Category: CEDAC

Baker-Polito Administration Announces $8 Million in Funding to Support Nearly 100 Units of Supportive Housing

Seven housing projects will provide comprehensive supportive services for individuals, families and seniors

 

Executive Office of Housing and Economic Development
Housing and Community Development
Office of Governor Charlie Baker and Lt. Governor Karyn Polito

DENNIS, MA — Today, the Baker-Polito Administration awarded nearly $8 million in funding to support the creation or preservation of almost 100 units of supportive housing. Lt. Governor Karyn Polito and Housing and Community Development Undersecretary Janelle Chan joined Roger Herzog, Executive Director of Community Economic Development Assistance Corporation (CEDAC), Kathy Ohman, President of FORWARD, and members of the Legislature to announce the awards which include $5.5 million in state funding, 28 project-based state housing vouchers, and will leverage $2.5 million from the National Housing Trust Fund. These seven developments will provide housing with supportive services for vulnerable populations across the state, including homeless families and individuals, veterans, persons with disabilities and adults with autism. Since 2015, the Baker-Polito Administration has supported the creation or preservation of more than 600 units of housing with comprehensive support services, including today’s awards.
“The Baker-Polito Administration is committed to creating housing opportunities across Massachusetts that meet the needs of all our residents,” said Governor Charlie Baker. “The awards we are announcing today will create, expand and preserve critical housing resources for those who need it most and our Administration is proud to continue supporting these developments throughout the Commonwealth.”“I am proud to join FORWARD in Dennis to announce these important awards, which will provide services to communities across the Commonwealth, from here on Cape Cod, to Pittsfield,” said Lt. Governor Karyn Polito. “Our Administration looks forward to continuing to working with our partners at the local level to develop new housing opportunities for cities and towns in Massachusetts.”Lt. Governor Polito and Housing and Community Development Undersecretary Janelle Chan made the announcement at the future site of FORWARD at the Rock. The development will create eight units of supportive housing for adults with autism. FORWARD, Friends or Relatives With Autism and Related Disabilities, is an advocacy group founded in 2013, and will work with Housing Assistance Corporation on Cape Cod to develop the project with specific supports for this community.

“Today’s awards will provide critical, wraparound services for low-income individuals with disabilities, formerly homeless veterans, families, and adults with autism,” said Housing and Community Development Undersecretary Janelle Chan. “These projects will provide residents with long-term stability and opportunities to thrive by locating comprehensive services where they live.”

The National Housing Trust Fund is a federal program to support the development of affordable housing for low-income individuals and households, with supportive services. The Department of Housing and Community Development worked in coordination with the Community Economic Development Assistance Corporation (CEDAC) to make the combined $8 million available for the seven projects. Comprehensive support services, may include education, skills training, childcare, substance abuse treatment, mental health services, and comprehensive case management.

“CEDAC is pleased to work with DHCD on these important supportive housing projects benefitting veterans, disabled persons, elders, and other low income families in seven Massachusetts communities,” said Roger Herzog, Executive Director, CEDAC.  “We continue to look for new opportunities to work with local communities and non-profit organizations to create and preserve affordable housing options that meet the needs of all families and individuals in Massachusetts.”

“In 2013, the Town of Dennis perceived a need for affordable housing for adults with autism and identified Town-owned land that could be dedicated to fill that need. At age 22, adults with autism “age out” of special education programs in public schools. This results in 80 percent of adults with autism living at home with little opportunity for social interaction. As parents age, they may no longer be able to care for their children with autism.  There is not enough support or resources for adults with autism, particularly with regards to long term living arrangements,” said Paul McCormick, Chairman of the Dennis Board of Selectmen. “Dennis is committed with the Commonwealth of Massachusetts in supporting our adults with autism through this partnership with Project FORWARD.”

“The partnership between FORWARD, The Housing Assistance Corporation, and the Town of Dennis to create a residential community for adults with autism is an extraordinary accomplishment and an innovative model for other communities to emulate,” said State Senator Julian Cyr. “I want to extend a special thank you to Kathy Ohman, President of FORWARD, for her dogged commitment and leadership of the project; Kathy’s vision of a residence where adults with autism can age-in-place with dignity and respect is now one step closer to reality.”

“I’d like to thank the Baker-Polito Administration, as well as Secretary Jay Ash for their continued commitment to serving persons on the autism spectrum and ensuring access to safe and supportive housing,” said Representative Tim Whelan. “This has been a fantastic collaboration between local, concerned citizens and their state government.”

“HAC is excited to be a part of this project which has received significant support from the community, local representatives and the state,” said Housing Assistance Corporation CEO Alisa Galazi. “Our region badly needs affordable housing and especially for the autistic adults, and this project is exemplifies the kind of housing we need.”

“FORWARD is a unique collaboration of non-profits, state and local agencies to provide much needed affordable housing for cape cod adults with autism and related disabilities here in Dennis,” said Kathy Ohman, FORWARD. ”We are thankful to Undersecretary Chan and the Baker-Polito Administration, and congratulations to the other recipients of these important funds.”

