Boston Capital is investing in the construction of Southgate House, a 38-unit apartment community for families in Scarborough, Maine.
The development by nonprofit Avesta Housing will include the rehabilitation and adaptive reuse of a two-story historic farmhouse that dates back to 1805 into eight one-bedroom units. Renovations will include new stairs, doors, windows, roofs, and new electrical and plumbing systems.
Avesta Housing will also construct 30 units in a new four-story building. The building will include four studio, eight one-bedroom, 10 two-bedroom, and eight three-bedroom units. The new building will feature a community room, an office, and laundry space.
"Southgate House represents our 13th investment with our partner Dana Totman and our friends at Avesta Housing," said Jack Manning, president and CEO of Boston Capital. "Residents of this unique apartment community, which is the first tax credit property in Scarborough, will benefit from supportive services as well as easy access to good schools, retail, and community services."
Located on three acres approximately 12 miles south of Portland, Southgate House will serve families earning 60% or less of the area median income. Avesta Housing's property management division will provide supportive services to the residents.
Boston Capital is providing $4.4 million in equity from the low-income housing tax credit and the historic rehabilitation tax credit programs. The firm’s investment in this development adds 38 affordable homes to its apartment portfolio. To date, Boston Capital has invested in more than 3,000 affordable apartments in Maine.