Hope for Seniors Foundation

“Some trustees of hope are related to ownership of dalk, inc. Dalk inc is an investor and co-sponsor of the associated low income housing project (chp xiv lp) also in part co-sponsored by hope for seniors (which is also an investor). Dalk inc owns approximately .00245% of chp xiv owning the low income housing project darul amaan senior housing. Dalk, inc. Co-originated the project and is an s corporation. Dalk is expected to be paid fees related to development and operation of the $14,000,000 plus low income senior housing project. Overall fee amounts approved by government authorities.”

“Directors and attorneys asked to review.”

“HARD COPY OR EMAIL”

“HARD COPY OR EMAIL”

“Client Note 1 - NOTE TO FORM 990 CHANGES IN NET ASSETS OR FUND BALANCESLAND VALUED AT $1,125,000 AND CASH VALUED AT $484,500 WAS CONTRIBUTED TO THE CAPITAL OF COMMUNITY HOUSING PARTNERS XIV LIMITED PARTNERSHIP, A LOW INCOME SENIOR HOUSING PROJECT IN CHICAGO, ILLINOIS DURING 2013. THE LAND AND CASH WAS CONTRIBUTED TO THE LIMITED PARTNERSHIP TO ASSIST IN THE CONSTRUCTION OF A 56 UNIT, 100% LOW INCOME SENIOR HOUSING PROJECT VALUED AT OVER $14,000,000 IN CHICAGO. THE USE OF THE LAND AND CASH CONTRIBUTED TO CHP XIV LP IS SUBSTANTIALLY RESTRICTED TO LONG TERM CONTINUED USE IN PROVIDING LOW INCOME SENIOR HOUSING IN CHICAGO FOR THE FORSEEABLE FUTURE. HOPE FOR SENIORS FOUNDATION HAS CERTAIN OPTIONS AND CONTROL REGARDING THE OPERATION OF THE PROJECT AND PARTNERSHIP. PROJECT IS OPERATING SUCCESSFULLY AS A LOW INCOME HOUSING PROJECT AT 05/31/21.”

“Client Note 2 - PROGRAM INVESTMENTS CONSIST OF A .00245% GENERAL PARTNERSHIP INTEREST IN COMMUNITY HOUSING PARTNERS XIV LIMITED PARTNERSHIP (CHP XIV LP), A LOW INCOME, TAX CREDIT, SENIOR HOUSING REAL ESTATE PARTNERSHIP. THE INTEREST WAS ACQUIRED BY HOPE FOR SENIORS FOUNDATION'S. CONTRIBUTION OF VACANT LAND WITH AN APPRAISED UNRESTRICED VALUE OF $1,125,000 AND $484,500 OF CASH TO THE CAPITAL OF CHP XIV LP AND SAID ASSETS WERE USED IN CONSTRUCTING CHP XIV'S LOW INCOME SENIOR HOUSING PROJECT. THE REAL PROPERTY CONTRIBUTED TO THE CAPITAL OF CHP XIV LP IS RESTRICTED AS TO ITS PERMISSIBLE USE IN PERPETUITY (TO PROVIDE LOW INCOME SENIOR HOUSING) AND THE CASH CONTRIBUTED HAS BEEN SPENT ON CONSTRUCTING THE BUILDING. THE VACANT LAND WAS ACQUIRED BY HOPE FOR SENIORS FOUNDATION BY A RESTRICTED GRANT OF REAL ESTATE OWNED BY THE CITY OF CHICAGO AND THE CHICAGO TRANSIT AUTHORITY AND THE CASH CONTRIBUTED BY HOPE FOR SENIORS FOUNDATION WAS ACQUIRED BY IT FROM THE STATE OF ILLINOIS TAX CREDIT SALE PROGRAM. THE INVESTMENT ALLOWED HOPE FOR SENIORS FOUNDATION TO ACQUIRE AN INTEREST IN CHP XIV LP THAT PROVIDED IT WITH A .00245% CURRENT PROFIT OR LOSS GENERAL PARTNERIP INTEREST IN THE LP. SAID INTEREST ALSO PROVIDES OTHER INCREASED ALLOCATIONS OF PROFITS (AND OTHER RIGHTS) TO HOPE FOR SENIORS FOUNDATION IN CERTAIN CIRCUMSTANCES. PROJECT IS OPERATING SUCCESSFULLY AS A LOW INCOME HOUSING PROJECT AT 05/31/18.”

“Client Note 3 - ATTACHMENT TO SCHEDULE L BUSINESS TRANSACIONSDARUL AMAAN LAWRENCE KEDZIE INC. (DALK INC.) 46-4182198 IS A CORPORATION IN PART OWNED BY PERSONS RELATED TO SOME OF HOPE FOR SENIORS FOUNDATION'S DIRECTORS. DALK INC. HAS EARNED AND WILL BE PAID DEVELOPMENT AND MANAGEMENT FEES RELATED TO THE DEVELOPMENT AND OPERATION OF THE LOW INCOME PROJECT, DARUL AMAAN SENIOR HOUSING, OWNED BY COMMUNITY HOUSING PARTNERS XIV LP EIN 26-295836. FEES IN EXCESS OF $150,000 AT A MINIMUM WILL BE PAID OR BECOME PAYABLE OVER A PERIOD OF SEVERAL YEARS TO DALK INC. HOPE FOR SENIORS FOUNDATION HAS MADE A CAPITAL CONTRIBUTION VALUED AT $1,609,500 TO SAID LOW INCOME HOUSING PARTNERSHIP PAYING THE FEES TO DALK INC. ADDITIONAL SUBSTANTIAL INVESTED FUNDS HAVE BEEN OBTAINED FROM OTHER SOURCES TO PAY FOR THE ALMOST $15,000,000 PROJECT. HOPE'S CASH CONTRIBUTION TO CHP XIV LP'S CAPITAL WAS MADE FROM ILLINOIS AND CHICAGO GOVERNMENT GRANTS PROVIDED TO HOPE SPECIFICALY FOR THE PURPOSE OF DEVELOPING THIS LOW INCOME SENIOR HOUSING PROJECT. HOPE ALSO ANTICIPATES RECEIVING MANAGEMENT AND OTHER FEES RELATED TO THE OPERATION OF CHP XIV LP. SUCH FEES WOULD BE HELD SUBJECT TO HOPE'S CHARITABLE PURPOSE. THE PROJECT IS OPERATING SUCCESSFULLY AS A LOW INCOME HOUSING PROJECT AT 05/31/18.”