We want to give a hearty Thank You to all of our Q3 borrowers — $20.2 million closed, one of our busiest quarters ever!
Comite De Bienestar: NeighborWorks Capital closed a $3,241,000 land development construction loan to Comite de Bienestar, the leading nonprofit housing developer in southern Arizona. NC’s loan will fund the development of 94 single-family lots in Bienestar Estates 11, part of Comite’s extensive development of affordable homes in San Luis, AZ. The project will include 36 Self-Help homes, adding to the more than 700 that Comite has developed over the past 20 years. The City of San Luis will also be developing a 19 acre park adjacent to Bienestar 11.
Eden Housing: NeighborWorks Capital closed a $720,000 mini-perm loan to Eden Housing to refinance an previous NC loan on the historic Skeels Hotel in Morgan Hill, CA. A small building with 13 affordable apartments and a noted restaurant on the ground floor, Skeels is a historic landmark, visited by the Crown Prince of Sweden in 1926! NC’s five-year loan allows Eden Housing to hold the property while they work to structure a scattered site recapitalization on several affordable housing properties they own in and around Morgan Hill.
Neighborhood Development Services: NeighborWorks Capital closed a $831,000 permanent loan to Neighborhood Development Services (NDS) for Ashtabula Homes II, a 40-home scattered site rental development in Ashtabula, OH. Built in 2005, the 40 homes were intended to be sold to the tenants after 15 years, but most LIHTC-financed single-family developments remain long-term rentals. NDS needed to refinancing the original perm lenders from the LIHTC financing, and NC provided a 15-year, fully-amortizing loan.
Fifth Ward CRC: NeighborWorks Capital closed a $1,400,000 construction line of credit to Fifth Ward Community Redevelopment Corporation to support their new for sale development partnership with the Houston Land Bank and the Houston Land Trust, to ensure long-term affordability for low and moderate-income buyers. Fifth Ward expects to build and sell 28 homes over the next three years, ramping back up to their historic levels of production.
CRHDC: NeighborWorks Capital closed three loans with Community Resources and Housing Development Corp. to purchase a property portfolio in Alamosa, CO, our first loans to the NWO in more than a decade. NC provided a $6,269,100 permanent loan for the purchase of Kiva Apartments (64 units) and a $4,054,400 permanent loan for the purchase of Southside Apartments (46 units). NC’s ten-year permanent loans includes an innovative debt service reserve, with underwriting (and loan size) at expected rents after a gradual increase, rather than at lower current rents. NC also closed a $1,402,500 land acquisition loan for the purchase of 19 acres of vacant land adjacent to Kiva Apartments. NC’s three-year loan allows CHRDC to develop a comprehensive commercial and residential development plan for the site, including selecting development partners for new commercial, hotel, and retail uses.
Total Concept: NeighborWorks Capital closed a $500,000 construction line of credit with Total Concept to help ramp up their single-family acquisition/rehab line of business in Colorado. Working in rural Bent, Crowley, and Otero Counties, Total Concept expects to acquire, rehab and sell at least one home per month over the next three years. They’ll serve homebuyers between 80% and 120% AMI and revitalize the aging housing stock of this agricultural area east of Pueblo and Colorado Springs.
Fifth Avenue Committee: NeighborWorks Capital closed a $1,800,000 predevelopment line of credit with Fifth Avenue Committee. The line will be used to support predevelopment costs for four projects in FAC’s pipeline, all in Brooklyn, NY – the rehabilitation of 36 affordable apartments on Park Place; rehab of 48 affordable apartments on 50th St; renovation of their headquarters building on Degraw Street; and new construction of 187 affordable apartments for seniors in Gowanus Green, part of a new multi-building project that will have more than 900 affordable apartments along the Gowanus Canal.
To learn more about how our financing solutions can help fund your next development, contact Steve Peelor, Chief Lending Officer.