title
Presentation, discussion, and possible action regarding a Material Amendment to the Housing Tax Credit Application for Pebble Hills Place (HTC #25016)
end
RECOMMENDED ACTION
recommendation
WHEREAS, Pebble Hills Place (the Development) received an award of 9% Housing Tax Credits (HTCs) in 2025 to construct 70 units of low-income housing for the elderly in El Paso, El Paso County;
WHEREAS, to maintain feasibility of the Development, GM Pebble Hills Place, Ltd. (the Applicant) requests approval for significant changes to the architectural design by modifying the number of bathrooms in the 28 two-bedroom units from two bathrooms to one bathroom and also include a reduction in the Common Area from 13,958 square feet to 12,198 square feet, representing a reduction of 1,760 square feet or 12.61% from the Common Area proposed at Application;
WHEREAS, Board approval is required for a reduction of 3% or more in the square footage of the Common Area and for a significant modification of the architectural design of the Development as directed in Tex. Gov’t Code §2306.6712(d)(4) and (5) and 10 TAC §10.405(a)(4)(D) and (E), and the Applicant has complied with the amendment requirements therein;
WHEREAS, Board approval of this amendment does not constitute a waiver of any of the rules or statutes applicable to the 2025 HTC Application, including but not limited to the accessibility requirements stated in Chapter 1, Subchapter B; and
WHEREAS, the requested changes do not negatively affect the Development, impact the viability of the transaction, impact the scoring of the Application, or affect the HTC amount awarded;
NOW, therefore, it is hereby
RESOLVED, that the requested amendment for Pebble Hills Place is approved as presented at this meeting, and the Executive Director and his designees are each hereby authorized, directed, and empowered to take all necessary action to effectuate the foregoing.
end
BACKGROUND
Pebble Hills Place received an award of 9% Housing Tax Credits in 2025 to construct 70 units of multifamily housing for the elderly in El Paso, El Paso County. In a letter dated January 26, 2026 and revised March 12, 2026, Sallie Burchett, the Applicant’s representative, requested approval for a modification of the architectural design to alter the number of bathrooms provided in the two-bedroom units, and for a reduction in the Common Area, together with notification of a 742 square feet (1.47%) decrease in Net Rentable Area (NRA), going from 50,526 square feet to 49,784 square feet.
The Application originally identified 42 one-bedroom/one-bathroom units of 623 square feet each and 28 two-bedroom/two-bathroom units of 870 square feet each, and 13,958 square feet of Common Area. The request states that, following Application, the Development altered the architectural designs to meet project feasibility metrics. In doing so, the original units featuring two bedrooms and two bathrooms are proposed to be two bedrooms with one bathroom, and the unit square footages decreased to 618 square feet for the one-bedroom units and 851 square feet for the two-bedroom units. The request further states that the reduction in Common Area was necessary to maintain the original unit count. This redesign results in a final Common Area of 12,198 square feet, a reduction of 12.61% or 1,760 square feet.
The proposed changes to the architectural design and to the Common Area square footage do not materially alter the Development in a negative manner and were not reasonably foreseeable or preventable by the Applicant at the time of Application. The Applicant has indicated that there was no net financial impact on the Development as a result of the proposed changes. Staff has determined that these changes do not affect the scoring of the Application or the funding award. The final recommended HTC amount will be determined upon finalization of the cost certification process.
Staff recommends approval of the amendment request as presented herein.