Image courtesy of Dietz & Co. Architects

Springfield-based nonprofit Way Finders will develop 62 affordable apartments and a community building in Agawam after obtaining financing from state and federal sources including MassHousing.

The project will comprise 10 townhouse-style buildings containing apartments on a 9-acre vacant parcel at 586 Mill St. in the Feeding Hills neighborhood.

TD Bank provided $18.25 million in construction financing for the project. The Massachusetts Housing Investment Corporation (MHIC) is the tax credit syndicator and investor.

MassHousing provided a $3.7 million permanent loan, $500,000 in capital magnet financing and $1 million from its Workforce Housing Initiative.

Other funding sources included a $17 million allocation of low-income tax credits and $3.4 million in direct support from the Massachusetts Executive Office of Housing and Livable Communities, $1 million from the state’s Affordable Housing Trust Fund and $749,000 from the Massachusetts Department of Mental Health.

Five units will be unrestricted, and the rest will be available to households earning a range of maximum incomes ranging from 30 to 80 percent of area median income, equivalent to $93,700 for a household of four. 

Designed by Dietz & Co. Architects of Springfield, the project will be built by Allegrone Construction of Pittsfield and is scheduled for completion in August 2024.