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PZC Packet 051225AVON PLANNING & ZONING COMMISSION MEETING AGENDA MONDAY, MAY 12, 2025 ` ,O PUBLIC MEETING BEGINS AT 5:30 PM V ZOOM LINK: HTTPS://us02WEB.ZOOM.us/i/89711832548 NOTICE: MEMBERS OF THE PLANNING AND ZONING COMMISSION AND TOWN COUNCIL WILL BE MEETING AS A GROUP FOR A SITE VISIT AFFILIATED WITH ITEM 6.1 AT 4:30 PM AT THE SLOPESIDE PROPERTY ON SWIFT GULCH ROAD. THIS WILL BE A BRIEF SITE TOUR FROM 4:30-5:00 PM AND IS OPEN TO THE PUBLIC. PUBLIC MEETING 1. CALL TO ORDER AND ROLL CALL (CHAIRPERSON) - 5:30 PM 2. SWEARING IN OF NEW COMMISSION MEMBERS 3. APPROVAL OF AGENDA 4. DISCLOSURE OF ANY CONFLICTS OF INTEREST OR EX PARTE COMMUNICATION RELATED TO AGENDA ITEMS 5. PUBLIC COMMENT — COMMENTS ARE WELCOME ON ITEMS NOT LISTED ON THE FOLLOWING AGENDA PUBLIC COMMENTS ARE LIMITED TO THREE (3) MINUTES. THE SPEAKER MAY BE GIVEN ONE (1) ADDITIONAL MINUTE SUBJECT TO PLANNING AND ZONING COMMISSION APPROVAL. 6. JOINT WORK SESSION WITH AVON TOWN COUNCIL SLOPESIDE COMMUNITY HOUSING: DESIGN CONCEPT — PATTI LIERMANN, HOUSING PLANNER 7. CONSENT AGENDA 7.1. APRIL 21, 2025 PLANNING AND ZONING COMMISSION MEETING MINUTES 7.2. RECORD OF DECISION — MJR25002 EXTERIOR REMODEL AT 5743 WILDRIDGE RD 7.3. RECORD OF DECISION — REZ24002 KESTREL DEVELOPMENT SHORT TERM RENTAL OVERLAY 8. FUTURE MEETINGS 8.1. JUNE 9, 2025 8.2. JUNE 23, 2025 9. STAFF UPDATES 10. ADJOURN MEETING AGENDAS AND PACKETS ARE FOUND ONLINE AT WWW.AVON.ORG AGENDAS ARE POSTED AT AVON TOWN HALL, AVON RECREATION CENTER, ONLINE AND AVON PUBLIC LIBRARY IF YOU HAVE ANY SPECIAL ACCOMMODATION NEEDS, PLEASE, IN ADVANCE OF THE MEETING, CALL MATT PIELSTICKER AT 970-748-4413 OR EMAIL MPIELSTICKER@AVON.ORG WITH ANY SPECIAL REQUESTS. TO: Planning and Zoning Commission & Town Council FROM: Patti Liermann, Community Development Housing Planner Avon RE: Slopeside Community Housing Project DATE: April 25, 2025 C 0 L 0 R A D 0 SUMMARY: This report presents to Avon Planning and Zoning Commission ("PZC") and Town Council ("COUNCIL") background and information regarding the Slopeside Community Housing Project and draft Project Goals forthisjoint work session. During the joint work session, Staff seeks feedback on the overall Project Goals before moving onto the next steps of the Conceptual Design process. DEVELOPER INTRODUCTION: Staff solicited proposals from professional development firms through our www.bidnet.com portal in summer 2024. After a competitive submittal and interview process, Ulysses Acquisition, LLC ("Ulysses") was selected based on their experience as an affordable housing developer. Ulysses has a key skillset in successful financing of affordable rental projects, including projects in mountain resort communities. Their project team includes EV Studio Architects, Martin & Martin Civil Engineers, Cumming Groug Construction Management, and Group 14 Sustainability Consultants. Ulysses is based in Denver, the civil engineering and construction management teams are local and have extensive experience in Eagle County. Ulysses brings a strong, thoughtful, and collaborative development approach to the project with a focus on strengthening community. GOAL SETTING WORK SESSION: At the May 12th meeting, Staff, Ulysses, PZC, and Council will work through Step 1 of the Conceptual Design phase. Ulysses will introduce their team, walk through their initial thoughts on the site, highlighting where they see challenges and opportunities. They will provide a brief overview of the site's potential. Staff will then review the draft Project Goals as outlined in this report. The Avon PZC and Council members will be asked to provide questions, comments, priorities, and feedback on the goals. The overall work session goal is to refine the Project Goals collaboratively and iteratively. Information will be collected and used by Ulysses and their team to create the initial conceptual designs. Ulysses and their team will return to Avon PZC for Step 2 of the Conceptual Design process. COMMUNITY HOUSING DEVELOPMENT STEPS: The development of Community Housing involves several steps, which are described as follows: 1. Identification of land suitable for a Community Housing Project. COMPLETE 2. Zoning (or Rezoning) COMPLETE 3. Determination of Ownership and Initial Partners (i.e. public or private). PENDING 4. Determining whether to proceed as public development project or post Request for Proposal for private developers. COMPLETE 5. Apply for Grant Funding for design, infrastructure and/or construction. ON GOING 6. Conceptual Design of housing project to determine density, layout, and feasibility. 7. Determination of specific housing type and goals (rent versus own, unit size, target AMI levels) 8. Establishing development team (architect, owners representative, contract — if a public project, or selecting developer if private project). 9. Securing financing and finalizing development agreements and deed restrictions. 10. Overseeing or administering construction of project. 11. Construction completion and sale or leasing per Avon Community Housing Policies or per terms with private developer. (970) 748-4091 pliermann@avon.org BACKGROUND: The Property is part of the original Benchmark at Beaver Creek Subdivision, and was zoned for Open Space, Landscaping, Drainage ("OLD"), since at least 1991, and prior to Avon rezoning Parcel 1 (Benchmark at Beaver Creek Tract Y) in 2024 to Community Housing High Density-1 ("CHHD-1"). The smaller Parcel 2, to the east was rezoned for "public use" and is part of the 1997 Swift Gulch Addition subdivision creating the public works/transit/fleet campus. Parcel 2 is described as Lot 2: Swift Gulch Addition. Both parcels are owned by the Town of Avon. Parcel 1 is approximately 3.41 acres. Property location Parcel ;I.— ;'•... Parcel 2 r The Property also contains a portion of the pedestrian/bike trail that runs between Avon Road and Post Blvd, and the existing Nottingham Puder Ditch. The Community Housing project, currently known as "Slopeside", will primarily be located within Parcel 1 and may have signage or other limited uses on Parcel 2. The Zoning on this parcel is as follows: Community Housing High Density —1. The CHHD-1 district is established to accommodate multi- family development in cost effective configuration, construction type and density that permits a high number of residential units with a maximum of four (4) stories of residential or three (3) stories of residential above one (1) level of at grade parking. "Slopeside" Community Housing Project May 2, 2025 Page 2 of 5 Table 7.20-7 Community Housing High Density -1 Dwelling Max. Max. Min. Max. Lot Min. Front Min. Side Min. Rear Max. Type Density Units Per Landscape Coverage Setback Setback Setback Building (units/ Building Area (%) (feet) (feet) (feet) Height acre) (feet) Multi- 25 du/ N/a 10% 80 10 7.5 10 48 family / TH acre CONCEPTUAL DESIGN PHASE: The Conceptual Design agreement outlines a process with four steps. The first step will determine the project's goals and priorities, seek feedback from stakeholders, and eventually select the preferred design. The entire conceptual design process will include the following: 1. Introductory joint work session with Avon PZC and Council to review project goals, discuss site challenges and opportunities, and discuss optimizing density balanced with appearance of entry to Town. 2. Initial presentation of at least 2 conceptual designs to Avon PZC and Council. Avon PZC and Council will provide direction and comment on conceptual designs. 3. Prepare revised and preferred conceptual design for presentation to Avon PZC and Council. Avon PZC and Council will provide direction and comment to finalize the preferred conceptual design. 4. Present the revised conceptual design to Avon PZC and Council. PROPOSED CONCEPTUAL DESIGN DIRECTION: Increased density will result in larger buildings which may not meet the Town's design aesthetic goals for this prominent gateway. The proposed conceptual design direction is to request one design with 85 total residential units (25 units per acre x 3.41 acres) and one design with at least 110 residential units (additional density permitted by Development Bonus process), or, in the alternative, consider by total volume of buildings and total number of bedrooms. The purpose of these two conceptual designs is to illustrate the bulk and massing of different quantities of development on this site. PROJECT GOAL SETTING: The focus of this presentation is on Step 1 of the Conceptual Design phase: determining the project goals, site challenges and opportunities, and optimizing density and appearance. Staff requests direction on Project Goals from Avon PZC and Council. DRAFT PROJECT GOALS: The goals that are in Red Bold Italics are highlighted for discussion. Project Type 1. Maximize potential density on this site due to Town ownership and proximity to Town Core. 2. Strive to provide rental housing that meets the 80%-120% AMI level. Site Design 1. Relocate recreation path and irrigation ditch as needed to the extent feasible. 2. Mitigate potential debris flow and flooding hazards. 3. Maximize efficiency of snow removal. 4. Incorporate convenient trash/recycling/composting collection. 5. Utilize landscaping which meets Town's landscaping regulations and water conservation goals. 