Six Multifamily Communities Rehabilitated with Innovative Financing Structure
March 16, 2016, Clearwater, FL – Churchill Stateside Group (“CSG”), a real estate financial services company serving developers and investors in the multifamily housing, renewable energy and historic tax credit industries, today announced the closing of a $4.63 million affordable housing transaction. The housing portfolio consists of six, affordable housing apartment communities located throughout the state of Washington.
The properties were financed with short term tax exempt bonds and 4% federal LIHTC equity as well as new construction and permanent financing guaranteed by the USDA 538 program, restructured existing USDA 515 loans, and subordinate financing from the Washington State Department of Commerce Trust Fund. The properties totaled 146 units and were constructed in the 1980’s using the USDA 515 Loan Program and Section 42 low-income housing tax credits.
“We are pleased to be able to offer a short term bond execution program coupled with Churchill’s 538 lending program in order to create the financing package to reposition these properties so that they are suitable rehabilitated to meet the affordable housing needs of families and seniors in these communities,” stated Keith J. Gloeckl CEO of the Churchill Stateside Group. “The country currently has a shortage of affordable housing and a number of properties are at risk of loss. So it is critical that we use bonds and tax credits to preserve and improve these properties.”
The scope of the rehabilitation will include new kitchen appliances, kitchen cabinets and countertops, plumbing fixtures, electric baseboard heaters, hot water heaters, flooring, bathroom cabinets and countertops, windows, window coverings, interior/exterior doors, unit painting, roof repair/replacements, exterior siding, parking lot resealing/repairs, accessibility issues, site lighting, dumpster enclosures and landscaping. The average hard costs of improvements are expected to be $27,000 per unit.
About Churchill Stateside Group, LLC
Churchill Stateside Group and its wholly owned affiliates serve the affordable housing and renewable energy industries. CSG pursues high quality lending and investment opportunities across the nation. The company, through its subsidiary Churchill Mortgage Investment LLC, is an approved USDA Rural Development lender, FHA MAP/LEAN lender and Ginnie Mae Issuer. CSG sponsors tax credit equity investment funds for institutional investors and provides a variety of construction and permanent financing solutions. The company’s investor and developer clients benefit from our experienced staff, prominent and proactive senior leadership, and attractive debt and equity platforms.