Rockville Approves Loan
The City of Rockville will make $2 million in loans and grants to Rockville Housing Enterprises (RHE) so the City housing authority can purchase the Fireside Park Apartments with the goal of maintaining the complex as mixed-income housing, affordable to a range of household income levels.
The Mayor and Council decided the issue at their meeting last night. Councilmembers Tom Moore, Mark Pierzchala and John F. Hall, Jr. voted for the proposal. Montgomery County tentatively offered a loan of $2.85 million to help RHE purchase Fireside, which was contingent on a combined City of Rockville/RHE commitment of $2.5 million.
Rockville Housing Enterprises manages low- and moderate-income housing programs and properties in Rockville. With the $36 million purchase of Fireside, RHE plans to preserve the complex as rental homes that are affordable to households with a mix of incomes and plans to retain existing tenants. The loans from the City will be repaid over seven years.
RHE also asked the City to waive a portion of payments in lieu of property taxes (PILOTs) for the complex to help it preserve affordable rents. The Mayor and Council approved a PILOT waiver that must be renewed annually.
The Mayor and Council considered these requests in September and October. The body held a public hearing on Oct. 8 and heard from more than 30 members of the public.
Visit www.rockvillemd.gov/government/mc/rhe_fireside_apts for more background.
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