An experienced affordable housing developer and a community hospital are working together to meet the needs of seniors in Allentown, Pa.
Pennrose Properties and Sacred Heart Hospital (now St. Luke’s Hospital) joined forces to create West Turner Residences with its 61 affordable one- and two-bedroom homes for seniors earning no more than 20%, 50%, and 60% of the area median income. In evidence of this partnership, the first floor of the building has approximately 6,000 square feet of space, which the hospital will soon use for geriatric, physical therapy, and other senior-focused medical programs. These services will be available to both building residents and others in the community.
The health center will allow seniors to receive medical attention without going to the hospital. However, if they need to visit St. Luke’s, they can board a shuttle or take a new pedestrian path that the team built between West Turner Residences and the neighboring hospital.
For the hospital, the housing development is an opportunity to serve more people in the community. It was also a meaningful way to revitalize a blighted block and improve the neighborhood. To build West Turner Residences, the team acquired close to 45 parcels from absentee landlords and others through private purchases and eminent domain, according to Mark Dambly, president of Pennrose.
In addition to private owners, the hospital, Allentown Housing Authority, and the city all had acquired properties and contributed them to the effort in another example of the partnerships involved.
“To look at the site before and after, it’s been transformational,” Dambly says.
Formerly known as Sacred Heart Residences, the development is also innovative in its design. It is one of the first developments in Pennsylvania designed to meet Passive House standards, rigorous criteria for energy-efficiency that results in buildings that require little energy for heating or cooling. This keeps utility costs low and makes units more affordable to residents.
The $16.9 million project leveraged approximately $12 million in low-income housing tax credits syndicated by Hudson Housing Capital. JPMorgan Chase provided permanent and bridge loans.
