agreements needed to align county lien priorities with other lenders.
The board approved the amendment after a motion and second and after staff said any forthcoming routine documentation (subordination, simple agreements) would be presented for approval as needed.
Why it matters: the amendment preserves county grant conditions and enables the project to proceed with financing while keeping primary control with the nonprofit that qualified for SHIP funds.
What to watch: staff said future administrative items (subordination agreements or consent for lender liens) could be placed on consent or general business agendas when required.