In 2017, the Baker-Polito Administration unveiled the new Housing Choice Initiative, which created a new system of incentives and rewards for municipalities that deliver sustainable housing growth; created a new technical assistance toolbox to empower cities and towns to plan for new housing production; and proposed legislative changes, through An Act to Promote Housing Choices, to deliver smart, effective zoning at the local level.

The Baker-Polito Administration is deeply committed to meeting this housing challenge, through key investments, new initiatives and program reforms. In April, Governor Baker filed a housing bond bill seeking $1.287 billion in additional capital authorization to advance the administration’s commitment to affordable housing and has increased funding for affordable housing by 19 percent and is on course to invest $1.1 billion over five years in affordable housing. The highly effective MassWorks Infrastructure Program continues to be a key catalyst for housing production, supporting the creation of more than 3,000 housing units. The Open for Business Initiative will drive the production of more than 2,200 units of housing on state land. MassHousing’s $100 million Workforce Housing Initiative has advanced the development of 2,309 housing units across a range of incomes, including 616 workforce housing units. And, through An Act Relative to Job Creation and Workforce Development, the administration reformed the Housing Development Incentive Program, which is on track to facilitate more than 900 new units in Gateway Cities.


2018 Supportive Housing Awards

FORWARD at the Rock, Dennis        

FORWARD at the Rock is a production project that will create eight units of permanent supportive, single-room-occupancy (SRO) housing for adults with autism. The project sponsor, FORWARD (Friends Or Relatives With Autism and Related Disabilities), is an advocacy group founded in 2013 for the specific purpose of developing housing for this vulnerable population, and has partnered with the Housing Assistance Corporation on Cape Cod.  CapeAbilities will provide comprehensive supportive services.

Carlos Vega Townhomes, Holyoke

Carlos Vega Townhomes will preserve 18 units of family housing for farmworkers in Western Massachusetts, and provide necessary accessibility improvements to the property, allowing existing households to age in place. The project is owned by Valley Housing Development Corporation. Wayfinders is the project sponsor and will provide resident services to tenants.

Sergeant House Expansion, Northampton

Sergeant House Expansion will update and expand a traditional 15-room SRO owned by Valley Community Development Corporation, and create 31 enhanced SRO units (16 new units; 15 preserved units), each with its own kitchenette and bathroom.

Gordon H. Mansfield Veterans Village Phase II, Pittsfield

Gordon H. Mansfield Veterans Village Phase II, sponsored by Soldier On, Inc., is a new production project that will create 14 units of permanent supportive housing for formerly homeless female veterans. Soldier On will provide supportive services targeted to female veterans who have experienced trauma, including military sexual trauma and post-traumatic stress.

Germantown House, Quincy

Germantown House will produce a five-unit congregate home for extremely low income adults with physical and developmental disabilities. The project sponsor is NeighborWorks of Southern Mass., and 24-hour on-site services will be provided by Work, Inc.

Headwaters Replacement Housing, Wareham/Sandwich

Headwaters Replacement Housing, sponsored by Residential Rehabilitation Housing, Inc., will produce 10 units of SRO housing for very low income adults with disabilities. The project design is highly responsive to the particular physical and environmental needs of the population to be served. Twenty-four hour on-site supportive services will be provided by Latham Centers.

149 Belmont Street Preservation and Stabilization, Worcester

149 Belmont Street is an existing supportive housing project owned by Worcester East Side Community Development Corporation. The project currently provides nine studio apartments for formerly homeless adults with disabilities.

 

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Source Executive Office of Housing and Economic Development Housing and Community Development

New Tool in the Fight for Boston’s Affordability

Public-Private Partnership Creates Fund to Support Nonprofit Development

By Roger Herzog and Sara Barcan

Special to Banker & Tradesman

As observers of the Boston real estate market know, our historic city is heavily “built out,” with relatively few opportunities to develop vacant parcels. While the charm of our densely built city means there is great demand to live here, the relative scarcity and high cost of available development sites present a challenge to policymakers and the community development sector who seek to increase the stock of Boston’s affordable housing. Nonprofit developers tell us that when they identify vacant or underutilized parcels with potential for affordable housing development, they frequently have difficulty competing for acquisition against private developers, and when they can acquire, may need to hold sites for several years before they can assemble project financing and move into construction.

Last year, our colleagues at the city of Boston’s Department of Neighborhood Development (DND) approached CEDAC and the Local Initiatives Support Corporation (LISC Boston) with an idea for an acquisition fund that could help level the playing field for nonprofits: the Vacant Site Acquisition Fund. This fund targets sites that are often sources of neighborhood blight. CEDAC has long helped nonprofit developers acquire sites that are both eyesores and in need of cleanup and our participation in the Vacant Site Acquisition Fund is an extension of that work.

 

Boston Mayor Marty Walsh, along with CEDAC and LISC Boston, announced the creation of the fund last fall. Its program design resulted directly from conversations that DND, CEDAC and LISC conducted with nonprofit housing developers and reflects their priorities: a predictable, competitive interest rate; a longer loan term than typical acquisition loans; a streamlined approval process; and assistance with site control and holding costs.

The Vacant Site Acquisition Fund established a pilot funding source of more than $8 million to help nonprofit developers purchase vacant or underutilized land appropriate for the development of multifamily housing. The city has committed $2.5 million, while CEDAC and LISC Boston have provided a combined $6 million. CEDAC manages the day-to-day operations of the fund, which has an efficient “one-stop” approval process enabling nonprofit developers to better compete in the private market.

