DCA & HMFA Announce Kickoff of Affordable Housing Projects in Franklin Twp., Somerset County
Two Projects to Provide 140 Units of Affordable Housing
FRANKLIN TWP., N.J. – November 11, 2010 – (RealEstateRama) — Representatives of the New Jersey Housing and Mortgage Finance Agency (HMFA), an affiliate of the Department of Community Affairs, today joined local officials to celebrate the kickoff of Parkside Senior and Parkside Family, two projects that will provide 140 units of affordable housing to people in the community. Construction has started on both projects with an anticipated completion date of 2011 for Parkside Senior and 2012 for Parkside Family.
“Parkside Senior and Parkside Family will create affordable housing in close proximity to public transportation and jobs in Somerset County,” said DCA Commissioner Lori Grifa, who is Chair of the HMFA. “My sincere congratulations go out to the development team who successfully took their vision and transformed it into a premier community.”
Parkside Senior will be a three-story building of 70 rental units for residents aged 55 and older. The building will feature a community room and new office space for the Franklin Township Housing Authority. HMFA provided $1.5 million in mortgage financing in addition to allocating $3.5 million in federal Tax Credit Assistance Program (TCAP) funds. Parkside Senior was also awarded federal Low Income Housing Tax Credits (LIHTC), which will generate private equity of approximately $14 million.
Parkside Family will include 35 duplex-style buildings housing a total of 70 apartments. A standalone community center will provide a venue for social services and events. HMFA provided $887,000 in mortgage financing in addition to allocating $5.9 million in Tax Credit Exchange (TCX) funds. The project was also awarded LIHTC credits, which will generate approximately $17 million in private equity.
HMFA is the administrator of federal tax credit programs for New Jersey. LIHTC credits are a dollar for dollar reduction in federal tax liability and act as a catalyst to attract private investment into the affordable housing market. TCAP and TCX credits, which are being provided through the federal American Reinvestment and Recovery Act of 2009, are designed to activate affordable housing construction stalled by the economic downturn.
“HMFA understands that developing affordable housing is not just about financing sticks and bricks. It is also about investing in the human mortar that binds those sticks and bricks into cohesive communities,” said HMFA Executive Director Anthony L. Marchetta. “This project truly represents our mission of increasing the availability of affordable housing for residents of the state.”
The Parkside apartments feature spacious layouts, wood floors in the living areas, high-efficiency stainless steel appliances, and energy-efficient designs that use sustainable construction materials in accordance with the U.S. Environmental Protection Agency’s Energy-Star Program. The apartments are affordable to residents earning less than 60 percent of area median income and 50 of the units will be set aside for public housing residents.
RPM Development LLC, the project developer, has built approximately 2,000 affordable housing units in New Jersey. The company has been recognized for its efforts to assist in urban revitalization by renovating old, vacant and historic properties and developing abandoned vacant parcels in many communities in New Jersey.
For more information on HMFA programs, please call 1-800-NJHOUSE or (609) 278-7400, or log on to www.nj-hmfa.com.
Contact:
Hollie Gilroy
Lisa Ryan
(609) 292-6055
