MassHousing announced $110.6 million in loan commitments today for the acquisition and preservation of affordable housing for seniors and families in 10 communities.
Rhode Island Homes LLC, a subsidiary of Providence Realty Investment, LLC, is purchasing 10 apartment communities owned by Equity Residential.
All 10 of the properties, involving a total of 931 affordable apartments, are currently financed by MassHousing and subsidized by Section 8 Housing Assistance Program contracts. Of the 931 apartments, more than 360 were in danger of converting to market rates. Rhode Island Homes will extend the affordability of the 10 apartment communities for 60 years.
"This is a rare opportunity to preserve hundreds of units of affordable housing for decades to come," said MassHousing Executive Director Thomas R. Gleason. "Many of these apartments are in expensive markets and were it
not for these loans, they may well have gone to market rents and disappeared from the affordable housing inventory."
The proposed transactions will also involve moderate capital improvements to the housing communities totaling
$16.5 million within the first year of ownership.
"We proudly support the preservation of high quality affordable housing for families throughout Massachusetts," said Raymond Uritescu, Chief Executive Officer for Rhode Island Homes. "And we commend the professionalism and dedication of the staff at MassHousing and all of the state agencies involved in this project."
The properties being purchased and preserved by Rhode Island Homes with MassHousing loans are:
- Cedar Glen in Reading, $15.2 million loan for 114 units of elderly housing.
- Glen Grove in Wellesley, $20.3 million loan for 125 units of elderly housing.
- Gosnold Grove in Falmouth, $2.1 million loan for 33 units of family housing.
- Nehoiden Glen in Needham, $10.2 million loan for 61 units of elderly and family housing.
- Chestnut Glen in Abington, $14.2 million loan for 130 units of elderly housing.
- Heritage Green in Sturbridge, $11.1 million loan for 130 units of elderly and family housing.
- Noonan Glen in Winchester, $2.2 million loan for 18 units of elderly housing.
- Norton Glen in Norton, $16.3 million loan for 150 units of family housing.
- Longfellow Glen in Sudbury, $12.9 million loan for 120 units of elderly and family housing.
- Old Mill Glen in Maynard, $5.9 million loan for 50 units of family housing.