The fund has three components:

· Site deposit assistance: DND has set aside $200,000 for short-term, zero interest bridge loans, available to nonprofit developers who need to make cash deposits to secure site control of potential acquisition sites.

· Acquisition fund: A combined $8 million contributed by the city, CEDAC, and LISC Boston funds low interest rate acquisition financing with longer terms to acquire sites and plan for future affordable housing development. CEDAC’s streamlined approval process allows developers to respond quickly when opportunities arise, and create additional opportunities for properties not currently on the market.

· Holding cost assistance: DND has also allocated $300,000 for zero interest loans to cover interest, insurance, real estate taxes and other holding costs while nonprofits conduct community process, secure regulatory approvals and assemble complex packages of public and private financing.

Combatting Displacement in Jackson Square

Since the fund was established, one project has closed using its resources, with a second loan approved. Urban Edge Inc., a community development corporation that serves Roxbury and Jamaica Plain, in January acquired two lots on Columbus Avenue, adjacent to a third parcel that the CDC purchased through a prior CEDAC acquisition loan. Located just outside of Jackson Square, those underutilized parcels include a commercial building in need of repair and a parking lot. These sites are within an area that the Boston Planning and Development Agency (BPDA) deemed PLAN: JP/ROX, about which the city of Boston has made recommendations regarding affordable housing, transportation and open space improvements. Urban Edge’s project will both combat displacement, which remains a problem in the surrounding neighborhood, and contribute to Jackson Square’s revitalization.

“The Vacant Site Acquisition Fund is an important new resource for nonprofit organizations in Boston who otherwise might find it challenging to compete in the real estate market,” said Frank Shea, CEO of Urban Edge. “Along with providing resources, working with the city, CEDAC and LISC Boston made this a much easier process.”

CEDAC, DND and LISC have heard about many exciting opportunities as we speak with our nonprofit partners, all of whom are working hard to compete in a difficult real estate market, to ensure that long-term residents and newcomers alike can afford to live here. The Vacant Site Acquisition Fund demonstrates the kind of innovative public-private partnership that shows why Boston is a national leader in community development – and ways we can be effective in creating a diverse and equitable community.

Roger Herzog is the executive director of the Community Economic Development Assistance Corporation (CEDAC). Sara Barcan is CEDAC’s director of housing development.

https://cedac.org/wp-content/uploads/2018/05/BT_May072018_Reprint_BostonsAffordability.pdf

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SourceBanker & Tradesman

Baker-Polito Administration Successfully Preserves Affordable Housing

Challenges Ahead as Thousands of Units Approach Affordability Expiration

Preserving affordable housing is an important priority in Massachusetts, and has become a special focus of policymakers and advocates as the region’s hot real estate market has constrained the ability of nonprofit developers and others to produce new affordable units. But while some of the challenges we face in maintaining affordability are new, many of the most intractable issues are legacy challenges from decades ago. The commonwealth has spent years – decades, even – finding innovative solutions to address these old problems. Even with all of the hard work, threats remain.

Roger Herzog
Roger Herzog

March 1 marked an important date in affordable housing preservation – it was the day in which a large number of affordable housing projects built in the 1970s hit their mortgage expiration date. This “expiring use” problem stems from how many large-scale affordable developments were financed during that era – these apartments were built by private owners utilizing state and federally funded mortgage programs with 40-year terms. In return for the below market rate loans, owners are required to comply with affordable housing use restrictions. Many of those mortgages have reached or are reaching maturity in the next few years, at which point the use restrictions terminate and the owners may convert the affordable housing to market rate. And in a real estate market that is as super-charged as Greater Boston, it’s easy to imagine why an owner would be tempted to convert their development.

Affordability Preserved

First, the good news – over the past three years, the state’s Department of Housing and Community Development (DHCD) and its state agency partners have preserved the long-term affordability of over 15,000 housing units across the commonwealth. Due to significant capital investments in affordable housing by the Baker-Polito Administration more than 4,400 units maintained their affordability in 2017 alone.

Bill Brauner

It is also due to the state’s affordable housing preservation law, Chapter 40T, which was passed nine years ago to address the expiring use challenge. Chapter 40T established public notification provisions for tenants and state and local officials, purchase rights through a right of offer and right of first refusal for DHCD or its designee to acquire this housing if the owner decides to sell, and modest tenant protections for projects with affordability restrictions that terminate. The state has helped to preserve almost 30,000 units of affordable rental housing since the law was enacted. Through the investment of federal, state and local resources and Chapter 40T, the state’s affordable housing programs have ensured that families are able to stay in their homes and neighborhoods.

