CEDAC Early-Stage Funding in Q3 of FY2025 Will Help Create or Preserve Affordable Housing in Communities Across the Commonwealth

Today CEDAC announced that its early-stage project financing commitments during the third quarter of FY2025 will help to create or preserve affordable housing in communities across the Commonwealth. These projects will address a range of affordable housing needs including permanent supportive housing and new affordable housing production.

The total commitment of $2,250,000 in predevelopment financing to seven (7) projects will promote affordable housing development by community development corporations and other non-profit entities in communities throughout Massachusetts, including in Beverly, Boston, Cambridge, Leominster, Lynn and Malden.

With these third quarter financing commitments, CEDAC has approved commitments of over $27 million to 32 affordable housing projects for the first nine months of FY2025. This quarter in particular, CEDAC committed more than $200,000 in financing under a new decarbonization predevelopment loan program, offered in partnership with the Massachusetts Housing Partnership, made possible in part by a grant from The Boston Foundation. Under this pilot program, predevelopment loans are made available at a reduced (3%) interest rate to fund costs relating to decarbonization and climate resiliency, to support green retrofit of existing affordable housing and other buildings being converted to affordable housing use.

“CEDAC’s lending activities in the third quarter of 2025 helped to advance the development of a number of important affordable housing projects that will support individuals and families across Massachusetts,” said CEDAC’s Executive Director, Roger Herzog. “We look forward to continuing our financing and technical assistance work with non-profit community partners as these projects move forward into construction.”

Learn more about the projects here.

Healey-Driscoll Administration and CEDAC Announce Selection of New Executive Director

BOSTON (April 23, 2025) – The Community Economic Development Assistance Corporation (CEDAC) and the Massachusetts Executive Office of Housing and Livable Communities (EOHLC) today announced the selection of its new executive director.

Affordable housing and housing finance expert, Ethan Handelman, has been selected as CEDAC’s new executive director, effective June 1. Handelman will replace Roger Herzog, who will retire this spring.

CEDAC’s Board of Directors partnered with global executive search firm, DSG Koya, to conduct a robust national search that included input from many important partners and stakeholders in the affordable housing community and the community economic development sector. From a pool of outstanding candidates, Handelman was the unanimous choice of the search committee and CEDAC Board of Directors.

“CEDAC is entering a new era of leadership at a time when the Healey-Driscoll Administration is doubling down on its commitment to making housing more affordable and accessible to all through a multifront strategy that includes the Affordable Homes Act, implementation of the MBTA Communities Law and the state’s first comprehensive housing plan,” said Ed Augustus, Secretary of Housing and Livable Communities. “Roger Herzog has accomplished so much during his 16-year tenure as Executive Director of CEDAC, enabling community-based organizations to create affordable housing with access to financing and other technical support. With more than two decades of housing experience, Ethan Handelman is the ideal leader to carry that legacy forward and build upon CEDAC’s long history.”

As the new executive director of CEDAC, Handelman will lead the organization, including its affiliate, the Children’s Investment Fund (CIF), through its next phase of growth and development as it continues to provide project financing and technical expertise for community-based and other nonprofit organizations engaged in effective community development in Massachusetts. He will also oversee CEDAC’s work as an underwriting agent for EOHLC for multiple state bond programs that finance the production and preservation of supportive housing for vulnerable populations.

“Massachusetts is uniquely fortunate to have an organization like CEDAC that provides robust early-stage financing support that can be accessed by virtually any community development corporation across the Commonwealth,” said Ethan Handelman, CEDAC’s newly selected Executive Director. “It’s a great honor to be selected for this role leading such a remarkable team and entrusted with carrying on Roger’s tremendous work.”

“I’m delighted that the CEDAC Board has chosen Ethan as the agency’s next Executive Director,” said Roger Herzog, CEDAC’s current Executive Director, whose career at the organization spans more than 25 years. “His impressive career history with HUD and FHFA, as well as with the National Housing Conference and other organizations, assures that CEDAC will remain well positioned as a crucial housing finance resource into the future.”