6. Provide pedestrian and bicycle connectivity to bus stop and recreation trail. "Slopeside" Community Housing Project May 2, 2025 Page 3 of 5 7. Maximize efficiency of maintenance and operations (minimize sidewalks that ice, use low maintenance materials for high impact areas, use materials that are easily maintained, resealed, repainted/no paint, replaced, considerations for staff accessibility, etc.). Project Design 1. Utilize high quality mountain contemporary architecture design so that the project provides an attractive entrance to Avon and establishes a minimum benchmark for architectural design in Avon for multi -family buildings. 2. Achieve Net Zero construction to meet Climate Action Plan goals and serve as a demonstration project. 3. Incorporate passive solar designs to take advantage of southern exposure. 4. Utilize fire resistant exterior materials to minimize wildfire risk. 5. Include adequate parking for residents and guests, recognizing there is no additional parking in the area OR allow under parking due to the proximity to the Town Core. 6. Include storage areas for recreation equipment. (ideally 30+ sq.ft. per unit) 7. DO NOT include balconies and patios due to the high noise impacts of 1-70. 8. Include an attractive indoor space that provides seating, tables, and cooking that can serve as a convenient and welcoming space for informal gathering. 9. Forego elevators due to the expectation that parking will be at the 2nd level of a four floor building. 10. Maintenance storage and workshop for property management. 11. Exterior accessible utilities (heat/water heater) for maintenance purposes. 12. Design to maximum efficiency for long-term ownership. ,Description Total Shortage Owner Renter Projected Tota I Need Owner Renter Total TotalExisting Housing Need Extremely Low Income (<30% AM) 157 0 157 0 0 0 157 0 157 Very Low Income (31-50%AMI) 216 0 216 0 0 0 216 0 216 Low Income (51%-80%AMI) 496 0 496 1,069 0 1,069 1,565 0 1,565 Moderate Income 81%-100% 256 0 256 1,279 0 1,279 1,536 0 1,536 100% -120% 229 114 114 658 329 329 887 444 444 Middle Income 120% to 140% 227 114 114 209 104 104 436 218 218 140% to 160% 197 138 59 62 43 18 258 181 78 160% to 180% 154 108 46 166 116 50 320 224 96 180% to 200% 154 108 46 56 39 17 209 147 63 Greater than 200% 553 387 166 553 387 166 200% to 220% 221 155 66 221 155 66 220% to 240% 16 11 5 16 11 5 Total 2,638 968 1,671 3,736 798 2,938 6,375 1,766 4,608 Source: RRCAssociates. U.S. Census Bureau. Colorado Dept. of Labor & Ernployment. QCEW. JobsEQ. Economic & Planning Systems REQUESTED DIRECTION: Your involvement at this first stage of the process will help shape the project moving forward. Please review the above goals and arrive at the meeting prepared to share your ideas. This initial meeting will be used to fine tune the project goals and direction with Ulysses and their project team. We expect to learn from the meeting what other information might be desirable for the Slopeside project from the Developer, their team, Avon PZC, and the general public. "Slopeside" Community Housing Project May 2, 2025 Page 4 of 5 ATTACHMENTS: Attachment A: Ulysses Acquisition, LLC Response to Request for Proposal Thank you, Patti "Slopeside" Community Housing Project May 2, 2025 Page 5 of 5 Avon SLopeside Workforce Housing ULYSSES CUMMING CORUM DEVELOPMENT EVstudio MARTIN/MARTIN GroupGROUPGROUP992594TIBS ENGINEERING REAL ESTATE GROUP Cover Letter 1. Project Team & Process 2. Initial Concept Designs Table of 3. Financing Contents 4. Exhibits A. Cover Letter Dear Selection Committee, Thank you for including Ulysses Development Group ("UDG") in the group of developers selected as finalists to partner with the Town of Avon (the "Town") for the delivery of the Slopeside housing opportunity (the "Project" or "Slopeside"). In our response to the RFQ, we provided much of our firm's background and qualifications. In this RFP response, we will describe how UDG and our intentionally selected development team is best suited to deliver Avon's vision. We will demonstrate the skills, experience and history of successful partnerships that the Town can expect from UDG. Our team understands the scarcity of land for future housing opportunities in the Vail Valley. This is why our team has spent much of 2024 preserving the affordability of Eagle Villas, an affordable housing community located in Eagle. Although Eagle Villas is not a new construction project, and is not located in Avon, it is a vital regional housing asset that would have further strained the rental market throughout the Vail Valley if UDG had not stepped in to acquire the property and extend its affordability restrictions. Despite these differences, there are a few similarities to our work on acquiring Eagle Villas that are worth highlighting. These include (1) our ability to bring in local, state, and federal financial resources to creatively finance the acquisition of the property and the immediate improvements necessary, (2) UDG's ability to collaborate with Eagle County partners, (3) our ability to successfully operate workforce housing in the Vail Valley, and (4) our mission -based commitment to the 120 families who no Longer fear being displaced from Eagle County. There is no'one-size-fits-all' approach to delivering affordable housing. UDG's has crafted its strategy for the Slopeside parcel to execute the vision and goals already established by the Town. This strategy begins with including Avon — based consultants on our project team. Both Cumming Group (cost estimating, General Contractor procurement and construction management) and Martin/Martin (civil engineering services) are located within minutes of Slopeside and their local knowledge and construction experience will be invaluable. The other three consultants on our team are based in Denver with vast ski -country experience. EVstudio, our design consultant, has extensive multifamily and workforce housing experience and has crafted our proposed site plans to maximize the Slopeside opportunity and provide an elevated design aesthetic appropriate for the gateway entrance to the Town. Corum Real Estate Group will provide property management and leasing services. Corum's Eagle County management portfolio includes the adjacent Buffalo Ridge property and UDG's Eagle Villas. Group14 Engineering will provide sustainability, energy modeling, and green building certification services. Our initial strategy includes all - electric buildings, rooftop solar PV, and the ambitious goal of achieving The Department of Energy's Zero Energy Ready Home ("ZERH") certification. The RFQ and RFP documents call for a partner that is collaborative and can work productively with Town staff and community stakeholders. In our response, we have acknowledged your desire to evaluate different options for the Project and have provided various different density scenarios for the Town to consider. The success of complex housing developments is highly correlated with the strength of the partnership sponsoring the project. We are committed to serving as a long-term partner with the Town and with Eagle County in a transparent, collaborative, and mutually beneficial manner. We are happy to provide references of other municipal partners who have worked with us on other housing pursuits. Sincerely, Blaise Rastello Vice President Ulysses Development Group 2. Project Team & Process 2. Project Team & Process A. The Project Team Leads that will be working directly with Avon Ulysses Development Group LEAD DEVELOPER UDG is a mission -driven developer, preserver, and owner of affordable housing based in Denver with a team experienced in delivering complex workforce housing projects similar to the Slopeside opportunity. As demonstrated in our RFQ response, UDG provides extensive experience in workforce housing development and brings a `best -in -class' development team comprised of both local Avon consultants, Cumming Group and Martin/Martin, the Denver -based design firm, EVstudio, and sustainability consultant, Group14. This team brings an extensive resume of housing projects delivered in Colorado mountain resort towns. UDG will lead this team to deliver the Town vision and high priority goals. UDG's principals and development staff have more than 75+ years of combined experience and demonstrated history of developing income -restricted multifamily real estate ranging from 62 units to over 550 units in size. Having Led the capital raises for these projects, the team has extensive experience using federal, state, and local funding sources and has built successful partnerships with local government agencies. This history of execution has helped UDG build successful relationships with lenders and investors on a national scale. Furthermore, UDG, through its affiliate entities, maintains a robust organizational balance sheet with a high level of liquidity to provide the necessary guarantees for similar workforce housing developments. The key internal staff who will be dedicating time to ensuring the successful execution of the Project include the following individuals. Blaise RastelLo is a Vice President with UDG and has 20 years of experience in real estate development and finance, with expertise in affordable housing and community development. Prior to joining UDG, Blaise led the affordable housing development platform for Gilbane Development Company, where he oversaw and directed the planning, design, construction, and financing for a $3.5 billion affordable housing development pipeline. Blaise started his career investing in low-income housing tax credits with the Richman Group and has experience working with both non- profit and for -profit affordable housing developers. Blaise is graduate of the University of Arizona and The New School. Blaise would serve as the project lead and main point of contact for Slopeside and for the UDG team. P Kirsty Greer is the Chief Development Officer at UDG. In this role, she leads the company's development initiatives, overseeing projects across several states. Kirsty has extensive experience in real estate, previously serving as Executive Vice President of Development at McWhinney, where she managed a portfolio of over 2,200 units under management and thousands more in development. Kirsty graduated with a Bachelor of Science in Biology from the University of Michigan and she holds a Master's Degree in City and Regional Planning from the University of Pennsylvania. 