BOSTON, MA – In line with its mission to preserve affordable housing, the NHP Foundation announced that it has purchased Blue Mountain Apartments in Boston, Massachusetts for $ 56.2 million. The organization will make improvements to the apartments, including kitchen and bathroom renovations, system upgrades, energy efficient boilers, new ventilation systems, and outdoor repairs and restorations.
MassHousing is providing the NHP Foundation with $ 52.2 million in construction to provide permanent funding to purchase and refurbish the 19 historic buildings that make up the community and $ 12.5 million in permanent funding Financing for the acquisition of land.
"The partnership between NHPF and MassHousing enables us to offer affordable units in an increasingly expensive neighborhood near the city center with easy access to public transportation," said Chrystal Kornegay, Executive Director of MassHousing. "Maintaining affordable housing with amenities and access will help improve the opportunities for families in the region to thrive and thrive."
The transaction also included $ 35.5 million in low income housing equity and historic tax credits, $ 4.5 million in state historic tax credits, and $ 3 million in expected operating income. PNC Bank acted as the low-income housing investor and historical tax credit investor for the transaction.
"PNC has had an interest in Blue Mountain Apartments for several years after a PNC-sponsored conservation fund acquired the property to generate an economic return and prevent the property from converting into marketable homes," said Todd Crow, PNC executive vice president Real estate. "Working with NHPF has allowed us to create an attractive investment for our investors and maintain affordability for residents over the long term. This is the ultimate goal of PNC's product capability and affordable housing platform."
Other funding partners included BlueHub Capital, the state historic tax credit lender, the Massachusetts Historical Commission, the Massachusetts Department of Housing and Community Development, and the US Department of Housing and Urban Development ( Rental assistant).
"There are two benefits to maintaining historically significant properties like Blue Mountain," said Mecky Adnani, senior vice president of NHPF. "We are preserving the lively, historic structure of this neighborhood in Roxbury and ensuring that rental apartments here remain affordable until at least 2045."
The 217 units in the Blue Mountain Apartments are located in 19 buildings in scattered locations around the Elm Hill Avenue area of Roxbury. The affordable shared apartment was originally built in the early 1900s and was last thoroughly renovated in the 1980s. The buildings are on the Massachusetts Historical Commission's Historic Places inventory.
Renovation work began this month and is expected to be completed in 18 months.