Handelman has been a long-time leader in affordable housing and housing finance in the public and private sectors. Most recently, he served as the Deputy Assistant Secretary for the Office of Multifamily Housing Programs at the U.S. Department of Housing and Urban Development (HUD), a position he was appointed to by President Biden in February 2021. Prior to joining HUD, Handelman was a Senior Policy Analyst at the Federal Housing Finance Agency (FHFA) in the Office of Housing and Community Investment, which oversees the affordable housing mission activities of Fannie Mae, Freddie Mac, and the Federal Home Loan Banks. Before FHFA, he spent seven years as Vice President for Policy and Advocacy at the National Housing Conference (NHC), finishing his time as Acting CEO. Handelman also previously led the advisory practice at Massachusetts-based Recap Real Estate Advisors, assisting public and private-sector clients to understand and shape the affordable housing financial and policy environment. He holds a Master of Arts in International Relations from Harvard University and a Bachelor of Arts in Political Science from University of Michigan.

As we look forward to welcoming Ethan Handelman in June, we share a note of gratitude to Roger Herzog for his many years of service. Roger joined CEDAC in 1999 and has played a pivotal role in advancing the agency’s mission and culture. As Executive Director since 2008, he has worked with the dedicated CEDAC board and staff to support the creation and preservation of affordable housing through its partnerships with federal, state, and local agencies, community development corporations (CDCs) and other non-profit housing organizations.

CEDAC Announces Recipients of The Small Property State Acquisition Fund

BOSTON (April 2, 2025) – CEDAC is pleased to announce that three nonprofit housing organizations have been awarded funding as part of the pilot round of the Small Property State Acquisition Fund (SPAF) Program.

The SPAF Program offers acquisition financing to eligible nonprofit housing organizations of up to $450,000 for the purchase of existing smaller residential properties of 1-8 units. This state capital funding is provided in the form of zero-interest deferred payment loans with 30-50 year terms.

“While we work to build the housing that Massachusetts residents need now and into the future, it is essential that we preserve and maintain the affordable housing we already have,” said Executive Office of Housing and Livable Communities Secretary Ed Augustus. “Every property that we can keep affordable and every family we can keep in an affordable home has an outsized impact in our communities. The Executive Office of Housing and Livable Communities is grateful to CEDAC and our nonprofit partners for the incredible work they do through the SPAF program to save affordable properties and keep people in their homes.”

“The SPAF Program will provide critical financing to nonprofit organizations to help them preserve existing tenancies in small residential properties and create long-term affordability for residents,” said CEDAC’s Executive Director, Roger Herzog. “We’re grateful for the partnership of Governor Healey, Secretary Augustus and the Administration as they continue to make affordable housing a top priority.”

The nonprofit housing organizations that will receive financing include:

Boston Neighborhood Community Land Trust
Chinatown Community Land Trust
Dorchester Bay

Learn more about the SPAF award recipients here.

CEDAC Provides Over $9.2 Million in Early-Stage Financing for Affordable Housing Projects

CEDAC has underwritten and will support fourteen affordable housing projects that received funding awards in the most recent competitive round of affordable housing led by the Massachusetts Executive Office of Housing and Livable Communities (EOHLC). CEDAC also committed a total to date of $9,265,000 in early-stage financing to five of these projects, including:

Warren Hall Apartments, Boston: CEDAC provided $7.2 million in acquisition financing to Allston Brighton Community Development Corporation (ABCDC), as part of a joint venture with The Schochet Companies, to purchase the historic Warren Hall property in Brighton which will be preserved as affordable housing for the Allston-Brighton community. The property, built in 1879 and which previously held a bar on the premises where legendary band The Doors once performed, currently contains 33 apartments and 4,800 square feet of commercial space; the redevelopment will create 2 new accessible units. Thirty-three of the 35 units are designated as affordable housing, with 8 units set aside for residents with incomes at or below 30% of the AMI (Area Median Income).

Asbury Common, Hamilton: Asbury Common is a 45-unit affordable family rental project. The development is 100% affordable with 16 units restricted for residents at or below the 30% AMI threshold. CEDAC has supported this project since 2022 and provided $700,000 in a predevelopment loan to Harborlight Homes.

Marriner Mill 4B, Lawrence: Marriner Mill 4B is a 100% affordable, 76-unit development project stewarded by Lawrence Community Works with 21 of the units reserved for residents with incomes at or below 30% AMI. The 4B project is the second of two phases through which the large former mill building will be redeveloped. In total the ambitious initiative will create 148 new affordable housing units while preserving an important historic asset. CEDAC provided $904,500 in predevelopment funding for the project.

