Affordable housing project chosen for Record Street property to enter into exclusive negotiating agreement

by Mike Van Houten / Sep 20, 2024

Ulyssess was chosen by a narrow margin and split vote at the August 14 Reno City Council Meeting for a new affordable housing project on Record Street, going against staff recomendations to instead choose Baxter's proposal. 

The next step at the upcoming September 25 Reno City Council meeting will be for the City to enter into an exclusive negotiating agreement with Ulyssess. Here are the terms. 

The purchase price of the properties is $3,375,000, which will be financed by a seller note with 2% interest annually for a term of 15-years.

The City of Reno Law Department has drafted an Exclusive Negotiating Agreement (ENA). The duration of the ENA shall be ninety (90) days from the effective date and may be extended for an additional thirty (30) days to negotiate and prepare a Disposition and Development Agreement (DDA). The duration of the DDA shall be one hundred twenty (120) days. Any extension of time may be granted by the Reno City Manager or representative.
Terms of the proposal:
• Fee simple acquisition. Offer price: 15 yr. seller note for $3.375M at 2% interest with annual payments. Interest will begin accruing 30 days after completion of construction with payment commencing the first day of the calendar year after completion of construction.
• $25,000 earnest money, 75,000 in escrow at Close of Escrow, $600,000 at Closing.
• Close of Escrow December 31, 2025.
• Demolition of the existing Community Assistance Center within 6 months of Close of Escrow.
• Closing December 31, 2026.
Construction completed within five (5) years of the Close of Escrow evidenced by a Certificate(s) of Occupancy for the Project. 

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