2. Project Team & Process A. The Project Team Leads that will be working directly with Avon Ulysses Development Group LEAD DEVELOPER Connor Larr is a founder and partner of UDG. Prior to UDG, Connor was a vice president of development at the Related Companies in New York City, where he oversaw large-scale development projects with significant public -private partnership components. While at Related, Connor served as a development executive overseeing all aspects of development of the Shops at Hudson Yards, a $2.2 billion development in Manhattan in direct partnership with the Metropolitan Transportation Authority and the New York City Industrial Development Authority. Additionally, Connor was responsible for the 23-acre redevelopment of Willets Point, Queens, which is an ongoing public -private partnership with the New York City Economic Development Corporation ("NYCEDC"). Connor was responsible for putting into place all components of the partnership with NYCEDC, including negotiating and deploying over $20 million of public funds from NYCEDC into the redevelopment project. Connor started his career in municipal finance at Citigroup. Connor is a graduate of the Johns Hopkins University. Mark O' Rear serves as Senior Vice President and Head of Construction for UDG, bringing over 30 years of construction expertise. In his role, Mark is responsible for Leading all new construction activities nationally. Prior to joining UDG, Mark spent five years as Vice President of Construction at Mill Creek, overseeing construction throughout the Denver market. Prior to Mill Creek, Mark was a Vice President and Area Manager for Manhattan Construction in Oklahoma City, Oklahoma. From 2005 to 2010, he was a Project Executive with The Hanover Company, responsible for construction and the successful completion of the 223 home Acoma High -Rise project in the Golden Triangle district of Denver, Colorado. After graduating from the University of Oklahoma in 1988, with a Bachelor of Science in Construction Science, Mark started his construction career with the Manhattan Construction Company in the Oklahoma City market. Rachel Mohrman is an associate with UDG with over four years of experience in housing development. She serves as a support in all facets of the process as part of the development team. Prior to joining UDG, she spent three years in market -rate development with Confluence Companies where she was responsible for the underwriting, capitalization, and overall development process for over 2,000 units. Rachel graduated from the University of Denver with a Bachelor of Business Administration in Real Estate with an emphasis in Property Development. 2. Project Team & Process A. The Project Team Leads that will be working directly with Avon The other members of our project team include the following firms: ARCHITECT / MEP ENGINEER/ STRUCTURAL ENGINEER EV Studio is a dynamic and innovative leader in the design and engineering world. With over 4,000 projects in their portfolio, their collaborative and multidisciplinary approach ensures every detail is expertly crafted. With projects based in the stunning peaks of Breckenridge to the charming streets of Ouray, their commitment to creating beautiful, efficient, and attainable housing solutions in mountain towns drives partnerships with communities and government agencies to make a lasting impact. In its early years, EVstudio's primary focus was on architecture, but as the firm grew it recognized the need for a more cohesive and efficient design process. In response, EVstudio began adding engineering disciplines to its team, starting with structural engineering and gradually expanding to include civil, mechanical, and electrical engineering. This expansion was strategic, allowing the firm to offer a fully coordinated approach to design challenges. The multidisciplinary nature of the firm not only improved communication between disciplines but also enhanced the quality and efficiency of the design process. The integration of these services means that EVstudio can approach projects holistically, ensuring that every aspect of the design is cohesive and optimized. This structure enables the firm to solve complex design challenges faster and with greater precision, resulting in higher -quality projects for clients. Whether designing larger apartment buildings, or a townhomes community, EVstudio's in-house coordination allows for smoother project delivery. Dean Dalvit is a licensed Architect as well as a Professional Engineer, and founder of EVstudio. Dean has been directly involved in the design of thousands of residential units and millions of square feet of residential and commercial buildings. He takes an integrated multidisciplinary approach to all of his projects, seamlessly blending architectural design with practical engineering that results in visually stunning, cost effective, and efficient, sustainable designs. Matt Svoboda is a Senior Architect at EVstudio with 25 years of experience planning and designing projects of varying scales, from large community recreation centers and multi -family residential projects to local libraries and custom housing. Matt has managed the construction administration of over three million square feet of complex buildings. Jon Anderson is the Co -Director of MEP Engineering and an Associate Principal at EVstudio. With over 17 years experience in the field, Jon brings a seasoned eye to the EVstudio team as the MEP Engineering Co -Director. Jon has extensive design experience across a variety of sectors including multi -family, K-12, higher education, and more. Jon gives every project a unique approach for sustainable design and green building solutions. Katelyn Wager is a Licensed P.E. and an Associate Principal, and also leads the Multifamily & Commercial division of EVstudio's Structural Engineering department. Katelyn has extensive experience in parks and recreation, municipal spaces, residential design, commercial design, and client management. Her specialty is in foundation design, plus familiarity with soil pressure and support needed in various conditions, especially in Colorado. Katelyn has extensive experience in structural engineering in Colorado mountain towns and will be key in maximizing the potential of this site from a structural perspective. Spring Creek Village, Gypsum, CO — 200 units, affordable development designed by EVstudio Other Select Experience: The Gauge (Durango, CO) — 90 units, affordable development Midland Apartments (Buena Vista, CO) — 60 units, affordable development The Larkspur (Breckenridge, CO) — 52 units, affordable development 2. Project Team & Process A. The Project Team Leads that will be working directly with Avon CUMMING GROUP COST ESTIMATOR / GC PROCUREMENT / CONSTRUCTION MGMT Cumming Group will join the development team to provide owner's representative services. Initially this work will be focused on cost estimation using their extensive construction experience in Eagle County. Cumming Group will also assist in identifying the optimal general contractor who is most equipped with local sub -contractor relationships to deliver the project on time and within budget. Once the project is underway, they will stay involved to assist the UDG team with construction management services from their local office in Avon. Chris Knight will be the lead from the Cumming Group offering his expertise in project management. Chris has 26 years of diverse construction management and owner's representation experience. With a background in design phase management, Chris remains focused on client and team relationships as well as a high level of communication. MARTIN/MARTIN Ikyj10:1►Eel 1014:4.1 Martin/Martin, Inc. is a full -service civil and structural consulting engineering firm based in Denver with a local office in Avon. Built on experience and industry leadership cultivated since the 1940s, Martin/Martin has extensive experience providing engineering support for a broad range of residential, hotel, and site development projects. Its engineers are experienced in designing housing sites with constraints that require innovative solutions for drainage, detention, and access designs. Having completed 200+ site development projects across Colorado, Martin/Martin understands the nuances of developer -driven schedules and planning. L. Mark Luna, PE manages the engineering services for Martin/Martin's Avon office. As a Summit