Rural Communities Housing Development Corporation (RCHDC) recently closed on a $791,900 mini-perm loan with NeighborWorks Capital for River Garden Apartments in Fort Bragg, CA. The organization actively works to combat the shortfall of affordable housing in Mendocino County by building additional units while preserving existing affordable housing in the area. RCHDC acquired River Garden Apartments in 2002 to prevent the 48 units from being converted to market-rate housing. They used LIHTC equity proceeds to address the building’s deferred maintenance and secured a permanent first mortgage after the expiration of the LIHTC allocation. With the mortgage set to expire and a balloon payment due, RCHDC needed a better financing solution. NeighborWorks Capital provided a mini-perm loan to refinance the property’s existing mortgage while RCHDC works to secure rehabilitation financing on the property.
Learn more about NeighborWorks Capital’s competitively priced, fixed-rate loan capital that is available to members of the NeighborWorks network. Visit our lending solutions page for more information.