A development in Boston’s Jamaica Plain neighboring has received financing from MassHousing, New Market Tax Credits and union pension funds.

The $46.8 million in capital will help construct the 225 Centre Street development, a project that will create 103 new apartments as well as retail and commercial space in a low-income Boston neighborhood.

MassHousing is providing $31.4 million in loans for the development. The AFL-CIO Housing Investment Trust (HIT), and the HIT’s subsidiary, Building America CDE Inc., are providing a combined $15.4 million in financing. The project is the first phase of the $250 million redevelopment of Jackson Square in Boston’s Jamaica Plain community.

Located at the intersection of Centre Street and Columbus Avenue, the $53.2 million project is being developed by a joint venture between two Boston companies – Mitchell Properties and The Community Builders Inc. Construction began in December and is expected to be completed by April 2013. The project will create approximately 300 union construction jobs.

"This project is a major component in the redevelopment of Jackson Square," said Thomas R. Gleason, MassHousing’s executive director. "This mixed-income, mixed-use, transit-oriented housing community will be the foundation for redeveloping 11 acres of public and private land into more than a dozen buildings containing housing, retail and office space, as well as green and recreational areas for Jamaica Plain residents."

Boston Mayor Thomas M. Menino called the 225 Centre Street development "an important investment in Jamaica Plain,” adding that it "increases access to affordable housing for neighborhood residents, puts people to work, and will be an important contribution to the vitality of Jackson Square."

The project is also receiving approximately $7 million in tax credit equity through the Massachusetts Housing Investment Corp.

The 225 Centre Street contractor is Walsh Brothers Inc., and the architect is ADD Inc. The property manager will be Peabody Management.