County resident for 26 years, Mark has extensive knowledge of mountain/resort towns and has over 33 years of experience in residential development including roadway and utility design. GroupENGINEERING SUSTAINABILITY CONSULTANT Group14 Engineering is a consulting firm committed to improving the energy and resource efficiency of buildings. By offering a full suite of services for decarbonization across the entire life cycle of a building, they are the premier sustainability consultant in Colorado. Groupl4 will be a key consultant that is involved from the very beginning to optimize the design process and lead from a place of energy efficiency. Sarah Hong will join the project team from Group14 as a performance engineer with over six years of experience in the building system field. With specific experience in affordable housing developments, Sarah has worked with housing authorities and developers all over Colorado on over 50 LIHTC projects certified in green building certifications. Her experience includes MEP systems commissioning, energy modeling, and climate resistant design planningfor multifamily buildings. CORUM li REAL ESTATE GROUP PROPERTY MANAGER Corum Real Estate Group is a Denver -based group consisting of real estate professionals with experience in acquisitions, asset management, and client service. With an understanding of market dynamics, they have the knowledge and expertise to aid in delivering a product that will attract and retain tenants. The majority of their team works on -site at the properties they manage in order to create a strong sense of community in a personal environment. In addition, Corum has extensive experience with managing affordable properties, particularly in mountain communities. Corum currently manages approximately 800+ affordable units in the Rocky Mountain area of Colorado. Flor Felix, NPCC is the area manager for the Eagle/Garfield/Routt Counties from her Avon, CO office. Flor will be directly contributing to the management and leasing of Slopeside. 2. Project Team & Process A. The Project Team Leads that will be working directly with Avon Jon Anderson Co -Director of MEP Engineering Town of Avon 0 sing Authority TBD Special �d Partner 2. Project Team & Process B. The expectations of Avon Staff UDG will be a collaborative partner on Slopeside with a focus on delivering the Town's established vision. As a gateway to the Town, the Project not only presents a beneficial housing development opportunity, it also will serve as the Town's front door, making its success and aesthetic vital for Avon's primary entrance. UDG fully recognizes this significant location and plans to lead the Project with its highly skilled design team, while maintaining close collaboration with Avon staff on key decisions and milestones. Taking cues from the design standards outlined in the Town's Comprehensive Plan, the team has designed the Project to blend into the surrounding environment. Specifically, our site plan enhances and preserves the natural aesthetic of the Project, decreases massing where appropriate, and improves auto and pedestrian connections. The team has included precedent imagery in this proposal to help visualize the completed Project, however it's anticipated that the final exterior aesthetic of the Project will be a vital collaborative process between the Town and the design team. If chosen as the preferred development partner, UDG will actively integrate the expertise of its team with input from Avon's stakeholders, seeking alignment with the Town's Comprehensive Plan and Housing Goals to meet the aspirations of the local community. UDG is committed to fostering open communication, transparency, and flexibility and would ask that the Town return the same. C. The preferred and recommended approaches to the Conceptual Design Review process After selecting the desired site plan, the team will begin moving through the conceptual review process with the Town where Avon is anticipated to be an involved stakeholder as this phase will determine the overall design of the Project as key architectural elements are addressed. Town feedback during the conceptual design review process will allow the design team to incorporate local insights on massing, aesthetics, traffic flow, environmental sustainability, and community outreach. UDG is committed to developing a project that resonates with the community vision and positively contributes to the local landscape. During the conceptual design phase, the team will look to discuss whether the Project would benefit from an off -site construction approach. EVstudio has a team of design experts that partners with multiple modular manufacturers and can help educate on these methods. Each concept design provided in this proposal could lend itself to either stick -frame or off -site / modular construction. Once the concept plan is finalized, UDG's design team will proceed with the entitlement and permitting process.. While the design team will drive much of this next phase of design, UDG will continue communicating with the Town, checking in regularly to advise on major milestones and seek feedback on major decisions — such as the GC selection and financial structure. D. The preferred and recommended approaches to finalizing design, bidding, and constructing a housing project DESIGN UDG has evaluated the site with its design team and has included more than three concepts to review with Avon staff. UDG's preferred approach to finalizing the design concept is to collaboratively review the three concepts by considering the community's housing needs and preferred aesthetics for the front door to Avon. This process ensures that the selected site plan meets Town's visions and achieves the established goals. 0 - ► I:r Cumming Group will be a key consultant in the bidding and construction phases of development. As a world class project manager, the group will be actively involved with UDG to collaboratively procure the General Contractor ("GC") prior to the bidding process. Having Cumming Group on the project team from day one ensures that that they can proactively work with the design team to produce an efficient high -quality product that is also feasible from a cost perspective. The team will be able to quickly produce cost estimations and adapt quickly based on changing market conditions. UDG has intentionally delayed the selection of a GC until the design and housing typology is further along. This approach allows the team to choose the GC best suited to construct the housing product that the Town selects. In the meantime, Cumming Group has provided estimates for each design scenario. CONSTRUCTION In addition to bidding, Cumming Group will also lead the construction management and GC oversite for the Project. With an office located just two miles from Slopeside, the group offers `boots on the ground' construction oversight. The construction management team will oversee every aspect of construction, including scheduling, quality control, and on -site coordination to ensure that the project stays on time and within budget. They will also work in collaboration with UDG's in-house construction team who will offer additional construction oversight from their office in Denver. UDG's in-house team will also help to ensure a seamless transition from design to execution. This collaborative approach to planning and oversight will help to deliver a high -quality, efficiently managed development. 2. Project Team & Process E. The preferred steps & hypotheticaltimeframes for contracts, development approvals, and financing from beginning to end of the development process and property management process. RFP Developer Selection Negotiate & Execute Development Services Agreement Project Design & Pre -Development * Conceptual Design Submitted to the Town of Avon Conceptual Design Meeting With the Town of Avon Schematic Design Drawings Major Development Plan Submission Major Development Plan Approval Construction Documents Permitting Process Financial Close/ Groundbreaking Constructior UDG is prepared to move efficiently through the partner selection process, bringing its internal legal team to quickly address redlines and terms for the Development Services Agreement. UDG seeks to perform as an amenable and flexible partner, and requests that the Town of Avon engage in a similarly collaborative manner. Based on the Town's timeline in the RFQ, UDG anticipates finalizing the agreement within two months of being selected as the preferred developer, with the potential to expedite where possible. Once selected, UDG will follow the Town's lead on the appropriate timing for beginning discussions and charrettes with Avon Planning and Zoning Commission and the Avon Town Council to discuss the proposed concept plans and ultimately land on the most beneficial result for the Town. The ultimate project design and pre -development phases starts with the Conceptual Design, where UDG will complete a pre -application meeting with the Town to discuss the selected concept. Feedback from this meeting will allow for drawings to be revised to address any initial concerns before proceeding to the Conceptual Design Meeting. Following the conceptual review process, UDG's design team will enter the Schematic Design phase, expected to take around three months. During this time, UDG will continue pre -development activities, including further site investigation and financial structuring. Upon completion of the schematic drawings, the team will move forward with the Major Development Plan review. This process is projected to occur during the second half of 2025 and involve multiple reviews as the team works to finalize the design. Once approved, the team will proceed with Construction Documents ("CD") which will be assembled over approximately six months. Once completed the CD's will be submitted to the Town for Permit Approval while simultaneously working towards a Financial Closing. Once this step is complete, UDG will be ready for a long-awaited Groundbreaking celebration. The estimated construction timeline is 18 months during which all site work and vertical construction will take place. Approximately six months prior to completion, the UDG asset management team will begin working with Corum's leasing team to begin marketing efforts and pre -leasing. Given the lack of housing availability and demand for specifically workforce housing, UDG assumes a rapid lease -up process with a substantial amount of units pre -leased prior to construction completion. UDG's proven track record over the past three years demonstrates our ability to manage projects efficiently and coordinate all necessary parties to keep our developments on schedule in route to resident occupancy and a Grand Opening. 