CEDAC offers its technical assistance and early stage financing to nonprofit developers seeking to preserve affordable multifamily housing facing expiring use restrictions. In 2017, two preserved projects exemplify our preservation success. In the high-cost market of Lexington, CEDAC supported efforts by MassHousing, the town of Lexington and its housing authority, and project residents to preserve 16 units of low- and moderate-income cooperative housing. Worcester’s Fruit Sever Apartments is another good example of the kind of affordable housing being preserved. In January 2016, CEDAC approved a $9 million acquisition loan to The Community Builders Inc. to help the nonprofit developer preserve the 132 affordable apartments there. The building was preserved through the Chapter 40T purchase process and state financing

Housing at Risk

In spite of these efforts, a significant portion of the state’s portfolio of federal and state-assisted affordable housing remains at risk. Thousands of additional affordable units continue to face the potential of  market-rate conversion. In one state mortgage program, 3,200 units are at high risk due to expiring mortgages. A decision by property owners to convert these into market-rate apartments could leave the residents, including many elders, facing much higher rents. And unlike most federally financed projects, tenants in these projects are not able to receive federal rent vouchers that allow them to remain in the housing post-conversion. State housing officials have responded to this challenge by creating a $100 million fund, combined with federal housing tax credits and bond financing, to offer new financial incentives to the private owners to preserve this housing.

The truth is that the March 1 milestone is a reminder that we will be facing crunch time over the next few years when it comes to preserving affordable housing. Thousands of vulnerable Massachusetts families and individuals are counting on us to effectively solve these old problems – and as we look at the actions of policymakers on both the state and federal levels, we must continue to find and implement innovative solutions, just as we’ve done in the past.

Roger Herzog is the executive director of the Community Economic Development Assistance Corporation (CEDAC). Bill Brauner is CEDAC’s director of housing preservation and policy.

Baker-Polito Administration Successfully Preserves Affordable Housing

SourceBanker & Tradesman

Advocates See Cote Development As A Sign Mattapan Is Changing

When Mattapan residents pass by the old Cote Ford dealership on Cummins Highway, some see a symbol of neglect — a boarded-up beige brick building, with graffiti on the walls and weeds cracking through the pavement.

Now, more than three decades after the dealership closed, this key piece of real estate is coming back to life.

“Cote Village, we believe, is a significant investment in the future of Mattapan,” said Lincoln Larmond, a development advocate and co-chair of the group Mattapan United. “Historically there’s been a lot of disinvestment in Mattapan.”

The Cote Ford site, Larmond said, “had been vacant for 30 years, so that alone will demonstrate the fact that it’s been a long time coming.”

Lincoln Larmond is a development advocate and co-chair of the group Mattapan United. (Jesse Costa/WBUR)
Lincoln Larmond is a development advocate and co-chair of the group Mattapan United. (Jesse Costa/WBUR)

The $28 million Cote Village was the winning bid in the city’s quest to develop the abandoned site. The plan is to build 76 apartments, set aside for families earning a range of incomes, as well as a community area and some commercial space.

A stone’s throw from the development, a new stop on the commuter rail — Blue Hill Avenue Station — is under construction. With the momentum of these two projects, advocates hope more development is spurred in the years ahead.

The Fairmount Line station, which is scheduled to open next year, represents a $17 million investment by the state, and it helped to trigger the redevelopment of the Cote property nearby.

Cote Village was proposed by Caribbean Integration Community Development (CIDC). The group’s Donald Alexis says the project highlights the positives of Mattapan — something rarely captured on the evening news.

“This is a very great community, there’s a lot of diversity, there’s a lot of great activities happening there, but people never talk about it,” Alexis said. “So we seek to create that catalyst to attract people from outside to come shop and dine here.”

A rendering of Cote Village (Courtesy of the Boston Planning and Development Agency)
A rendering of Cote Village (Courtesy of the Boston Planning and Development Agency)

Alexis notes that Cote Village is Mattapan’s first housing development subsidized by federal tax credits since 2006.

By comparison, federal records show Dorchester has had nine such developments during that period. Dorchester’s population is much larger, but there’s also fewer advocacy groups clamoring for housing dollars.

The Boston Archdiocese’s Planning Office for Urban Affairs is the other developer behind Cote Village. The group’s president, Lisa Alberghini, said it’s clear there has been a lack of investment in Mattapan, but she thinks Cote Village is evidence this is starting to change.

Alberghini said groups like Mattapan United and CIDC are coalescing — and that means “more opportunity for investment.”

“There needs to be local leadership that’s giving the city and the commonwealth an opportunity to work with local partners to make this happen,” Alberghini said.

Some say the lack of investment has left Mattapan struggling to catch up with a booming Boston economy.

The typical family in Mattapan, where more than 80 percent of residents are of African descent, makes $10,000 less than the rest of Boston families, census figures show.

A stone's throw from the Cote development, a new stop on the commuter rail -- Blue Hill Avenue Station -- is under construction. (Jesse Costa/WBUR)
A stone’s throw from the Cote development, a new stop on the commuter rail — Blue Hill Avenue Station — is under construction. (Jesse Costa/WBUR)

Mattapan wants change, but residents like Barbara Fields, an abutter to the Cote site and longtime community advocate, want that change to benefit locals first. They see gentrification in neighborhoods like East Boston and Roxbury as a cautionary tale.

“Mattapan seems to be primed for development right now,” Fields said.

Fields hopes the property can strike a balance between development and the kind of gentrification that leaves residents out in the cold.

“We’re not opposed to development and moving forward,” Fields said, “but we do not want just any kind of development, and we don’t want to change the positive things about Mattapan [like] the fact that we have trees and there is land.”

