The Rockport City Council, after meeting in executive session at its regular meeting Tuesday, Aug. 23, unanimously approved an Amendment, Assignment and Assumption Agreement to the Chapter 380 Economic Development Agreement between Rockport Harvey Housing, LLC, and Pearl Point Rockport I, LLC, and authorized City Manager Vanessa Shrauner to negotiate and execute all necessary documents.
This amendment is to allow vouchers for funding. The original agreement prohibited this, however the lender for the project believes that refusing them will violate federal law.
The new owner of Phase 1 of the development, RREAF Holdings out of Dallas, requested this change. They are in the process of purchasing Phase 2, as well, according to the company’s Tony Perez.
(Note: The apartments at Pearl Point will continue to be rented at market rate. This amendment allows a renter to use HUD vouchers to pay for a portion of the rent. The previous agreement did not allow this.)
“Nothing will change in the way it is operated,” said Perez.
RREAF Holdings Asset Manager John Davis said, “We love Rockport. I will be the asset manager for Phase 1 and Phase 2.”
Councilwoman Danielle Hale noted the amendment does not affect the City, and acknowledged the development was never meant to be low/mod, but the amendment provides options for the new owners.
