MassDevelopment Bond Helps Renovate Roxbury Affordable Housing
May 1, 2012
MassDevelopment has issued a $26.5 million tax-exempt bond on behalf of Madison Park IV 2011 Limited Partnership, which will use bond proceeds to buy and renovate the Madison Park IV affordable housing complex in Boston’s Roxbury neighborhood. All 143 units of the townhouse-style rental complex are affordable, with 126 two-bedroom units and 17 three-bedroom units. Renovations include roof and siding replacement; new windows; additional insulation; new high-efficiency heating and hot water systems; and new fire alarm systems, as well as site work and interior finish improvements. Bank of America purchased the bonds and is providing construction financing.
“Tax-exempt bonds are a source of low-cost financing for housing developers making necessary renovations to affordable housing,” said MassDevelopment President and CEO Marty Jones. “MassDevelopment is pleased to help Madison Park make energy-efficient and safety upgrades and keep its doors open to Roxbury residents.”
Madison Park IV, built in 1980, is part of Madison Park Village, a 546-unit residential community of predominantly low-income families. Madison Park Development Corporation planned and developed the village after several whole blocks of homes in Lower Roxbury were destroyed as part of an urban-renewal project in the 1960s. The village setting provides community space and playgrounds for residents. Madison Park Development Corporation was one of the first community organizations in the country to reclaim urban renewal land and redevelop it into a new community. The bond financing and renovations are part of Madison Park’s long-term plan to preserve the property as quality affordable housing.
“Madison Park IV has been a wonderful community for low-income families since its construction in 1980, and this work will ensure it remains the best housing possible and affordable for at least the next 30 years,” said Jeanne Pinado, Chief Executive Officer of Madison Park Development Corporation.
MassDevelopment, the state’s finance and development agency, works with businesses, nonprofits, financial institutions, and communities to stimulate economic growth across the Commonwealth. During FY2011, MassDevelopment financed or managed more than 300 projects generating investment of $3.8 billion in the Massachusetts economy. These projects are projected to create more than 10,000 jobs (2,547 permanent and 8,129 construction), and build or rehabilitate more than 1,000 residential units.