Nonprofit developer and RIHousing recapitalize two senior affordable developments in Narragansett
Preservation of Affordable Housing (POAH), a nonprofit affordable housing developer with 12 properties in Rhode Island, has closed on a second stage tax credit recapitalization for two senior communities in Narragansett with the support of tax-exempt bonds issued by RIHousing. The two senior housing communities – South Winds Apartments and Beachwood Apartments – are located a half mile apart, just blocks from the Narragansett sound.
The properties comprise 104, one- and two-bedroom apartments that were originally preserved by POAH in 2004. As part of the recapitalization, the two properties will be combined under one common ownership, renamed Beachwinds Apartments, and undergo a $9 million renovation program. By combining the two properties, POAH and its management company subsidiary, POAH Communities, will achieve operational efficiencies and maximize the dollars invested in renovations.
POAH has engaged Union Studio Architecture and Community Design and Pariseault Builders, two local Rhode Island partners, as the architect and general contractor for the $9M renovation. The rehabilitation scope includes apartment upgrades, building systems replacements, siding and roofing improvements, and site repairs all with a focus on energy efficiency and long-term stewardship of the properties.
RIHousing is providing the tax-exempt bond financing of $17.5M with Boston Financial contributing $12.1M in Low Income Housing Tax Credit equity. Construction is expected to be completed by the end of 2021.
“We are grateful to RIHousing and Boston Financial for partnering with us to substantially upgrade these affordable housing properties and to improve the quality of life for our residents who call them home. This will help to ensure the long-term affordability of these properties in the face of growing housing needs in Rhode Island,” said Aaron Gornstein, POAH President and CEO. “We also appreciate the strong support from the Rhode Island Congressional delegation for boosting funding for affordable housing programs, including the federal Low-Income Housing Tax Credit Program, which made this possible,” Gornstein said.
“Rhode Island’s senior population is growing, and housing affordability poses a substantial barrier to those wanting to age in their community,” said Carol Ventura, Executive Director of RIHousing. “The renovations at Beachwinds Apartments ensure these rental homes remain affordable, safe and healthy for seniors for years to come.”
RIHousing works to ensure that all people who live in Rhode Island can afford a healthy, attractive home that meets their needs. RIHousing provides loans, grants, education and assistance to help Rhode Islanders find, rent, buy, build and keep a good home. Created by the General Assembly in 1973, RIHousing is a self-sustaining corporation and receives no state funding for operations. For more information regarding RIHousing, visit www.RIHousing.com or follow us @RIHousing on Facebook and Twitter.
Preservation of Affordable Housing is a Boston-based nonprofit organization that owns and operates nearly 12,000 affordable homes at 120 properties in 11 states and the District of Columbia. POAH has rescued and restored some of America’s most “at risk’’ rental housing and is known nationally for its ability to develop innovative financing structures and to close complex deals which preserve long-term housing affordability for seniors, individuals with disabilities and families priced out of the housing market. For more information please visit www.poah.org.