MassDevelopment Bond Helps Developer Renovate, Preserve 183 Affordable Apartments in Gateway City
June 4, 2015
FOR IMMEDIATE RELEASE
Kelsey Abbruzzese, MassDevelopment, 617-330-2086 & 617-448-9077 (cell)
Andrew Delman, National Preservation Housing Partners, 312-528-7860
MassDevelopment has issued a $19,840,000 tax-exempt bond on behalf of New Hadley LLC, an affiliate of National Preservation Housing Partners and SHP Development, which will use the proceeds to purchase and renovate a 183-unit apartment facility in Haverhill. Known as Hadley West, the facility includes 12 residential buildings with 84 one-bedroom units, 54 two-bedroom units, 35 three-bedroom units, and 10 four-bedroom units.
The planned renovations will upgrade windows, bathrooms, kitchens, flooring, water heaters, boilers, HVAC, and the common area. Upon completion, the developer will preserve all 183 renovated units for households earning no more than 60 percent of the area median income. In addition to the bond financing, MassDevelopment assisted the Department of Housing and Community Development with the approval of federal low income housing tax credits, which will generate approximately $9.0million in equity for the project. The developer expects that the project will create two jobs and support 35 construction jobs.
“The renovation of 183 affordable units will provide individuals and families in Haverhill with a variety of improved, modern housing opportunities,” said Marty Jones, MassDevelopment President and CEO. “MassDevelopment is pleased to support National Preservation Housing Partners as the organization revitalizes the Hadley West apartments and helps to preserve Haverhill’s affordable housing supply.”
“The combination of MassDevelopment, the Boston HUD office, MassHousing, and the experience of long-term investors and operators of low-income housing will provide significant improvements to the lives of the tenants, at no additional cost to them,” said Andrew Delman, the lead sponsor of the project. “Utilizing the benefits of bonds, low income tax credits, energy weatherization and long term FHA debt, this project is well-suited to provide safe and comfortable affordable housing for at least the next 30 years. We are proud to partner with public agencies that recognize the importance of public/private investment and whose mandate is to assist in providing and sustaining this much-needed housing.”
Haverhill is one of 10 Gateway Cities that MassDevelopment selected in December as a pilot Transformative Development Initiative (TDI) District. Through that designation, the City is receiving a range of real estate development services to support local visions for redevelopment, and to catalyze and leverage investments and economic activities. The Agency also hired an economic development fellow, Noah Koretz, to work for three years on Haverhill redevelopment efforts. For more information on Koretz and TDI Fellows, click here.
MassDevelopment, the state’s finance and development agency, works with businesses, nonprofits, financial institutions, and communities to stimulate economic growth across the Commonwealth. During FY2014, MassDevelopment financed or managed 314 projects generating investment of more than $2.9 billion in the Massachusetts economy. These projects are projected to create more than 6,300 jobs and build or rehabilitate more than 1,600 residential units.