
Key financing has been arranged for the development of a 93-unit mixed-income development in Shrewsbury, Massachusetts.
MassHousing announced it is providing approximately $21 million to WinnCompanies to construct The Pointe at Hills Farm, which will feature two three-story buildings. One building will contain 63 new apartment homes, and the other will have 30.
The community will have three studio, 44 one-, 36 two-, and 10 three-bedroom apartments. Construction is expected to be completed in 18 months.
“MassHousing is pleased to be a partner with WinnCompanies in this effort to transform an underutilized parcel into an exciting new housing community in Shrewsbury that will provide residents of different incomes with housing stability and economic opportunity,” said MassHousing CEO Chrystal Kornegay.
Of the 93 apartments, 13 will be restricted to households earning up to 30% of the area median income (AMI) and will be supported by state and federal rental vouchers programs, while 43 apartments will be restricted to households earning up to 60% of the AMI. There will be 21 workforce apartments for households earning up to 110% of the AMI, and 16 apartments will be unrestricted.
MassHousing is providing WinnCompanies with $10.3 million in permanent financing, $7.9 million in tax credit equity bridge loan financing, and $2.8 million from the agency’s Workforce Housing Initiative.
“MassHousing’s support has been crucial to moving this development forward, allowing us to create much-needed, mixed-income apartment homes for the working families who are fueling economic growth in greater Worcester and greater Boston,” said WinnDevelopment executive vice president Adam Stein.
Other project financing includes a total of $28 million in state and federal low-income housing tax credit equity. The tax credits were allocated by the Massachusetts Executive Office of Housing and Livable Communities (EOHLC), and tax credit equity will be provided by Bank of America. Bank of America is also providing approximately $31 million in construction financing.
EOHLC is providing approximately $3 million in direct support as well as $7 million in American Rescue Plan Act (ARPA) financing. The project is also receiving $4.1 million in ARPA financing through the Affordable Housing Trust Fund, which MassHousing manages on behalf of EOHLC, and $265,000 in financing from the Community Economic Development Corp.
Partners include general contractor Dellbrook JKS, Cube 3 Architects as architect, and WinnCompanies as property manager.