MassHousing has closed on an $18.1 million loan to preserve the affordability of Leisure Tower, a low-income housing facility for seniors in Lynn.

As a condition of the loan, property owner Silver Street Development Corp. will seek to extend the Section 8 Housing Assistance Payment (HAP) contract and the affordability at Leisure Tower for 20 years when the current HAP contract expires in 2018.

"Leisure Tower is an important affordable housing resource for senior citizens in Lynn and this financing will ensure that all the apartments remain so for the long term,” MassHousing Executive Director Thomas R. Gleason said in a statement.

Leisure Tower consists of 181 apartments, including 26 studio apartments and 154 one-bedroom units, contained in a 14-story building. One two-bedroom apartment is occupied by a property manager. As part of the refinancing, a number of improvements will be made to the property, including the installation of high-efficiency boilers and an energy-efficient cogeneration system, as well as apartment and common area floor replacement and painting and elevator upgrades.