That means Fields wants less density, and she opposed other proposals for the Cote site that sought more apartments than the 76 units in store for Cote Village. (Fields also opposed the commuter rail station that’s being built behind her house.)

Home values in Mattapan are a third less than the rest of Boston, but Fields said something strange is starting to happen: Calls are coming in from people looking to buy homes in the neighborhood, pressuring her to sell.

Fields doesn’t like what that says about the direction Mattapan is headed.

“The times right now seem to be moving in the benefit of those who want to gentrify for financial purposes,” she said. “And so I think we have to be vigilant and stay on top of it so that the neighborhood does not get hurt by this.”

Field said she’s disappointed that a collaboration fell through between the developers of Cote Village and the Boys & Girls Club of Boston, which was part of the original Cote Village pitch. The club was considering establishing a presence on the Cote site, but both said they were unable to reach an agreement.

Fields still supports the proposal, but without the BGCB presence on the site, she said she might not have testified before the zoning board in favor of the project.

The developers say they continue to search for a partner that can offer preteen services at the Cote site.

Construction on Cote Village is slated to begin this summer, and open 15 months later.

This segment aired on February 8, 2018.

http://www.wbur.org/bostonomix/2018/02/08/mattapan-cote-village

SourceWBUR

MassHousing Provides $14.3 Million Financing for a Non-Profit Developer

MassHousing has provided a total of $14.3 million in financing to the nonprofit Fenway Community Development Corporation, for the renovation and preservation of 52 affordable housing units at the Fenway CDC’s Burbank Gardens community in Boston’s Fenway Neighborhood.

The MassHousing financing package will enable major renovations at the four-story development, and will resolve expiring affordability challenges at the property by extending affordability in perpetuity.

MassHousing provided Fenway CDC with a $3.8 million construction and permanent loan, a $5.5 million bridge loan, and $5 million from the Agency’s Opportunity Fund, which provides financing for MassHousing’s Workforce Housing Initiative and 13A Preservation Initiative.

Twenty-eight of the 52 units preserved at Burbank Gardens were originally financed under the state’s Section 13A housing affordability program, making them high preservation risks.

“With this refinancing, Burbank Gardens will remain a true mixed-income community, preserving a critical housing affordability resource in Boston,” said MassHousing Acting Executive Director Tom Lyons. “The scope of Massachusetts’s 13A preservation challenge is significant, with roughly 2,800 affordable units set to lose their affordability protections over the next three years, and no federal resources available for their preservation. The successful preservation of Burbank Gardens shows that, with committed partners like the Fenway CDC, the Department of Housing and Community Development, and the City of Boston, we can overcome the preservation challenges we face, and protect tenants at risk of displacement.”

 31 BURBANK ST. BURBANK GARDENS

The Commonwealth’s Section 13A program was created by the Massachusetts Legislature in the 1970s to provide low-interest mortgage financing to affordable housing communities. Today, 13A communities serve some of the lowest-income and most vulnerable populations in Massachusetts, including many elderly residents. The mortgages on these 13A housing communities are nearing maturity. In response, MassHousing and the Department of Housing and Community Development (DHCD) have committed a total of $100 million in capital to help preserve affordable 13A units that otherwise would convert to market rates.

The Burbank Gardens refinancing transaction resolves the expiring Section 13A rental subsidy on 28 of the 52 affordable units. Thirteen currently unrestricted units will convert to workforce housing apartments that will be affordable to moderate-income households earning up to $93,100 a year for a family of four. The remaining 39 units will be for low-income households earning between $31,000 and $62,040 a year for a family of four.

Fenway CDC acquired and preserved Burbank Gardens under Chapter 40T, a state law designed to help prevent affordable housing from being sold and converted to market-rate rents. DHCD administers Chapter 40T.

DHCD provided $3 million in financing and allocated Low-Income Housing Tax Credits that generated $4.8 million in financing for the $20.8 million transaction. The Community Economic Development Assistance Corporation (CEDAC) provided an $8.6 million acquisition loan, and the City of Boston contributed a total of $3.5 million in acquisition and preservation financing.

“We had been working with the management and residents at Burbank Gardens for a couple of years, laying the groundwork for preserving affordability for the residents,” said Leah Camhi, Fenway CDC’s Executive Director. “When the property came on the market, we dropped everything else to make sure that the tenants would be protected. Unlike most affordable housing deals, this was a sprint to the finish. We’re thrilled to be able to preserve the affordability in perpetuity as well as do much-needed updates to the building.”

Fenway CDC is undertaking approximately $4 million in property renovations at Burbank Gardens, including:

  • Construction of an accessible entry ramp and installation of a groundwater recharge system;
  • Repair and replacement of exterior balconies, windows, and doors;
  • Repair and replacement (including accessibility upgrades) of interior stairs, walkways, elevators and common areas, including the trash room, laundry room, mail room, and kitchen;
  • Repair and replacement (including accessibility upgrades) of unit kitchens, bathrooms, and flooring;
  • Life and safety improvements including fully-compliant fire alarm and sprinkler systems; and
  • Plumbing, electrical, and mechanical improvements.

