Boston – MassHousing has closed on $31.4 million in affordable housing financing to The Community Builders, Inc. (TCB) for the refinancing and extension of affordability at the 219-unit Franklin Park Apartments in Boston.
TCB will extend rental assistance affordability protections for 155 of the 219 units at Franklin Park Apartments by an additional 29 years and will also complete approximately $1.5 million in property improvements at the 15-building housing community, which is located on 12 scattered sites in Dorchester and Roxbury.
The Franklin Park Apartments are contained in low to mid-rise buildings, and include 95 one-bedroom apartments, 99 two-bedroom apartments, 10 three-bedroom apartments, 5 four-bedroom apartments and 10 five-bedroom apartments.
All the apartments are restricted to households earning at or below 60% of the Area Median Income (AMI). Of the 219 apartments, 155 are subsidized with a federal Section 8 Housing Assistance Payment contract. TCB will extend the HAP contract for 20 years when the current contract expires in nine years. One unit is subsidized for a disabled household with Section 811 rental assistance through the Massachusetts Department of Community Development (DHCD). The AMI for Boston is $120,800 for a household of four.
The Franklin Park Apartments was refinanced through MassHousing’s Multifamily Accelerated Processing (MAP)/Ginnie Mae Joint Venture Initiative with lender partner Rockport Mortgage Corporation. The combination of FHA insurance and a Ginnie Mae guarantee enables borrowers to access taxable mortgage financing with lower interest rates, while preserving and extending affordability for hundreds of low-income individuals, senior citizens, and families. MassHousing is providing TCB with a $31.4 million, 35-year permanent loan.
The property was substantially rehabilitated by TCB in 2009, with $25 million in MassHousing financing.