2. Project Team & Process F. The proposed terms for Development Services. The UDG team will be responsible for managing, financing, and delivering the Project. In addition, UDG ownership will incur all the guarantees and risks necessary for securing debt financing. As such, UDG has underwritten a 5% development fee that is customary for workforce housing developments. This fee is subject to standards with capital partners and approval from the Town. Undoubtedly, significant gap financing will be needed to fully fund this Project. While the financing need varies across the different conceptual plans proposed, UDG has options with various potential outlets to source the gap from. UDG hopes to work collaboratively with the Town to select the gap financing sources that best align with the conceptual plan and project goals. UDG's development team is comfortable pursuing any local, state or federal funding that assists in delivering the project. UDG's goal in the financial structuring is to curate a group of sources that (1) can meet the desired timeline, (2) don't negatively impact the Town's Project goals, and (3) limit additional investment needed from the Town. G. Any other aspects of the Project Team and development process. UDG notes that we have intentionally submitted this proposal without identifying a GC. In UDG's experience, a successful project largely depends on having a capable GC to manage the Project and every GC has different expertise. Given the site conditions, each conceptual plan proposed herein is a different product type with a different building frame. In addition to the product delivery type ranging from townhome to walk-up, UDG is also weighing options of modular construction and stick -build construction. While modular construction has the capacity to be a very financially efficient build, it depends on having a GC with experience in this field. The Project architect, EVstudio, has designed both types of build and has notated that the conceptual design options offered in this proposal have the capability to be built both ways. As such, UDG sees the choice of conceptual plan and construction build type as an important decision factor in selecting a GC. If selected as the preferred development partner, UDG will work with the Town to weigh all options associated before collaboratively selecting the GC best suited for Slopeside. 1 3. Financing For simplicity UDG has moved this section to the end of the proposal as to better relate back to initial concept plans. 4. Initial Concept Designs 4. Initial Concept Designs A. Site Visit Impressions Slopeside is an excellent opportunity to provide centrally Located, high -quality workforce housing that is efficiently designed and constructed. In evaluating the site and the key principles outlined in Avon's Comprehensive Plan for District 6, the team has focused on several different designs that all ensure a harmonious blend with the surrounding environment, minimal massing, and strong pedestrian connections while allowing for density and a desired unit mix. The overall architecture will embody high -quality, contemporary mountain design, establishing an attractive gateway to Avon and setting a new benchmark of preferred architecture in the area. All concept plans also feature energy -efficient design, ensuring sustainability while providing an attractive and functional living environment. Focused on the community aspect as well, the team wants the project to appeal to those living in Avon who likely seek a neighborhood style architecture with the modern conveniences of apartment living. The team's goal is to optimize the number of units while achieving an efficient, high -quality design that offers a low cost per square foot for construction. While designing the Project, the team noticed that the site presents several challenges that require thoughtful engineering and design. The site is long and narrow, with a steeply sloping topography, making it difficult to optimize parking and emergency access. With access only from the top of the site, significant earthwork will be required, alongside substantial retaining walls to create functional levels for parking and safe ingress/egress for emergency vehicles. The lower side of the property features a regional trail that the community wishes to retain in its current alignment, but slight adjustment may be necessary to accommodate the building footprints and stormwater facilities. Despite these challenges, the site offers several strategic advantages. Its southern exposure is ideal for integrating both passive and active solar design strategies, enhancing energy efficiency and sustainability goals. The existing regional trail, while a challenge to preserve, will offer an opportunity to create pedestrian access from below via thoughtfully placed site stairs. There are several mature trees on the site that could be saved to maintain a natural aesthetic and reduce the environmental impact of construction. Additionally, the site's proximity to businesses, healthcare facilities, and public transportation is a critical benefit for workforce housing. With bus access on the Avon's East -Red Line loop available at the Buffalo Ridge Housing to the east and Northside Kitchen/Urgent Care to the west, transportation options could potentially be enhanced with an additional stop along Swift Gulch Road to further benefit the site. With the CHHD-1 Zoning, the site has a maximum unit count of 85 units, so for a stacked unit building typology, there would be ample site space for landscaping, outdoor amenities, and balancing the massing proportions of building to site area. The site's visibility from 1-70 and the Avon off -ramp also presents a unique opportunity for stunning architectural design that contributes positivelyto the Town's character and identity. B. Site plan layout showing building locations, potential access points, accessibility, amenities, recreation path and irrigation ditch, parking, etc. The following two pages lay out the preliminary civil engineering plan for the site. This details potential building locations, access points, accessibility, irrigation ditch, and parking plans. The site is located adjacent to the Nottingham and Swift Gulch Path, a recreation path joining the site to the rest of the Town and the adjacent communities. UDG plans to design and coordinate direct access to this path to provide residents with alternative transportation options and reduce vehicle trips. Additional amenities that are being considered are grills and outdoor patio spaces to encourage community engagement. The stair corridors in the conceptual designs have been drawn wider than code and so could be amended to allow room for patios off the corridors and clubroom space. Development Goals Highlighted UDG proposes several different product types in the following pages. Each product type has its own benefits to the community and was designed to optimize the number of units on site cost-consciously. While each product type delivers units in the 80%-120% AMI range, the units are on par with the quality of market rate units. UDG is committed with each product type to deliver sustainable buildings that are harmonious with the surrounding landscape and architecture. The team's sustainability consultant, Group14, has included a sustainability initiative that aims to support the Town's Climate Action goals with an all -electric and efficient building design that can incorporate rooftop solar PV for on -site renewable energy production. All the Town's stated goals are considered for each of the following conceptual plans including the financial feasibility of the Project that aims to limit the Town's investment. While cost consciousness is an important factor in the construction and initial design of the project, the team is also focused on long-term maintenance and operations. As a long-term holder of development, UDG is not only committed to the affordability of the Project but also its durability to serve future generations of Avon residents. Group14 has been brought on as an experienced sustainability consultant. The following page lays out the Project's sustainability plan that is the goal across all design options laid out in this proposal. 