A housing development near Westgate Center is being sold and renovated with the help of a state-issued $20 million tax-exempt bond.
MassDevelopment issued a $19,840,000 tax-exempt bond on behalf of New Hadley LLC, an affiliate of National Preservation Housing Partners and SHP Development. The group plans to purchase and renovate the 183-unit apartment complex known as Hadley West. The complex includes 12 residential buildings with 84 one-bedroom units, 54 two-bedroom units, 35 three-bedroom units and 10 four-bedroom units.
“The renovation of 183 affordable units will provide individuals and families in Haverhill with a variety of improved, modern housing opportunities,” said Marty Jones, MassDevelopment president and CEO. “MassDevelopment is pleased to support National Preservation Housing Partners as the organization revitalizes the Hadley West apartments and helps to preserve Haverhill’s affordable housing supply.”
The planned renovations will upgrade windows, bathrooms, kitchens, flooring, water heaters, boilers, HVAC and common areas. Upon completion, the developer will preserve all 183 renovated units for households earning no more than 60 percent of the area median income. In addition to the bond financing, MassDevelopment assisted the Department of Housing and Community Development with the approval of federal low income housing tax credits, which will generate approximately $9 million in equity for the project. The developer expects that the project will create two jobs and support 35 construction jobs.
“The combination of MassDevelopment, the Boston HUD office, MassHousing, and the experience of long-term investors and operators of low-income housing will provide significant improvements to the lives of the tenants, at no additional cost to them,” said Andrew Delman, the lead sponsor of the project. “Utilizing the benefits of bonds, low income tax credits, energy weatherization and long term FHA debt, this project is well-suited to provide safe and comfortable affordable housing for at least the next 30 years. We are proud to partner with public agencies that recognize the importance of public/private investment and whose mandate is to assist in providing and sustaining this much-needed housing.”
Haverhill is one of 10 Gateway Cities that MassDevelopment selected in December as a pilot Transformative Development Initiative (TDI) District. Through that designation, the city is receiving a range of real estate development services to support local visions for redevelopment, and to catalyze and leverage investments and economic activities. The agency also hired an economic development fellow, Noah Koretz, to work for three years on Haverhill redevelopment efforts.
How does the “Developer” claim to be renovating if they require 20M in State assistance?
Haverhills 40B requirements are 10% low income housing. Haverhill it currently at 9.6%.
http://www.mass.gov/hed/community/40b-plan/subsidized-housing-inventory-shi.html
The developers that force the cities hand with 40B should now stop.
This puts a huge strain on taxpayers.
Thank The Fish Family, they spent tens-of-thousands in 2010 when even the mention of 40B reform was whispered on Beacon Hill – it was soundly defeated.