The Millennia Companies. has closed on $27.5 million in financing for the acquisition and rehabilitation of 131 units of affordable housing for seniors and persons with disabilities at Peace Lake Towers in New Orleans.
The rehabilitation will include a comprehensive renovation of the six-story, mid-rise apartment complex. Upon completion, residents will enjoy renovated one-bedroom apartments and amenities such as a community center, an arts activity space, a library, a computer lab, and a fitness room. Residents pay 30% of their income toward rent, and rent will remain affordable well into the future as it is subsidized for at least 20 years by a federal project-based Section 8 contract.
The construction scope encompasses enhanced security features and upgraded heating, cooling, and mechanical and electrical systems. Additionally, the plan calls for the installation of a new roof, windows, and doors. Inside, crews will install energy-efficient appliances and eco-friendly materials for countertops and cabinets.
"For seniors and persons with disabilities, affordable housing is critical. Since the supply of affordable housing for this population is declining while demand is increasing, we are proud to provide residents with quality housing and a community enriched with services,” says Frank T. Sinito, CEO of Millennia.
The firm anticipates that construction will begin in the coming weeks and take 14 months to complete. Crews will renovate vacant units first and relocate households on-site as the construction is completed in phases.
The following partners provided financing and resources for this transaction: Red Stone (lender), Aegon Asset Management (low-income housing tax credit syndicator), Louisiana Housing Corp. (bond and housing credit Issuer), the Department of Housing and Urban Development Southwest field office, and the city of New Orleans. Also engaged in this project are general contractor Marous Brothers, architect Hooker DeJong, developer Millennia Housing Development, and management agent Millennia Housing Management.
Founded in 1995, Cleveland-based Millennia manages a diverse portfolio of more than 30,000 apartments in 275 communities across 26 states. In 2020, Millennia ranked No. 3 on the Affordable Housing Finance list of Top 50 Affordable Housing Owners, No. 7 on the AHF list of Top 10 Companies Completing Acquisitions, and No. 18 on the Multi-Housing News list of Top Developers.