Residences at El Centro, Salem: North Shore Community Development Coalition (NSCDC) and North Shore Community Health Center (NSCH) have entered into a joint venture to develop this waterfront El Centro campus project. CEDAC provided a $515,000 predevelopment loan for the 48-unit senior housing development. The project is 100% affordable and is spread across two buildings which will connect the commercial section of the area with the revitalized Harborwalk. Additionally, 8 of the 48 units will be reserved for residents with incomes at or below 30% AMI, supported by project-based vouchers under the Massachusetts Rental Voucher Program, while the other 40 units will be reserved for residents with incomes at or below 50% AMI, supported by rent subsidies from the HUD 202 Funding for the Elderly program.

Saint Ann’s Senior Village, Wayland: CEDAC provided the Planning Office for Urban Affairs (POUA) with $400,000 in predevelopment funding for this development which will provide affordable housing to seniors. All of the project’s 60 units are affordable, with 15 of said units reserved for residents with incomes at or below 30% AMI.

Announcing CEDAC’s 2024 Annual Report

Today, CEDAC proudly released our 2024 Annual Report. The report highlights many of the impactful projects that we helped fund throughout the year.

Through our collaborations with over 41 community-based partners and more than 20 funders, we provided $44.5 million in early-stage funding and technical assistance for projects that were creating or preserving over 2,300 units of affordable housing. Our affiliate community development financial institution, Children’s Investment Fund (CIF), also had a strong year by arranging $2.1 million in loans and grants to help finance 11 early education and child care facilities. CIF’s involvement with these projects reinforces our commitment to the early success of future generations.

The report’s featured projects would not be possible without the collaboration and support of our public and private partners and funders.

Our efforts were especially important in light of the Healey-Driscoll Administration’s work with the Legislature to pass the Affordable Homes Act (AHA), the Commonwealth’s largest public investment into creating and preserving affordable housing to date. Through this historic $5.16 billion commitment, the Administration plans to support the production, preservation and rehabilitation of more than 65,000 homes across the state over the next five years.

I have had the pleasure and honor of working at CEDAC for 25 years and the FY 2024 report is a testament to the hard work of everyone in our organization, from our talented staffers to our incredible Board of Directors. While I am stepping down as executive director later this year, CEDAC and CIF are deeply committed to carry out our dual mission and support community development around the Commonwealth.

We hope the report provides insight into CEDAC’s work during the past year and inspires you to support our work in helping shape the Commonwealth’s housing future.

CEDAC Early-Stage Project Funding Q2 FY2025

CEDAC Early-Stage Funding in Q2 of FY2025 Will Help Create or Preserve Affordable Housing
in Communities Across the Commonwealth

Project funding totaled over $1.7 million in predevelopment and acquisition financing.

BOSTON (February 13, 2025) – The Community Economic Development Assistance Corporation (CEDAC) announced today that its early-stage project financing commitments during the second quarter of FY2025 will help to create or preserve affordable housing in communities across the Commonwealth. These projects will address a range of affordable housing needs including permanent supportive housing and new affordable housing production.

The total commitment of $1,724,000 in acquisition and predevelopment financing to seven (7) projects will promote affordable housing development by community development corporations and other non-profit entities in communities throughout Massachusetts, including in Athol, Hadley, and Lawrence. With these second quarter financing commitments, CEDAC has approved commitments of about $25 million to 25 affordable housing projects for the first six months of FY2025.

“CEDAC’s lending activities during the second quarter helped to advance critical affordable housing projects that will increase the number of quality housing options for individuals and families in need” said CEDAC’s Executive Director, Roger Herzog. “We look forward to working closely with our non-profit community partners to provide financing and technical assistance support on similar projects throughout the remainder of the year.”

