HPTF and Federal Resources Used to Produce Affordable Housing in Ward 6 Community
WASHINGTON, DC – (RealEstateRama) — The DC Department of Housing and Community Development (DHCD) has closed a loan agreement to produce 36 new affordable rental housing units in the Capitol Riverfront neighborhood of Ward 6 through funding from the Housing Production Trust Fund (HPTF) and federal tax credits.
|Real Estate Research Center|
|The Boulder Group|
|Search The Boulder Group:|
|WebSite – in News – in Social – in Web|
DHCD provided Square 769N Affordable, LP, a partnership between Urban Atlantic, LLC, Forest City Residential, Inc. and the DC Housing Authority (DCHA), with more than $1.8 million in HPTF financing as part of a project that will build a new 10-story 179-unit apartment building at 1100 Second Place SE. The project also received equity financing through an offering of $999,000 in 9 percent low income housing tax credits (LIHTC) administered by DHCD.
“One of DHCD’s priorities is addressing concerns from residents that it’s hard to produce affordable housing in increasingly popular areas of the city,” said DHCD Director Polly Donaldson. “Square 769N shows that by using gap financing sources such as the Housing Production Trust Fund and federal tax credits, we can ensure individuals across all income spectrums can live in transitioning neighborhoods. As a result, District residents will have access to affordable housing steps away from amenities such as Metrorail, restaurants and recreational facilities.”
The 36 units in Square 769N will remain affordable to households earning no more than 50 percent of the Area Median Income (AMI) for at least the next 40 years. No fewer than nine of these units will be reserved for Permanent Supportive Housing.
Square 769N is part of the Arthur Capper Carrollsburg Redevelopment project, and will be located near Canal Park, the Navy Yard Metro, restaurants and shopping. The property is also close to recreational facilities such as Nationals Park and the upcoming DC United Stadium.
In October, Mayor Bowser celebrated the unprecedented investment of over $100 million from the HPTF for FY 2016. The $106.3 million supports 19 projects that will produce or preserve more than 1,200 affordable housing units in all 8 wards. And in just the four months of FY 2017, one half of the HPTF already is allocated to projects that will produce and preserve affordable housing across four Wards.
Since taking office, Mayor Bowser has made affordable housing a major focus of her administration.
She has committed $100 million annually to the fund each year of her administration, and will include that figure in her upcoming FY2018 budget proposal. This commitment is more than any city per capita in the country. A report issued by Center for Community Change shows that the District’s $100 million fund more than tripled the next highest fund amount for a U.S. city. Compared to states, DC’s trust fund is the country’s second largest.
Since January 2015, the Bowser Administration has produced and preserved over 3,100 units of affordable housing units in the District with more to come. More than 3,700 affordable housing units—capable of housing more than 9,250 District residents—are in the development pipeline.