|VA Homes. FTM file.|
The developer can, at any point, walk away from the project.
On June 1, 2016 the developer must provide: a comprehensive project narrative; a proposed budget including debt financing, equity investments by the developer, public funds (city/federal) and the amount to make the project economically viable; a proposed project schedule; and a plat of subdivided land.
Every two months, the developer must check in with the city for routine progress reports. The first one, of which, occurred on August 1.
The main takeaway from the first two months into the agreement is that the developer is trying to get information from the VA.
"We are working with the VA in Washington trying to get some abatement questions answered," said City Administrator, Don Martin. "Bloomfield is working to determine the financial viability of the project and where any gaps in financing might be."
Martin said the biggest issue is the abatement of lead paint and asbestos, and the timing of acquisition due to the abatement.
"Once we get the answers back from the VA we should be in a position to move more quickly to find a solution to the financing gap. We believe there may be a little movement from the VA on the abatement timeline which could provide some flexibility," said Martin.