Examples of the housing projects under development assisted by CEDAC’s Q2 FY2025 loan commitments include:

Bigelow-Riverbend Schools, Athol: NewVue Communities Inc. (NewVue) will utilize $200,000 in predevelopment lending from CEDAC to finalize its plan to redevelop the Bigelow-Riverbend Schools, historic elementary school buildings in Athol. The new building will hold a total of 53 units, with 33 units reserved for families and 20 one-bedroom units reserved for older adults (aged 55+).
The Econo Lodge Redevelopment, Hadley: Valley Community Development Corporation (Valley CDC) plans to convert the Econo Lodge Motel in Hadley into 50 units of permanent supportive housing (PSH). The units will be broken down into 39 studio apartments and 11 one-bedroom apartments. CEDAC recently committed a $400,000 predevelopment loan increase to Valley CDC for the project, in addition to previously committing to the organization $4.1 million in acquisition financing and an initial $400,000 predevelopment loan, bringing the total funding amount to $4,900,000, which will help to create more affordable housing options in the Hadley community. This is one of several hotel conversion projects that CEDAC is currently assisting, with the plan to create PSH units for homeless individuals.
Capernaum Place, Lawrence: Leveraging a $200,000 predevelopment loan from CEDAC, Lazarus House, Inc. plans to renovate Capernaum Place in Lawrence to increase the number of housing units from 20 to 25. Eighteen of the units will become permanent supportive housing with the remaining 7 units used as transitional housing.

About CEDAC

CEDAC is a public-private community development financial institution that provides project financing and technical expertise for community-based and other non-profit organizations engaged in effective community development in Massachusetts. CEDAC’s work supports two key building blocks of community development: affordable housing and early care and education. CEDAC is also active in state and national housing preservation policy research and development and is widely recognized as a leader in the non-profit community development industry. For additional information on CEDAC and its current projects, please visit www.cedac.org.

The Home Modification Loan Program and ADUs

An accessory dwelling unit (ADU) project in Sandwich, Massachusetts that was completed through the Home Modification Loan Program (HMLP). Photo Credit: Andy Levine

The Home Modification Loan Program (HMLP) is a valuable financial resource for qualifying Massachusetts homeowners. This state-funded program offers zero percent interest loans of up to $50,000 to assist homeowners who create a more accessible home by providing financing for projects such as ramps and lifts, and kitchen and bathroom modifications.

Over 3,000 people have utilized the program since 1999 to finance a broad range of capital improvements. Some families have used it to fund the paving of their driveway and others have used it to create a sensory space for their family member with autism. Another improvement that more qualifying homeowners and families might consider is the development of an accessory dwelling unit (ADU).

Accessory Dwelling Units are “secondary residential units” that are located on the same plot of land as an existing primary residence. ADUs can take several forms, from unfinished basements or garages converted to apartments to new stand-alone structures. ADUs offer great potential to increase housing production and stem the state’s housing crisis. In 2024, Governor Healey signed the Affordable Homes Act, which includes provisions to amend the zoning law and allow ADUs up to 900 sq ft to be “built by right in single family zoning districts.”

Within the parameters of the HMLP program, ADUs provide an important opportunity to create supportive housing for senior household members (age 60 and up) and family members with disabilities by enabling them to live nearby while also granting them their own private space. Additionally, ADUs require less water and electricity to operate. This alleviates financial strain on homeowners who can now provide an affordable housing solution for family members.

View this video on how HMLP could be a resource to assist with the development of your ADU project.

CEDAC Launches New Decarbonization Predevelopment Loan Program in Partnership with MHP

A rendering of the proposed deep energy retrofit, including the solar panels on the roof of the buildings, that will be constructed at Hano Homes by Allston Brighton Community Development Corporation. Photo Credit: Onion Flats Architecture

CEDAC, in partnership with the Massachusetts Housing Partnership, is launching a new predevelopment loan program to help nonprofit and resident-controlled organizations plan for decarbonization and climate resiliency in their affordable housing projects. As described in the CEDAC/MHP Predevelopment Decarbonization Loan term sheet, funding of up to $100,000 per project will be made available at a reduced interest rate of 3%.

These loan proceeds can cover not only decarbonization assessments but also other associated costs, such as design, consultant fees and engineering work, so long as the work will support sustainability and decarbonization. While the primary purpose of the program is to support green retrofit of existing buildings, some funding may also be available to support production of new, high performance affordable housing.