Burbank Gardens is located at 31 Burbank St. in Boston and has 28 studio units, 22 one-bedroom apartments and 2 two-bedroom apartments in a four-story, brick building.

MassHousing has financed 6 affordable rental housing communities in the Fenway/Kenmore neighborhood totaling 766 units with $135.5 million in financing and has provided $1.1 billion in home mortgage financing for 8,217 homeowners in Boston.

MassHousing Provides $14.3 Million Financing for a Non-Profit Developer

SourceBoston Real Estate Times

Major Renovation of the 52-Unit Burbank Gardens in Boston is Underway, Resulting from $14.3 Million in MassHousing Financing

MassHousing has provided a total of $14.3 million in financing to the
nonprofit Fenway Community Development Corporation, for the renovation and preservation of 52
affordable housing units at the Fenway CDC’s Burbank Gardens community in Boston’s Fenway
Neighborhood. The MassHousing financing package will enable major renovations at the four-story
development, and will resolve expiring affordability challenges at the property by extending affordability
in perpetuity.
MassHousing provided Fenway CDC with a $3.8 million construction and permanent loan, a $5.5 million
bridge loan, and $5 million from the Agency’s Opportunity Fund, which provides financing for
MassHousing’s Workforce Housing Initiative and 13A Preservation Initiative. Twenty-eight of the 52
units preserved at Burbank Gardens were originally financed under the state’s Section 13A housing
affordability program, making them high preservation risks.
“With this refinancing, Burbank Gardens will remain a true mixed-income community, preserving a
critical housing affordability resource in Boston,” said MassHousing Acting Executive Director Tom
Lyons. “The scope of Massachusetts’s 13A preservation challenge is significant, with roughly 2,800
affordable units set to lose their affordability protections over the next three years, and no federal
resources available for their preservation. The successful preservation of Burbank Gardens shows that,
with committed partners like the Fenway CDC, the Department of Housing and Community
Development, and the City of Boston, we can overcome the preservation challenges we face, and
protect tenants at risk of displacement.”
The Commonwealth’s Section 13A program was created by the Massachusetts Legislature in the 1970s
to provide low-interest mortgage financing to affordable housing communities. Today, 13A communities
serve some of the lowest-income and most vulnerable populations in Massachusetts, including many
elderly residents. The mortgages on these 13A housing communities are nearing maturity. In response,
MassHousing and the Department of Housing and Community Development (DHCD) have committed a
total of $100 million in capital to help preserve affordable 13A units that otherwise would convert to
market rates.
Major Renovation of the 52-Unit Burbank Gardens in Boston is Underway, Resulting from
$14.3 Million in MassHousing Financing
| Page 2 of 3 |
The Burbank Gardens refinancing transaction resolves the expiring Section 13A rental subsidy on 28 of
the 52 affordable units. Thirteen currently unrestricted units will convert to workforce housing
apartments that will be affordable to moderate-income households earning up to $93,100 a year for a
family of four. The remaining 39 units will be for low-income households earning between $31,000 and
$62,040 a year for a family of four.
Fenway CDC acquired and preserved Burbank Gardens under Chapter 40T, a state law designed to help
prevent affordable housing from being sold and converted to market-rate rents. DHCD administers
Chapter 40T.
DHCD provided $3 million in financing and allocated Low-Income Housing Tax Credits that generated
$4.8 million in financing for the $20.8 million transaction. The Community Economic Development
Assistance Corporation (CEDAC) provided an $8.6 million acquisition loan, and the City of Boston
contributed a total of $3.5 million in acquisition and preservation financing.
“We had been working with the management and residents at Burbank Gardens for a couple of years,
laying the groundwork for preserving affordability for the residents,” said Leah Camhi, Fenway CDC’s
Executive Director. “When the property came on the market, we dropped everything else to make sure
that the tenants would be protected. Unlike most affordable housing deals, this was a sprint to the
finish. We’re thrilled to be able to preserve the affordability in perpetuity as well as do much-needed
updates to the building.”
Fenway CDC is undertaking approximately $4 million in property renovations at Burbank Gardens,
including:
• Construction of an accessible entry ramp and installation of a groundwater recharge system;
• Repair and replacement of exterior balconies, windows, and doors;
• Repair and replacement (including accessibility upgrades) of interior stairs, walkways, elevators
and common areas, including the trash room, laundry room, mail room, and kitchen;
• Repair and replacement (including accessibility upgrades) of unit kitchens, bathrooms, and
flooring;
• Life and safety improvements including fully-compliant fire alarm and sprinkler systems; and
• Plumbing, electrical, and mechanical improvements.
Burbank Gardens is located at 31 Burbank St. in Boston and has 28 studio units, 22 one-bedroom
apartments and 2 two-bedroom apartments in a four-story, brick building.
MassHousing has financed 6 affordable rental housing communities in the Fenway/Kenmore
neighborhood totaling 766 units with $135.5 million in financing and has provided $1.1 billion in home
mortgage financing for 8,217 homeowners in Boston.
Major Renovation of the 52-Unit Burbank Gardens in Boston is Underway, Resulting from
$14.3 Million in MassHousing Financing
| Page 3 of 3 |
About Fenway Community Development Corporation
Fenway CDC was incorporated in 1973 with a vision to both preserve and develop affordable housing
and affirmatively advance the community’s vision. Since their founding, Fenway CDC has expanded to
provide programs and services to improve the quality of life of residents and build a healthier
community by providing mixed-income housing, social support services, workforce development, and
civic engagement programs. On their own and in partnership, Fenway CDC has developed nearly 500
affordable homes, housing about 1,500 people, including people with AIDS and mental illness, seniors,
and families. For more information please visit www.Fenwaycdc.org.
About MassHousing
MassHousing (The Massachusetts Housing Finance Agency) is an independent, quasi-public agency
created in 1966 and charged with providing financing for affordable housing in Massachusetts. The
Agency raises capital by selling bonds and lends the proceeds to low- and moderate-income
homebuyers and homeowners, and to developers who build or preserve affordable and/or mixedincome
rental housing. MassHousing does not use taxpayer dollars to sustain its operations, although it
administers some publicly funded programs on behalf of the Commonwealth. Since its inception,
MassHousing has provided more than $22 billion for affordable housing. For more information, visit the
MassHousing website at www.masshousing.com, follow us on Twitter @MassHousing, subscribe to our
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Burbank Gardens Renovation Begins In Fenway

