City of Alexandria, Virginia
________________
MEMORANDUM
DATE: NOVEMBER 10, 2025
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
THROUGH: JAMES F. PARAJON, CITY MANAGER
FROM: HELEN MCILVAINE, OFFICE OF HOUSING
DOCKET TITLE:
TITLE
Consideration of a Resolution for the City to Provide a Secondary Guaranty to Facilitate Virginia Housing (VH) Construction Financing for Housing Alexandria's (HALX's) Sanse Project.
(This is not a public hearing item)
BODY
_________________________________________________________________
ISSUE: Provision of a City secondary guaranty to facilitate HALX's use of VH tax exempt bond funding to finance the final phase of construction of the Sanse Apartment building in Arlandria.
RECOMMENDATION: That City Council approve the attached Resolution (Attachment 1) indicating its support for a secondary guaranty of $9.54 million to secure a Letter of Credit for HALX to facilitate VH bond funding for construction of Sanse Phase II ("GMV4b"), as described below, and authorize the City Manager to sign documents memorializing the guaranty which substantially conforms to the Term Sheet provided by Truist Bank (Attachment 2).
BACKGROUND: Housing Alexandria (HALX) is in the process of developing the Sanse and Naja projects located at the intersection of Mount Vernon Avenue and Glebe Road in Arlandria and is closing on the funding to complete the last phase of the Sanse building (Attachment 2). When completed, the development will provide at least 474 affordable housing units (including 25% deeply affordable to households with incomes at 40% AMI). The project has been designated Alexandria's highest housing priority and City financial commitments spanning multiple fiscal years through FY 2028 have been provided by Council, with City support leveraged 5x by other sources including, but not limited to, 9% and 4% Low Income Housing Tax Credits, Virginia Housing grants, loans and bonds, VA Department of Housing and Community Development gr...
Click here for full text