...Title
Community Development Block Grant Neighborhood Commercial Rehabilitation Program Loan Agreement (Ordinance S-48233)
...Description
Request to authorize the City Manager, or his designee, to enter into a loan agreement with Ricardo Sosa for up to $150,000 in Community Development Block Grant (CDBG) program funds for facade and site improvements to Salon Sosa through the Neighborhood Commercial Rehabilitation program, and to take all actions and execute all documents necessary to complete the loan. Further request to authorize the City Controller to disburse all funds associated with this agreement. The CDBG program is funded by the U.S. Department of Housing and Urban Development; no General Funds are required.
...Report
Summary
The Neighborhood Commercial Rehabilitation (NCR) program offers CDBG funding for property owners to complete exterior improvements through a deferred loan, secured by a Deed of Trust, which is forgiven over a period of up to 10 years. The program was approved by City Council through Ordinance S-46657 as part of the 2020-24 CDBG Consolidated Plan. NCR projects are selected through an open application process.
The goal of the NCR program is to support the revitalization or improvement of commercial buildings along targeted neighborhood business corridors to ensure the long-term sustainability of the community, its businesses and structures. Eligible economic revitalization projects must provide a public benefit or deliver neighborhood enhancements including job creation for local residents, blight elimination, or the provision of qualified goods or services to residents of targeted, low- and moderate-income areas in Phoenix.
Salon Sosa is a full-service salon offering a wide range of personal care services, including haircuts and scalp treatments. Salon Sosa has served the South Phoenix area since 2010; and retains four full-time positions. Located along the proposed South-Central Light Rail corridor/line, the property owner desires to create a more appealing storefront to attract customers and enhance the neighborhood aesthetic.
Financial Impact
The CDBG program is funded by the U.S. Department of Housing and Urban Development; there is no impact to the General Fund.
Concurrence/Previous Council Action
This item was recommended for approval by the Community and Cultural Investment Subcommittee on Dec. 1, 2021, by a vote of 4 to 0.
Location
6834 S. Central Ave.
Council District: 7
...Department
Responsible Department
This item is submitted by Deputy City Manager Gina Montes and the Neighborhood Services Department.