Title
Conduct a public hearing in accordance with Section 394.9025 of the Texas Local Government Code on possible issuance of bonds by The Mesquite Housing Finance Corporation (MHFC) (“Corporation”) to finance the construction of an approximately 291-unit multifamily residential rental development for persons of low and moderate income to be located at or about 900 and 1000 Windbell Circle, to be owned and operated by Torrington Creekside, LP, with MHFC Torrington Creekside GP, LLC, a wholly-owned affiliate of the Corporation, to be admitted as the sole general partner, and MHFC Torrington Creekside Landowner, LLC, a wholly-owned affiliate of the Corporation, as ground lessor.
Body
House Bill 21, enacted by the 89th Legislature to address “Travelling HFCs,” became effective on May 28, 2025, and restricts housing finance corporations to issuing bonds only for financing developments within the jurisdiction of their sponsor(s). The Mesquite Housing Finance Corporation’s sponsor is the City of Mesquite and therefore may only issue bonds to finance developments within Mesquite.
In addition to the geographic limitation, HB 21 requires the applicable governing body to conduct a public hearing before an HFC may issue bonds to finance a multifamily residential development to be owned by the HFC. On September 2, 2025, the Mesquite HFC passed an inducement resolution approving an application to the Texas Bond Review Board for a reservation of $50 million for the Mesquite HFC to issue in financing a proposed 291-unit affordable housing development, known as Torrington Creekside. The development will have a partnership structure whereby a wholly-owned affiliate of the Mesquite HFC will own the land for tax-exempt purposes.
Before the Mesquite HFC can issue bonds for the Torrington Creekside development, the City Council must conduct a public hearing to give interested persons an opportunity to comment on the proposed development.
Recommended/Desired Action
No action is required upon conclusion of the public hearing.
Drafter
Ted Chinn
Head of Department
Ted Chinn