Preservation of Affordable Housing (POAH) is preserving the affordability and providing needed upgrades at a 510-unit seniors housing development in Melbourne, Fla.
The Boston-based nonprofit acquired the three-building property in 2013 from Holy Trinity Episcopal Church, which allowed the church to fulfill its ministry in other areas.
“It was time for an investment to this project, and the church didn’t feel like it was able to package the deal to bring resources into the project,” says Cory Mian, vice president of real estate development for POAH.
The first of the three buildings to close on financing and undergo rehab was the 192-unit Trinity Towers West, which was originally built in 1972.
The $9.6 million rehab of the 17-story building was completed in spring 2016 and included new kitchens and bathrooms, new windows, roof replacement, flooring upgrades, and energy-efficient features, including a new HVAC system. It also added 10 new fully accessible units and other accessibility changes to the common areas.
The acquisition and rehab of Trinity Towers West was made possible with an allocation of 9% low-income housing tax credits from the Florida Housing Finance Corp. The housing tax credits were syndicated by Boston Capital, with Citi Community Capital as the investor. Citi also provided the construction loan as well as the permanent loan with Boston Private Bank & Trust Co. through the Federal Home Loan Bank (FHLBank) of Boston Affordable Housing Program subsidized advance. Additional financing included a FHLBank grant from Boston Private, seller financing from the Holy Trinity Episcopal Church, and 20 new project-based Sec. 8 vouchers from the Housing Authority of Brevard County.
The 156-unit Trinity Towers East closed on financing at the end of November, and the 162-unit Trinity Towers South is closing on financing this week; rehab work is expected to start immediately.
“On Trinity Towers West, $10 million in equity was to brought to the deal; on Trinity Towers East, $5 million in equity was brought to that deal; and we’re bringing in $5.6 million in equity for Trinity Towers South,” says Mian. “The LIHTC is a critical tool, without which we wouldn’t be at the table.”