(WASHINGTON, DC) – The DC Department of Housing and Community Development (DHCD) closed its first two loan agreements for Fiscal Year (FY) 2018, totaling more than $26.5 million that will help produce and preserve 197 affordable rental housing units in Ward 7. The funding was made available through the Housing Production Trust Fund (HPTF).
“We began the Fiscal Year 2018 with great announcements about our affordable housing accomplishments over the last twelve months, but we are not satisfied with just keeping a steady pace,” said DHCD Director Polly Donaldson. “Our goal looking forward is to reach even higher heights, and we are pleased to start by funding two projects that will produce and preserve safe and affordable housing for Ward 7 residents.”
DHCD provided $19.6 million in HPTF financing to 3534 East Cap Venture LLC, a joint venture between MidAtlantic Realty Partners and Taylor Adams Associates, for the new construction of the Solstice, a 137-unit apartment building at 3534 East Capitol Street NE. The project also received $21.5 million in tax exempt bond financing from the DC Housing Finance Agency (DCHFA).
Fifteen units will be restricted to Permanent Supportive Housing (PSH) for households at or below $33,100 (30 percent of the Area Median Income [AMI]) and remain affordable for no less than 40 years; the remaining 122 units will be available for households at or below $55,150 (50 percent AMI).
“Investing in creating and preserving affordable housing in the District is extremely important to us for so many reasons,” said Bob Murphy, managing principal of MRP Realty. “It’s important to provide safe, high-quality and energy efficient housing that will improve the quality of life for all DC residents and to ensure that more Washingtonians can take part in the growing prosperity of the District. We’re excited to break ground in early 2018.”
DHCD also provided $6.9 million in HPTF financing to Milestone Senior Owner, LLC, a joint venture between E&G Group, Equity Plus Manager and Turnaround, Inc., for the acquisition and rehabilitation of three apartment buildings along the 3600 block of Minnesota Avenue SE.
Fifteen units will be restricted to PSH for households at or below $33,100 (30 percent AMI) and remain affordable for no less than 40 years; the remaining 45 units will be available for households at or below $55,150 (50 percent AMI).
“We and our partners are very pleased to have closed the financing of Milestone Senior, a wonderful new project that will serve 60 individuals and households of low and moderate income,” said Jim Edmondson, principal of E&G Group. “Most of the apartments of Milestone Senior will serve current residents of Meadow Green Courts (age 55+), who will relocate to the new building in about 12 to 14 months. The entire community has expressed enthusiasm for the redevelopment of the property. We greatly appreciate the work of the DHCD staff toward fulfilling affordable housing goals.”
Since coming into office, the Bowser Administration has sparked the creation or preservation of more than 9,600 affordable units, with another 3,300 units in preconstruction. In Fiscal Year 2017, the District made historic investments in affordable housing, getting more than $138 million in Housing Production Trust Fund financing out the door to support 23 projects that will produce or preserve more than 1,900 affordable units.
The District’s multi-pronged approach to housing production and preservation, homeownership, and development of vacant properties is winning national recognition. On September 11, the District was selected for the Urban Land Institute’s Larson Housing Policy Leadership Award. This annual award, provided by ULI’s Terwilliger Center for Housing, recognizes innovative ways the public sector is addressing the nation’s affordable housing crisis.