4—Land Evaluation Cost Considerations In reviewing the site there were several considerations that arose in connection to all conceptual designs proposed. • There is concern with road snow piles melting on site from Swift Gulch Road. The team's solution is to either raise the grades of walls to discharge snowmelt back to Swift Gulch which would require curb and gutter to be installed with inlets and storm drain, or to slope the grade to lower walls which would require an additional storm drainage. • In connecting existing water to the site, the team anticipates looping 8" water lines through the site (1,000 LF) and adding four hydrants. Separate services would be required for each unit of the new 8" main Line. • There is an existing 8" sewer main running along the bike path where the team would need to separate services for each unit. • The estimated irrigation pipe for the ditch is 24" which would need to be piped through the site. This would require approximately 4-5 manholes with minimum 2" diversion. • There will need be smaller detention ponds to accommodate storm drainage. These smaller ponds between buildings would require additional walls. . APk Civil sheet 4—Sustainability Development Goals - Sustainability The Slopeside Project will be pursuing the Zero Energy Ready Homes ("ZERH") and 45L tax credit programs. Included in the proposed design are several core sustainability elements that represent the values of the Project and the Town of Avon. These elements include: • All -Electric Design that features electric space and water heating systems that will greatly reduce the lifetime carbon emissions of the buildings. • An optimal electric heating system featuring High - Efficiency Cold Climate Heat Pumps that can perform at very cold temperatures will be included. Cold climate split system heat pumps will be used in the Project to minimize operational costs and carbon emissions. Envelope components will meet the stringent requirements of the 2021 Commercial IECC for Climate Zone 6. This will include continuous exterior insulation at all exterior walls to help mitigate thermal bridging and a well -sealed envelope to minimize energy waste through air leakage. • Onesite Renewable Energy Systems will include onsite solar PV arrays to reduce operating costs for residents and the owner, as well as further reducing the carbon footprint of the building. • Electric Vehicle Charging Infrastructure will be provided per Avon's code requirements to provide residents with the ability to quickly and easily charge electric vehicles onsite. In addition to the core sustainability elements listed above, the below options take elements of the core designs and incorporate additional strategies to improve sustainability outcomes for the Project. The Project could pursue ENERGY STAR Multifamily New Construction certification that represents an above - code level of performance for mechanical systems, backed by rigorous construction phase testing and site observations. This also makes the project eligible for the 45L tax credit, which can provide a source of capital by bringing in a minimum credit of $500 per unit which can increase to $2,500 if prevailing wage requirements are met. The Project will also pursue Zero Energy Ready Homes ("ZERH") certification. This program drives energy performance significantly above -code for buildings with the intent to become Net Zero with the addition of solar PV. The strict performance requirements in this program would reduce the operational costs and carbon footprint of the building even further from where it would be initially. This certification also gives the Project access to the highest level of 45L incentive at $1,000/unit at a base level which jumps to $5,000/unit if prevailing wage requirements are met. Other features required by ZERH include high -efficiency heat pump water heaters that provide the highest performance water heating option for residents, balanced ventilation with heat recovery that improves indoor air quality significantly with the heat recovery providing a significant boost in efficiency when compared to other ventilation strategies, and EPA Indoor airPLUS certification which ensures the Project meets above -code level for indoor air quality. Rigorous Indoor airPLUS certification standards means that low emitting materials and IAQ management techniques will be implemented in the design and construction of the Project, ensuring that a healthy building environment is provided to staff and residents. W "I ZERO ENERGY READY HOME U.S. DEPARTMENT OF ENERGY 3. Financing 3. Financing A. Higher AMI levels in Eagle County Located in the heart of the Vail Valley, Avon is home to one of the best skiing communities in the West. As many of the homes in Eagle County are luxury single-family homes or condos that double as short-term rentals for visitors, the demand for attainable rental housing in the area has surged. Slopeside will lessen this burden and we applaud the foresight of Town leadership to facilitate its development. UDG aims to create a development with sustainable rental rates restricted from 80-120% AMI. UDG is solely focused on affordable and attainable housing and our development consultants selected for Slopeside all have considerable experience working on deed restricted housing in Colorado's ski country. The Town's vision for housing residents earning 80-120% AMI is right in our wheelhouse and our team will deliver a result that increases the number of income -qualified employees residing in Avon on a more permanent basis. Many of the financial sources identified in this response for the intended middle -income population are newly enacted by our state legislature. Although the details on some of the newer programs are still being developed, UDG has tracked all through the legislative process and have the professional relationships in -place with state housing leaders at DOLA and CHFA to assist in our pursuit of the appropriate mix of capital sources. Bedrooms Mix 80% The higher AMI levels in Eagle County have a direct positive impact to the development's financing plan. These higher AMI's allow for increased debt proceeds to slightly offset an increased cost of construction that we're projecting for Slopeside due to some of the site complexities. In addition, they allow for greater leveraging and investment from conventional lending sources despite the Project being restricted at below market rents. B. Explanation of rental rates & overall carrying cost of the buildings. At the bottom of this page are Eagle County's current 2024 AMI rental rates. While allowed to account for 130% and 140% AMI rents per CHFA's financing guidelines for the MIHTC, UDG is committed to the affordability of this development and will be utilizing rental rates between 80- 120% AMI per the Town's vision and guidance. UDG's financial models will retain an average income restriction of 100% AMI to equitably serve all incomes within the range. Expenses have been underwritten per Corum's property management experience and comparable properties including their adjacent Buffalo Ridge property on Swift Gulch Road. UDG will be pursuing a property tax exemption through a Special Limited Partnership with Avon Housing Authority or Eagle County Housing and Development Authority (aka Housing Eagle County). 90% 100% 110% C. Grants & financing structures that are available in Eagle County. Eagle County has recognized the pressing need for workforce housing and offers various grants and financing options to support the development of attainable units. One of the primary sources of funding is the Eagle County Housing Fund, which allocates resources specifically for the creation and preservation of affordable housing. This fund supports projects that cater to the needs of residents earning between 80-120% AMI. Additionally, the county collaborates with nonprofit organizations and developers to Leverage state and federal funding programs. UDG recently acquired Eagle Villas, a 120-unit property in Eagle, CO. UDG was able to partner with the State of Colorado and Eagle County, as well as bring Housing Eagle County into the project ownership as a Special Limited Partner to provide a property tax exemption for the property. UDG will pursue a similar SLIP structure and property tax exemption for Slopeside that could be provided by the Avon Housing Authority or through Housing Eagle County. Utilizing the relationships built from our previous Eagle County work, UDG is incredibly confident in our ability to pursue local funding opportunities as well as those available at the State level. UDG's goal for the financing process is to limit the amount of Avon's financial contribution. 