Developers are at work on a new community that will bring 260 units of senior housing to Dallas, with more than 90% of the residences having income or rent restrictions.
The Oaks is being co-developed by DHA Housing Solutions for North Texas and the Volunteers of America National Services (VOANS). The mixed-income property will feature 216 units for seniors earning no more than 60% of the area median income (AMI) and 27 units for seniors earning no more than 30% of the AMI. Formerly the Dallas Housing Authority, DHA will also provide project-based vouchers for 103 units and public housing subsidies for 27 units.
The development recently took a step forward, with Lument announcing the underwriting of $25 million in short-term bonds and the closing of a $22.1 million Freddie Mac unfunded forward loan as part of the financing structure.
Tracy Peters, senior managing director, and Dale Giffey, associate director, led the transaction for Lument.
“While every transaction we close at Lument is noteworthy in its own right, there are certain deals that are especially rewarding because they enrich communities by creating new, high-quality housing that enhances lives across the affordability spectrum,” said Peters. “This collaboration was certainly such a transaction.”
Construction on The Oaks is expected to be complete in 2023. Upon stabilization, the $22.1 million Freddie Mac loan and tax credit equity will be used to pay off a $35 million construction loan from a national bank, reported Lument. The financing structure also includes subordinate debt of $4.5 million from HOI, Inc., the bond issuer, and $750,000 in Capital Magnet Funds from VOANS.
The residences are housed in a four-story building configured around an interior landscaped courtyard with seating, outdoor cooking amenities, and a covered pavilion area. Other amenities include a community garden, an on-site medical clinic, two rooftop decks, a clubhouse, a craft room, a fitness room, and two dog parks. The property will be managed by VOA Texas.