MassDevelopment has issued an almost $1.2 million, tax-exempt bond to Acton-based nonprofit Household Goods Recycling of Massachusetts Inc. (HGRM), which says it will use the proceeds to help purchase and renovate the space it currently rents.

According to a statement from MassDevelopment, HGRM will use bond proceeds to buy land and a building where itcurrently leases 10,000 square feet. That will allow HGRM to expand to 14,000 square feet, leasing the remaining space to another nonprofit, and replace storage pods the organization rents.

Middlesex Savings Bank purchased the bond, MassDevelopment said.

HGRM distributes donations of gently used or new household goods to people moving toward independent living. Most of the recipients are referred by social service agencies, and may be homeless, domestic violence victims, flood and fire victims, veterans or refugees, the group said.

"HGRM is very appreciative of the outstanding support from MassDevelopment and Middlesex Bank, which has allowed us to take advantage of the opportunity to purchase a permanent home," HGRM President Lee Mapletoft said in a statement. "The building has served us well over the years and with the additional space, we look forward to fulfilling the ever-increasing demand to help those in need of furniture and basic household necessities."