120% 130% 140% Studio $1,821 2,049 2,277 2,504 2,732 2,960 3,187 1-Bedrooms $1,952 2,196 2,440 2,684 2,928 3,172 3,416 2-Bedrooms $2,341 2,634 2,927 3,219 3,512 3,805 4,097 3-Bedrooms $2,705 3,044 3,382 3,720 4,058 4,396 4,734 3. Financing B. Explanation of rental rates & overall carrying cost of the buildings. — Option C Proposed Financing In order to render this site financially feasible, UDG will be sourcing $13.6MM in soft funding. A combination of the potential soft funding sources highlighted in section 3(c) will be pursued to fund the financial gap. CostAnalysis Per the conceptual drawings, the Cumming Group has estimated construction costs to be $375,000 per unit for Option A. Producing multiple buildings on site increased the proposed site development costs and would require the relocation of the existing ditch. In addition, tap fees were a main driver of a cost also due to the multiple buildings on site. IUnitType AMI% #of Units Unit Mix Rent I (.Sources Construction Permanent OBR 120% 0 0% 2,733 Tax Credit Equity 639,936 3,196,391 1 BR 120% 8 9% 2,928 2BR 120% 5 6% 3,513 Developer Equity 100 100 Senior Debt - Construction First Mortgage 27,827,964 - 0 BR 110% 0 0% 2,505 Gap Financing 13,600,000 13,600,000 1 BR 110% 14 16% 2,684 2BR 110% 4 5% 3,220 Preferred Equity Installment - 12,652,208 Senior Debt - Permanent First Mortgage - 13,387,124 0 BR 100% 6 7% 2,278 1 BR 100% 12 14% 2,440 Total Sources 42,068,000 42,835,822 2 BR 100% 5 6% 2,928 ses Construction Permar 0 BR 90% 10 12% 2,050 1 BR 90% 6 7% 2,196 Construction Hard Costs 34,245,471 34,245,471 2 BR 90% 5 6% 2,635 Architecture & Engineering Fees 1,927,500 1,927,500 Financing Costs 2,731,787 2,731,787 0BR 80% 5 6% 1,822 1 BR 80% 3 4% 1,952 Other Soft Costs 3,163,243 3,931,065 2 BR 80% 2 2% 2,342 Total Uses 42,068,000 42,835,822 Totals/Average 100% 85 100% 2,536 High Level Proforma Revenue 2,586,309 Vacancy (132,063) Utility Allowance (64,535) Misc. Income 119,486 Total Revenue 2,509,196 Expenses 626,250 Net Operating Income 1,882,946 3. Financing B. Explanation of rental rates & overall carrying cost of the buildings. — Option B Proposed Financing In order to render this site financially feasible, UDG will be sourcing $14.6MM in soft funding. A combination of the potential soft funding sources highlighted in section 3(c) will be pursued to fund the financial gap. CostAnalysis Per the conceptual drawings, the Cumming Group has estimated construction costs to be $380,000 per unit for Option B. The upper drive option is a unique driver of cost with regards to risk and the structural building component to support this product. unitr a AMI% #of Units Unit Mix Rent ources Construction Permanent OBR 120% 0 0% 2,733 Tax Credit Equity 639,936 3,197,242 1 BR 120% 8 9% 2,928 2BR 120% 3 4% 3,513 Developer Equity 100 100 Senior Debt - Construction First Mortgage 27,209,522 - 0 BR 110% 0 0% 2,505 Gap Financing 14,590,000 14,590,000 1 BR 110% 20 24% 2,684 21313 110% 2 2% 3,220 Preferred Equity Installment - 12,346,181 Senior Debt - Permanent First Mortgage - 13,063,322 0 BR 100% 2 2% 2,278 Total Sources 42,439,558 43,196,845 1 BR 100% 17 20% 2,440 2 BR 100% 2 2% 2,928 Uses Construction Permanent 0 BR 90% 6 7% 2,050 Construction Hard Costs 34,699,529 34,699,529 1 BR 90% 10 12% 2,196 Architecture & Engineering Fees 1,927,500 1,927,500 2 BR 90% 3 4% 2,196 635 Financing Costs 2,632,404 2,632,404 0 BR 80% 5 6% 1,822 Other Soft Costs 3,180,125 3,937,412 1 BR 80% 5 6% 1,952 Total Uses 42,439,558 43,196,845 2 BR 80% 2 2% 2,342 Totals/Average 100% 85 100% 2,490 High Level Proforma Revenue 2,540,283 -- Vacancy (129,666). r Utility Allowance Misc. Income (64,282) 117,317 �� em u _ T� — - _ Pp Total Revenue 2,463,652 Expenses 626,250 Net Operating Income 1,837,402 3. Financing B. Explanation of rental rates & overall carrying cost of the buildings. — Option C Proposed Financing In order to render this site financially feasible, UDG will be sourcing $24.9MM in soft funding. A combination of the potential soft funding sources highlighted in section 3(c) will be pursued to fund the financial gap. CostAnalysis Per the conceptual drawings, the Cumming Group has estimated construction costs to be $922,000 per unit for Option B. Townhomes generate a larger amount of square footage due to the increased unit size and also incorporates increased exterior square footage and enclosures. As such, the construction hard costs for this product are substantially higher than Option A and Option B. Unit Type AMI % #of Units Unit Mix Rent 2 BR 120% 5 14% 3,513 3 BR 120% 2 6% 4,059 2 BR 110% 5 14% 3,220 3 BR 110% 2 6% 3,721 2 BR 100% 5 14% 2,928 3 BR 100% 3 8% 3,383 2 BR 90% 5 14% 2,635 3 BR 90.0% 3 8% 3,044 2 BR 80% 4 11% 2,342 3 BR 80% 2 6% 2,706 Totals / Average 100% 36 100% 3,086 High Level Proforma Revenue 1,333,167 Vacancy (68,134) Utility Allowance (32,124) Misc. Income 61,645 Total Revenue 1,294,554 Expenses 310,200 ources Construction Permanent Tax Credit Equity 639,936 3,200,329 Developer Equity 100 100 Senior Debt - Construction First Mortgage 15,776,630 - Gap Financing 24,985,000 24,985,000 Preferred Equity Installment - 6,614,240 Senior Debt - Permanent First Mortgage - 6,998,435 Total Sources 41,401,666 41,798,103 Uses Construction Permanent Construction Hard Costs 35,579,016 35,579,016 Architecture & Engineering Fees 1,486,500 1,486,500 Financing Costs 1,251,788 1,251,788 Other Soft Costs 3,084,362 3,480,799 Total Uses 41,401,666 41,798,103 Net Operating Income 984,354 3. Financing C. Financing Structures UDG has explored multiple financial structures for the development of the Slopeside property. Once the product type and density is known, our team will work to select a mix of the capital sources summarized below based on their ability to maximize project feasibility and deliver the intended affordability. UDG is a flexible and nimble developer that has experience with nearly all established affordable housing financial sources and closely tracks newly established resources such as the Colorado MIHTC. PNC Bank Workforce Housing Product PNC Bank offers a specialized workforce housing product designed to generate more proceeds at the time of permanent loan conversion than a traditional first mortgage would provide given the reduced revenue in workforce housing. This product allows UDG to maintain below - market rents by providing lower debt service without relying on LIHTC. At the time of permanent loan conversion, PNC can refinance their construction loan using a combination of PNC-provided preferred equity and permanent debt. This allows the Project to leverage the use of private capital from PNC at the time of refinance to reduce its debt service obligations and maintain financial feasibility. Importantly, PNC's permanent loan is not tied to a forward commitment, meaning UDG retains the flexibility to explore other lenders or financing structures at the time of conversion should market conditions shift.. Middle Income Housing Tax Credit ("MITHC") Colorado's MIHTC, introduced earlier this year, provides another potential equity source for the Project. Unlike LIHTC, which targets lower -income tenants, MIHTC is specifically designed to support middle -income housing and its associated AMIs. UDG's preliminary models incorporate the MIHTC Equity as well as the PNC Bank workforce housing equity as sources for the Project. The construction and permanent loan products are contemplated to be conventional financing products. The following are additional financing sources that UDG has experience with and will consider if there is a fit for them within the capital stack. CHFA Risk -Share Permanent Loan Also known as SMART, this product provides permanent insured financing, featuring up to 40-year amortization with fixed rates. Also known as the HFA/HUD 542(c) Risk Sharing program, this product is an FHA mortgage insurance tool offered by CHFA to provide favorable rates for attainable housing. This is a backup option for permanent debt that UDG is currently utilizing on a separate LIHTC development. CHFA Proposition 123 — Concessionary Equity Colorado recently launched Proposition 123 ("Prop 123"), that includes a concessionary equity investment vehicle designed to support workforce housing development. Under Prop 123, up to $15 million in equity can be deployed into a property that requires lower than market return metrics. This equity source would aid in bridging critical funding gaps during the construction phase thereby reducing reliance on higher -cost financing options. CHFA Middle Income Access Program ("MIAP") In addition, to Prop 123 and MIHTC, CHFA offers another financing tool known as MIAP. MIAP can be structured as construction debt, non -recourse permanent debt, or subordinate mezzanine debt, thereby providing a range of potential financing solutions for middle -income housing developments. DOLA —Affordable Housing Gap Funds The State's Division of Housing has a variety of gap funding tools available for workforce housing development. These include the Housing Development Grant Funds (HDG) and the Colorado Housing Investment Fund ("CHIF"). Sponsor Financial Guarantees UDG's strong financial position and access to diverse funding sources ensure a high degree of confidence in the Project's success. The combination of PNC's workforce housing product as well as CHFA's equity and debt offerings presents the ability to create a well-rounded capital stack that can be adapted based on changing market conditions. Additionally, UDG's balance sheet strength enables any remaining gaps to be filled through either private capital markets or internal equity investment. Given the importance placed on workforce housing by the State of Colorado, UDG is confident in its ability to secure both equity and debt from these sources. The development of affordable housing for the workforce in rural mountain communities has become a top priority for the state and the Slopeside project aligns well with these goals, ensuring ample support from both public and private sectors. Summary The financing options listed here are in no way exhaustive. What UDG can confidently state is that our development team will leave no stone unturned in working to fill the financing gap. As showcased in the Eagle Villas acquisition, UDG was able to creatively and urgently work with our State and local partners for funding support. We will bring this same determination to Slopeside and will work in partnership with the Town to assemble the most beneficial capital stack. Thank You Thank you for the opportunity. UDG would enthusiastically welcome the opportunity to partner with Avon and to deliver an impactful project to serve the Avon community. AVON PLANNING & ZONING COMMISSION A MEETING MINUTES ,ovo n MONDAY APRIL 21, 2025 PUBLIC MEETING BEGINS AT 5:30 PM C O L O R A D O PUBLIC MEETING: 5:30 PM 1. CALL TO ORDER AND ROLL CALL (CHAIRPERSON) MEETING COMMENCED AT 5:30PM. A ROLLCALL WAS TAKEN, AND PLANNING COMMISSIONERS CARLY HANSEN, BRAD CHRISTIANSON, OLIVIA COOK, NANCY TASHMAN AND BRIAN SIPES WERE PRESENT. COMMISSIONER NICOLE MURAD AND TOWN ATTORNEY NINA WILLIAMS ATTENDED VIA ZOOM. COMMISSIONER ANTHONY SEKINGER WAS ABSENT. ALSO PRESENT WERE PLANNING MANAGER JENA SKINNER, AICP, PLANNER II MAX MORGAN, AICP, AND DEVELOPMENT COORDINATOR, EMILY BLOCK. 