Tenant groups will rehabilitate 36 units—most for households making at or below $59,000 a year
WASHINGTON – (RealEstateRama) — The DC Department of Housing and Community Development (DHCD) recently closed on two loans totaling more than $3.5 million that will preserve 36 units of affordable housing in Wards 7 and 8 for two tenant associations. Most units will be set-aside for households making no more than $59,000 a year (50 percent of the 2018 Median Family Income [MFI] for a family of four). Financing was provided through the Housing Production Trust Fund (HPTF).
“Mayor Bowser’s unprecedented investments in affordable housing are making it possible for the Housing Production Trust Fund to provide critical gap financing that helps tenants acquire and repair their properties,” said DHCD Director Polly Donaldson. “This preserves long-term affordability and ensures that residents maintain their deep roots in the District.”
The 22 Atlantic Cooperative Association, Inc., received $2,669,924 in HPTF financing to help rehabilitate 15 units of affordable housing at 22 Atlantic Street SE in the Bellevue neighborhood of Ward 8. The cooperative plans to preserve affordability as follows: (1) eight units at or below $58,600 (50 percent MFI); (2); four units at or below $70,320 (60 percent MFI); and (3) three units at or below $35,160 (30 percent MFI).
“It has been a long time since we started the tenant purchase process, but we finally settled with DHCD and I can’t tell you how appreciative and thankful we are,” said Cooperative Vice President LaVerne Grant.
DHCD provided $$900,000 in HPTF financing to BCC Preservation Fund I LLC, an entity led by Manna Inc., for acquisition and critical repair costs at 2530-2532 Park Place SE in the Randle Heights neighborhood of Ward 7. The 2530-2532 Park Place Tenants Association assigned its rights under the Tenant Opportunity to Purchase Act (TOPA) to Manna in mid-2017. All 21 units have two bedrooms and one bath and will be designated as follows: six units at or below $35,160 (30 percent MFI) and 15 units at or below $58,600 (50 percent MFI). The units would remain affordable for 40 years and a rent stabilization plan would be developed for existing tenants.
“Park Place is an important project because it preserves affordable housing opportunities in the District,” said Manna President and CEO Rev. Jim Dickerson. “Manna is proud to be of this effort.”
Bowser Administration’s Commitment to Affordable Housing
Since coming into office, the Bowser Administration has sparked the creation or preservation of more than 11,000 affordable units, with another 5,200 under construction. For the fourth year in a row, Mayor Bowser’s budget includes an unprecedented $100 million for the HPTF. One project supports the Mayor’s implementation of a key recommendation of the Housing Preservation Strike Force—to improve preservation under TOPA. Earlier this year, the Mayor announced new Strike Force initiatives: the appointment of a preservation officer and the selection of two managers for a $10 million public-private preservation fund.