SourceBoston Bisnow

‘I’m going to feel like Rockefeller’

Ronnie Forziati’s hands shook from excitement as he toured the apartments at 43 Boston St.

Forziati, who was homeless and used to live in a cardboard box in Florida, is one of 12 residents who will move into the newly renovated building in March, benefiting from a Harborlight Community Partners project designed to provide housing for homeless, or formerly homeless, individuals.

“It’s good. There should be more of this,” Forziati, 55, said Thursday. “There’s a lot of people out there.”

Harborlight, which builds and manages affordable housing, purchased 43 Boston St. about nine months ago, according to Andrew DeFranza, its executive director. The nonprofit also bought 179 Boston St. the same day — both were rooming houses owned by the same group — and will soon renovate that building into 14 apartments to be finished July 1.

The combined 26 units, called Boston Street Crossing, will take in 11 residents who were living at either of the properties before (all were shifted to 179 Boston St. while work began at the other home); nine living within Salem, Beverly or Peabody, some of which have been at Lifebridge’s shelters; and six from other communities.

The 11 current residents have a palpable bond, easily felt as they toured the apartments together. Each room is bright with multiple windows, a kitchenette and private bathroom — a luxury since the property didn’t used to have a stove, and bathrooms at both homes were shared.

Forziati said he’s excited, but he’ll need some time to adjust. He’s lived at 179 Boston St. for three years, he said, and is close with the neighbors.

Along with homelessness, Forziati, originally from East Boston, struggled with drug and alcohol addiction for 35 years.  Alcoholism began during childhood, he said.

“My father was a vicious alcoholic,” he said, adding that there was always wine in his house.

He also survived a work-related injury years ago while living in Florida. The accident, involving hot tar, burned 27 percent of his body.

“They thought I would never be able to walk again or use my arms,” he said. “I beat that.”

Following treatment, Forziati entered a drug rehab program and stayed for 18 months. Those he worked with there said relapse was likely, and addiction grabbed Forziati again. He spent 12 years in prison on addiction-related crimes.

“A lot went with it with the mental health,” he said, adding that the accident left him “disfigured.” “It was real hard.”

When he was released from prison, he questioned why he kept sinking into the same pattern. He waited 18 months, living on the street, for a bed to open up at another in-patient rehab program in Florida.

The call came one day, and he entered with nothing except some money, clothes and his phone.

“I’ve been clean and sober ever since,” he said.

That was 13 years ago.

Maintaining sobriety is a lot of work, Forziati said. The first five years were the hardest.

“Like a little baby, I had to be taught all over,” he said. “I had to get rid of all the negativity, all my dirt and start a new life of being honest and being humble.”

Pulling himself out of homelessness has come with its own challenges. Forziati is on disability, and rent at the rooming house was $700 a month.

But Harborlight was able to secure both properties with the help of the state Department of Housing and Community Development’s Housing Preservation Stabilization Trust Fund, DeFranza said. It comes with a rent subsidy, plus an on-site caseworker, shared between the two homes.

For Forziati, his rent will be cut in half and he’ll actually have extra money.

“I’m going to feel like Rockefeller, you know?” Forziati said.

‘It’s all falling into place’

Terrence Phillips, 49, lived at 43 Boston St. for two years before moving to the other property about a year ago when renovations started. A Dorchester native, he lived with his mom in Lynn until she passed away three years ago.

Like Forziati, Phillips has also battled addiction — cocaine was his drug of choice — and spent time in and out of jail. Finding a new place was difficult.

Moving to the rooming house put a roof over his head, but the $600 rent was his whole check from social security at the time.

“I was grateful for that,” he said of the accommodations. “I’m here, it’s been a long struggle. I’m going to make it pay off.”

He’s been sober for four years, and along with the support of the other residents, he has his girlfriend. She was his first girlfriend back in the 1980s and they recently reconnected.

She drives to Salem every day to see him, he said.