2. APPROVAL OF AGENDA ACTION: COMMISSIONER CHRISTIANSON MADE A MOTION TO APPROVE THE AGENDA. COMMISSIONER TASHMAN SECONDED THE MOTION, AND THE MOTION PASSED UNANIMOUSLY, 6-0. 3. DISCLOSURE OF ANY CONFLICTS OF INTEREST OR EX PARTE COMMUNICATION RELATED TO AGENDA ITEMS THERE WERE NO CONFLICTS OF INTEREST OR EX PARTE COMMUNICATION. 4. PUBLIC COMMENT -COMMENTS ARE WELCOME ON ITEMS NOT LISTED ON THE FOLLOWING AGENDA PUBLIC COMMENTS ARE LIMITED TO THREE (3) MINUTES. THE SPEAKER MAY BE GIVEN ONE (1) ADDITIONAL MINUTE SUBJECT TO PLANNING AND ZONING COMMISSION APPROVAL. THERE WERE NO PUBLIC COMMENTS. 5. PUBLIC BEARING 5.1. MJR25002 EXTERIOR REMODEL AT 5743 WILDRIDGE RD - PLANNER II, MAX MORGAN COMMISSIONER CHRISTIANSON MADE A MOTION TO APPROVE THE APPLICATION MJR25002 WITH THE PROPOSED CONDITIONS AS PRESENTED BY STAFF. COMMISSIONER TASHMAN SECONDED THE MOTION, AND THE MOTION PASSED UNANIMOUSLY, 6-0 5.2. REZ24002 KESTREL DEVELOPMENT SHORT TERM RENTAL OVERLAY- PLANNING MANAGER, JENA SKINNER COMMISSIONER CHRISTIANSON MADE A MOTION TO RECOMMEND APPROVAL OF THE APPLICATION REZ24002 AS PRESENTED BY STAFF. COMMISSIONER HANSEN SECONDED THE MOTION, AND THE MOTION PASSED UNANIMOUSLY, 6-0 5.3. CTA24002 AVON MUNICIPAL CODE UPDATES - PLANNING MANAGER, JENA SKINNER COMMISSIONER SIPES MADE A MOTION TO CONTINUE THE HEARING FOR CTA24002 TO THE JUNE 9TH PLANNING AND ZONING COMMISSION MEETING. COMMISSIONER MURAD SECONDED THE MOTION, AND THE MOTION PASSED UNANIMOUSLY, 6-0 6. CONSENT AGENDA 6.1. MARCH 24, 2025 PLANNING AND ZONING COMMISSION MEETING MINUTES MEETING AGENDAS AND PACKETS ARE FOUND AT: WWW.AVON.ORG AGENDAS ARE POSTED AT AVON TOWN HALL, AVON RECREATION CENTER, ONLINE AND AVON PUBLIC LIBRARY IF YOU HAVE ANY SPECIAL ACCOMMODATION NEEDS, PLEASE, IN ADVANCE OF THE MEETING, CALL MATT PIELSTICKER AT 970-748-4413 OR EMAIL MATT@AVON.ORG WITH ANY SPECIAL REQUESTS. 6.2. RECORD OF DECISION - MJR24004 NEW RESIDENCE AT 2967 DUNE CREEK TRAIL ACTION: COMMISSIONER CHRISTIANSON MADE A MOTION TO APPROVE THE CONSENT AGENDA. COMMISSIONER TASHMAN SECONDED THE MOTION, AND THE MOTION PASSED UNANIMOUSLY, 6-0. 7. FUTURE MEETINGS 7.1. MAY 1 2, 2025 - NO BRAD CHRISTIANSON 7.2. JUNE 9, 2025 8. STAFF UPDATES 9. ADJOURN THE MEETING WAS ADJOURNED AT 7:34 PM APPROVED: x CHAIRPERSON MEETING AGENDAS AND PACKETS ARE FOUND AT: WWW.AVON.ORG AGENDAS ARE POSTED AT AVON TOWN HALL, AVON RECREATION CENTER, ONLINE AND AVON PUBLIC LIBRARY IF YOU HAVE ANY SPECIAL ACCOMMODATION NEEDS, PLEASE, IN ADVANCE OF THE MEETING, CALL MATT PIELSTICKER AT 970-748-4413 OR EMAIL MATT@AVON.ORG WITH ANY SPECIAL REQUESTS. PLANNING AND ZONING COMMISSION FINDINGS OF FACT Avon AND RECORD OF DECISION C O L O fl A 0 0 DATE OF PUBLIC HEARING: April 21, 2025 TYPE OF APPLICATIONS: Major Development Plan Review (MJR) PROPERTY LOCATION: Block 4 — Lot 85 — Wildridge (Parcel # 194335102012) FILE NUMBER: MJR25002 APPLICANT: Richard Wheelock This Record of Decision is made in accordance with the Avon Development Code §7.16.010(F)(1) PZC DECISION ON #MJR25002: FINDINGS: Approve with Conditions RECOMMENDED FINDINGS: 1. The proposed application was reviewed pursuant to §7.16.080(f), Development Plan, §7.16.090(f), Design Review. The design meets the development and design standards established in the Avon Development Code with the exception of the driveway slope and the two trees proposed in close proximity to the planned addition. 2. The application is complete; 3. The application provides sufficient information to allow the PZC to determine that the application complies with the relevant review criteria, with the exception of a snow storage plan; 4. The application complies with the goals and policies of the Avon Comprehensive Plan; 5. The demand for public services or infrastructure exceeding current capacity is mitigated by the application; and 6. The design relates the development to the character of the surrounding community. CONDITIONS: Except as otherwise modified by this approval, all material representations made by the applicant or applicant representative(s) in this application and in public hearing(s) shall be adhered to and considered binding conditions of approval Snow storage plan to be provided to Planning Staff as part of building permit application (Staff Note- THIS CONDITION WAS SATSIFIED PRIOR TO HEARING) First twenty (20) feet of driveway from Wildridge Road East meets slope standards (4% or less in steepness) Landscaping is revised to remove proposed trees from within five feet of the proposed structure. Building permit required ILC to confirm building height and driveway slope required upon project completion THESE FINDINGS OF FACT AND RECORD OF DECISION ARE HEREBY APPROVED: BY: DATE: PZC Chairperson PZC Record of Decision: MJR25002 PLANNING AND ZONING COMMISSION FINDINGS OF FACT AND Av O n RECORD OF DECISION C O L O fl A 0 0 DATE OF PUBLIC HEARING: April 21, 2025 TYPE OF APPLICATIONS: Rezoning PROPERTY LOCATION: Kestrel Subdivision NUMBER: REZ24002 APPLICANT: Town of Avon This Record of Decision is made in accordance with the Avon Development Code §7.16.010(F)(1) PZC DECISION ON #REZ24002: Recommendation for Town Council to Approve FINDINGS- REZ24002: (1) Evidence of substantial compliance with the purpose of the Development Code has been established within the application as the Kestrel meets the requirements for a development permitting STRs as an allowable use; (2) This application is consistent with the Avon Comprehensive Plan as this parcel is not reflective of a workforce -targeted development making it suitable for STIR use; (3) The physical suitability of the land for the proposed development or subdivision is sufficient for the purposes of this rezoning; (4) Compatibility with surrounding land uses is reasonable, as the application of STIR uses will not modify the residential nature of this development; (5) The proposed rezoning is justified by changed or changing conditions in the character of the area proposed to be rezoned, especially as the STRO does not effect the underlying Neighborhood Commercial zone district that was applied with Annexation; (6) There are adequate facilities available to serve development for the type and scope suggested by the existing zoning and the inclusion of STRs will not affect the existing level of service; (7) The rezoning action in expanding the STRO is consistent with the stated purpose of the underlying zoning district and will not effect this zoning in expanding the STRO to this area of Avon; (8) The rezoning action in expanding the STRO will not result in adverse impacts upon the natural environment, including air, water, noise, stormwater management, wildlife and vegetation; (9) The rezoning action in expanding the STRO will not result in significant adverse impacts upon other property in the vicinity of the subject tract; (10) As this property is not within an existing PUD, consistency with a relevant PUD Master Plan is not applicable; and (11) Mitigation will not be required as the rezoning action in expanding the STRO will not result in greater intensity of land use or increased demands on public facilities and infrastructure. GENERAL CRITERIA FINDINGS: (1) The development application is deemed complete; (2) The development application provides sufficient information to allow the reviewing PZC Record of Decision: REZ24002 authority to determine that the development application complies with the relevant review criteria including a complete narrative with additional application materials; (3) The development application complies with the goals and policies of the Avon Comprehensive Plan, as been established through the annexation of the underlying development, as well as through the more recent (2022) subdivision creating the underlying Kestrel development; and (4) The demand for public services or infrastructure has been mitigated through the ongoing development permits. THESE FINDINGS OF FACT AND RECORD OF DECISION ARE HEREBY APPROVED: BY: PZC Chairperson PZC Record of Decision: REZ24002 DATE: