title
To approve the issuance by the Richmond Redevelopment and Housing Authority of its multifamily housing revenue bonds in an amount up to $8,000,000 for the acquisition, construction, and equipping of the approximately 48-unit multifamily residential rental housing project at 115 North Jefferson Street in the City of Richmond. (2nd District)
body
WHEREAS, the Richmond Redevelopment and Housing Authority (the “Authority”) is authorized to advertise and hold public hearings relative to the issuance of private activity bonds; and
WHEREAS, the Authority has considered the application of Jemal’s Sevilla, LLC (the "Borrower") requesting that the Authority issue its revenue bonds (the "Bonds") in a maximum stated principal amount of $8,000,000 to finance or refinance a portion of (a) the costs of acquiring, constructing, renovating and equipping a multifamily residential rental housing project consisting of approximately 48 affordable units in aggregate located at 115 North Jefferson Street in the city of Richmond (the “Project”), (b) the funding of reserve funds as permitted by applicable law and (c) the costs incurred in connection with the issuance of the Bonds (collectively, the "Plan of Finance") and has held a public hearing in connection therewith (the “Public Hearing”); and
WHEREAS, the Project shall be established and maintained as a “qualified residential rental project” within the meaning of Section 142(d) of the Internal Revenue Code of 1986, as amended (the “Code”); and
WHEREAS, Section 147(f) of the Code provides that the applicable elected representatives of the governmental unit having jurisdiction over the issuer of private activity bonds and over the area in which any facility financed with the proceeds of private activity bonds is located must approve the issuance of such bonds; and
WHEREAS, the Authority issues its bonds on behalf of the City of Richmond, Virginia (the “City”) and the Project is located in the city; and
WHEREAS, the Authority, as the issuing governmental unit with respect to the Bonds, has no applicable elected representative, the City constitutes the next highest governmental unit with such a representative, and the members of the City Council of the City (the “Council”) constitute the applicable elected representatives of the City; and
WHEREAS, the Authority has recommended that the Council approve the issuance of the Bonds; and
WHEREAS, a copy of the Authority’s resolution approving the issuance of the Bonds, a certificate of the Public Hearing, and a summary of the statements expressed at the Public Hearing have been filed with the Council;
NOW, THEREFORE,
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF RICHMOND:
1. That the Council approves the issuances of the Bonds by the Authority, in one or more series at one time or from time to time, in an aggregate maximum stated principal amount of $8,000,000 for the benefit of the Borrower or a party related to the Borrower, as required by Section 147(f) of the Code, Section 15.2-4906, as applicable to housing authorities, of the Code of Virginia of 1950, as amended (the “Virginia Code”), and Section 36-19(9) of the Virginia Code to permit the Authority to assist in the financing of the Plan of Finance.
2. The approval of the issuance of the Bonds does not constitute an endorsement to a prospective purchaser of the Bonds of the creditworthiness of the Plan of Finance or the Borrower.
3. The Bonds shall provide that neither the City nor the Authority shall be legally, morally, or in any other way obligated to pay the Bonds or the interest thereon or other costs incident thereto except from the revenues and monies pledged thereto and that neither the faith and credit nor the taxing power of the City or the Authority is pledged to the payment of the principal of the Bonds or the interest thereon or other costs incident thereto. The Bonds shall not constitute an indebtedness within the meaning of any debt limitation or restriction.
4. In adopting this resolution, the City, including its elected representatives, officers, employees, and agents, shall not be liable for, and hereby disclaim all liability for, any damages to any person, direct or consequential, resulting from the Authority’s failure to issue the Bonds for any reason.
5. This resolution shall take effect immediately upon its adoption.
DATE: March 25, 2026 EDITION: 1
TO: The Honorable Members of City Council
THROUGH: The Honorable Dr. Danny Avula, Mayor
THROUGH: Odie Donald, Chief Administrative Officer
THROUGH: Sharon Ebert, Deputy Chief Administrative Officer, Planning & Economic Development Portfolio
FROM: Merrick Malone, Director, Housing and Community Development
RE: Approval of RRHA Revenue Bonds for Sevilla Residences, located at 115 North Jefferson Street
ORD. OR RES. No.
PURPOSE: To express the Mayor and City Council’s approval of the issuance of $8,000,000 in bonds to finance the acquisition of property, construction, and equipping of the mixed-use facility with approximately 48 new units of affordable residential rental units known as Sevilla Residences and located at 115 North Jefferson Street, Richmond, Virginia, 23220.
Such approval of the issuance of the bond(s) does not obligate the City or RRHA.
BACKGROUND: On January 13, 2026, RRHA Commissioners approved a resolution endorsing the issuance of bonds to finance the acquisition, construction, and equipping of 115 North Jefferson Street. The maximum financing amount is $8 million. The project is a qualified residential rental project within the meaning of § 142(d) of the Internal Revenue Code. Richmond Redevelopment and Housing Authority (RRHA) recommends Council approval of the project, according to RRHA.
RRHA reports that the “proposed project involves the repositioning of a historic hotel building into 48 new affordable residential rental units and 2,808 square feet of commercial/retail space,” and that “the estimated total project cost is $19,797,293.” According to RRHA, the development will include approximately 36 0-BR units and 12 1-BR units, all of which will serve residents with incomes up to 60% of the area median income.
The City has awarded the project a $1,200,000 loan/grant through the Equitable Affordable Housing Program.
Expedited consideration of this resolution is requested by RRHA.
COMMUNITY ENGAGEMENT: RRHA held a public hearing on the bond issuance on January 13, 2026.
STRATEGIC INITATIVES ALIGNMENT: This will help meet the housing needs of a growing city, so that Richmonders across different income levels can access affordable housing in safe neighborhoods with strong public amenities (Mayoral Action Plan: Thriving Neighborhoods, Goal A). It will also help to build a vibrant downtown where people love to live, work, and play (Mayoral Action Plan: Thriving Economy, Goal E).
FISCAL IMPACT: N/A
DESIRED EFFECTIVE DATE: Upon adoption
REQUESTED INTRODUCTION DATE: April 6, 2026
CITY COUNCIL PUBLIC HEARING DATE: April 13, 2026
REQUESTED AGENDA: Consent
RECOMMENDED COUNCIL COMMITTEE: Waiver requested
AFFECTED AGENCIES: Richmond Redevelopment and Housing Authority; Department of Housing and Community Development
RELATIONSHIP TO EXISTING ORD. OR RES.: This resolution supports the creation of new affordable housing units, a key strategy to address the City’s housing crisis. Res. 2023-R019
ATTACHMENTS: “Bond Request Materials” provided by RRHA
STAFF: Merrick Malone, Director, HCD
Michelle B. Peters, Deputy Director, HCD