Decarbonization is the reduction of greenhouse gas emissions related to the energy consumption required to operate a building.[1] In multifamily housing, decarbonization can be achieved in many ways, including:

Reducing heat loss through insulation, installation of energy-efficient windows and doors, and improvements to the building envelope
Shifting away from fossil fuels as a source of energy, including use of efficient heat pump systems for heating and cooling, and using electric stoves rather than gas

The Massachusetts Clean Energy Plan calls for reductions in greenhouse gas emissions from both residential and commercial building heating systems by 28% below 1990 levels in 2025 and 47% below 1990 levels in 2030. The recently-enacted Affordable Homes Act also requires that state capital funding prioritize projects that include energy efficiency, electrification and decarbonization measures, such as:

Electric or ground source heat pumps
Net-zero developments
Passive House institute certification or equivalent
All-electric buildings and projects that incorporate green, sustainable and climate-resilient elements

The Massachusetts Draft 2025-2026 Qualified Allocation Plan issued by the Executive Office of Housing and Livable Communities (HLC) incorporates these priorities as part of its competitive scoring system. HLC expects all project sponsors to incorporate Enterprise Green Communities standards into their approach to rehabilitation and urges sponsors to incorporate other green and sustainable development characteristics as well.

In addition, many cities and towns have adopted stretch energy codes and other local laws to reduce greenhouse gas emissions, and many of these requirements apply to existing buildings. This includes Boston’s Building Emissions Reduction and Disclosure ordinance, which sets requirements for large existing buildings to reduce their greenhouse gas emissions over time.

This new CEDAC-MHP predevelopment loan program will serve as an important resource to help affordable housing owners understand both the challenges and opportunities when planning for decarbonization and sustainability in housing preservation projects.

[1] I want to decarbonize my property. What does that mean?

The Home Modification Loan Program in Berkshire County and Chicopee

The state’s Home Modification Loan Program (HMLP) continues to be a vital resource in helping seniors, homeowners with disabilities or family members with disabilities modify their homes to enhance accessibility. Since 1999, the program has provided over 3,000 households the financial assistance to implement modifications that improved quality of life and accessibility.

The Berkshire Eagle recently featured Williamstown couple Marcia and Ronald MacInnis. Since purchasing their home in 2022, the couple had largely self-funded over $112,000 to cover unexpected repairs. To pave their gravel driveway, the couple used a zero-interest HMLP loan (the maximum limit for homeowners is $50,000). Since Marcia has osteoporosis and arthritis, paving the driveway addressed an accessibility issue.

Danielle, a Chicopee homeowner and mother, used the HMLP loan to assist her daughter, who has autism. She purchased her home in 2023 and initially considered a piecemeal approach toward modification. After a friend’s recommendation and some online research, she sought out WayFinders, a Western Mass. affordable housing organization, for an HMLP application. Once paperwork was filed, Danielle’s home, built in 1925, was improved with recommendations from her daughter’s healthcare provider. It now has a sensory room, a designated space that enables her daughter to explore and develop her senses and skills safely in a controlled environment, as well as a modified bathroom and backyard. These changes ensure that her daughter has a safer home more sensitive to her unique experience.

The preceding stories are just a few examples of how the HMLP can assist homeowners make these necessary modifications. Both families have created a more accessible home without incurring a heavy financial burden. Furthermore, HMLP loans are deferred payment loans, so these homeowners will not be required to make monthly payments, with the loan repaid when they sell or transfer ownership of their respective properties. These stories also illustrate that more qualifying homeowners can be helped by the program. Another HMLP loan benefit is that homeowners can adapt their living space to suit their personal requirements, so they are able to stay longer in their chosen home without having to find alternative options. It’s another avenue for affordable housing that is available to Massachusetts homeowners.

For more information on The Home Modification Loan Program, click here.

The Home Modification Loan Program Is A “Huge Untapped Resource” For The Berkshires

The Home Loan Modification Program is helping families across the Commonwealth enhance their properties’ accessibility. The story below from The Berkshire Eagle features a Williamstown couple that recently utilized the HMLP to help improve the home they purchased two years ago. Despite the significant benefits, the couple was only one of a few residents in Berkshire County to take advantage of the loan program. One of those benefits: the loan only has to be repaid if sells or transfers their property within the loan’s 50-year mortgage period. Furthermore, the income limit to apply for a loan rests at almost $300,000 for a family of four.

The Home Modification Loan Program is a “huge untapped resource” for the Berkshires. Here’s how it works. Read More