“It’s all falling into place,” he said. The subsidized rent allows him to save money, and he already has a goal in mind: regaining his driver’s license.

It will cost $1,500, and will take some time to save.

“I went for almost 30 years like that, no license because of the money,” he said. “Eventually I’ll be behind the wheel.”

Along with things like driving himself to doctors’ appointments, Phillips is excited at the idea of driving to see his girlfriend.

He also wants to save money to travel, he said.

“I have nothing holding me back,” he said. “It’s just because somebody decided to buy this building and do something with it.”

Growing need

Completing projects like this take time and multiple funding sources, DeFranza said. The pool of homeless, or formerly homeless, people looking for housing they can afford is ever growing.

Ninety people applied to live in the new complex and of those, 56 came from Beverly, Salem or Peabody. Harborlight used a lottery system to decide who would get to move in.

The mayors of the three cities signed a memorandum of understanding last year pledging to build more housing for the homeless. One portion of this mandates that each construct 15 apartments for homeless individuals within five years of signing. This project falls into that criteria.

While DeFranza said there isn’t a negative aspect of completing a project like this, “it’s hard” and takes awhile.

“It’s going to improve their physical health, their mental health, their long-term stability and their ability to be productive in society and be positive for their families,” he said.

Arianna MacNeill can be reached at 978-338-2527 or at amacneill@salemnews.com. Follow her on Twitter at @SN_AMacNeill.

Boston Street Crossing

26 apartments for homeless, or formerly homeless, individuals

12 studios at 43 Boston St., 14 at 179 Boston St.

Residents must make below 30 percent of the area median income for an individual — $21,700

70 percent of the apartments had “local preference” — residents had to come from Salem, Peabody or Beverly

90 people applied to live there, 56 were from Salem, Beverly or Peabody

11 went to existing residents, nine to those living in the three cities, six to those outside.

http://www.salemnews.com/news/local_news/i-m-going-to-feel-like-rockefeller/article_fd540ca9-857b-57ec-acfa-0ea4cceecdb9.html

SourceThe Salem News

Affordable senior housing coming to Devens

SHIRLEY — Up to 120 units of affordable housing for senior citizens are coming to Devens.

A $380,000 loan from the Community Economic Development Assistance Corporation will be used to develop Shirley Commons.

The development will take place over two phases, according to CEDAC. The first phase will include 58 units of supportive housing units. Of those, 15 of them will be for seniors who were previously homeless.

“It is encouraging to see non-profit community development organizations from across the Commonwealth recognize the need for quality affordable housing and work with local residents to make these projects a reality,” Executive Director Roger Herzog said in a news release.

Residents will have access to community space and services through CHOICE, Inc.

The Women’s Institute Reality will develop the units.

Shirley Commons is one of three affordable housing developments that will be funded through a $1.63 million loan from CEDAC. The other sites will be in Worcester and Springfield.

Follow Mina on Twitter @mlcorpuz.

Read more: http://www.nashobavalleyvoice.com/ci_31621686/affordable-senior-housing-coming-devens#ixzz55sxTHqjv

SourceNashoba Valley Voice

CEDAC Increases Limits on Home Modification Loans

A state lending program that helps qualifying participants finance home modifications has increased the maximum loan amount available to eligible borrowers.

The new maximum loan amount for the Home Modification Loan Program (HMLP) has been raised from $30,000 to $50,000, the Community Economic Development Assistance Corp. (CEDAC) announced today. The change reflects the increases in construction costs across Massachusetts communities over the past 10 years.

“We are deeply committed to our participation in a program that is transformational for so many Massachusetts residents,” HMLP Project Manager Susan Gillam said in a statement. “This increase in loan amounts for eligible borrowers will help them to fully realize their projects and not forego essential modifications to accommodate their special needs due to budget concerns.”

The HMLP has made more than 2,700 loans and disbursed nearly $63 million since the program’s inception in 2000. CEDAC works in cooperation with the Massachusetts Rehabilitation Commission and the Department of Housing and Community Development to administer the program and six nonprofit regional Provider Agencies work directly with applicants on their projects.

Eligible borrowers may qualify for a 0 percent interest, deferred payment loan. The loan does not require monthly payments. Full repayment is required when the property is sold or has its title transferred.

CEDAC Increases Limits on Home Modification Loans

SourceBanker & Tradesman

Main South CDC gets financing for housing on Grand St.

The Community Economic Development Assistance Corporation has provided $200,000 in predevelopment financing and up to $900,000 in acquisition financing to Main South CDC for the 92 Grand St. project in Worcester.

Main South CDC plans to purchase and redevelop a vacant lot in the University Park/LoomWorks neighborhood to create 49 units of affordable housing.

The site is adjacent to the CDC’s successful revitalization effort in the Kilby-Gardner-Hammond section of the Main South neighborhood that resulted in the creation and rehabilitation of 71 units of affordable rental housing and 42 homeownership units.

The development of 92 Grand St., which has already received funding support from Clark University, the Boys & Girls Club, and the City of Worcester, will include 13 units of housing for extremely low-income households, 6 units will be fully accessible, and commercial space.

http://www.telegram.com/news/20180118/main-south-cdc-gets-financing-for-housing-on-grand-st

SourceWorcester Telegram