11. SUSTAINABLE CITIES AND COMMUNITIES

Cambridge Affordable Housing Modernization Plan Lands $45M Loan

Cambridge Affordable Housing Modernization Plan Lands $45M Loan  Banker & Tradesman

A 198-unit Cambridge Housing Authority property will be modernized after securing financing.

MassHousing is providing a total of $45 million in affordable housing financing to an affiliate of the Cambridge Housing Authority (CHA), for the modernization and preservation of the 198-unit Daniel F. Burns Apartments. The MassHousing financing will allow the CHA to make extensive renovations to the Burns Apartments, including the installation of sustainable building systems, and will extend affordability for low-income senior citizens and residents with disabilities for at least 20 years.

“With this transaction, the CHA is making a substantial investment in efficient and environmentally sustainable building systems, which will improve building operations and benefit residents’ quality of life,” MassHousing Executive Director Chrystal Kornegay said in a statement.

MassHousing is providing the CHA with a $43.7 million tax-exempt permanent loan and a $1.2 million tax credit equity bridge loan. The MassHousing financing generated $36.8 million in federal Low Income Housing Tax Credit equity. The 198 apartments at the Burns Apartments are supported by a federal Section 8 Housing Assistance Payment contract, which the CHA has extended for 20 years as part of the transaction.

The transaction also involved $59.6 million in construction financing from Wells Fargo and $11 million in financing from the Cambridge Housing Authority. Wells Fargo was the tax credit syndicator.

The Burns Apartments consist of 198 housing units in two, 6-story midrise buildings located at 30-50 Churchill Ave. in Cambridge. All of the apartments will have one bedroom except for one two-bedroom unit.

The CHA will substantially modernize building systems at the Burns Apartments by improving the building envelope, plumbing, heating and cooling systems. The CHA will also make roof repairs and replace most interior components, including kitchen and bathroom repairs, and will renovate common areas both inside and outside of the buildings. The modernization project will modify 121 studio units into one-bedroom units and create eight ADA-compliant units.

The project is expected to meet Energy Star and Enterprise Green Communities standards for existing buildings. The preservation and modernization project will be funded in part with proceeds from MassHousing’s first sustainability bond transaction.

The general contractor Consigli Construction Co., Inc., the architect is Bargmann Hendrie + Archetype, Inc. and the management agent is Cambridge Housing Authority.

 

Source: bankerandtradesman.com

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