Lawrence, MA – MassHousing has closed on a total of $28.8 million in financing to Reed Realty Advisors LLC for the creation of a new, 180-unit affordable housing community.
A section of the former Pacific Mills cotton complex will be transformed into new mixed-income housing for households with a range of incomes, including 40 workforce housing units for moderate-income households.
The Pac 10 Lofts project is the first phase of a two-phase redevelopment of the mill complex. The Pac 10 Lofts will offer 82 one-bedroom apartments, 10 two-bedroom apartments, and 88 three-bedroom apartments. The development will also include a fitness center and event space and each floor will have a conference room.
MassHousing provided a $14 million tax-exempt permanent loan, a $1 million taxable permanent loan, an $8.8 million tax credit equity bridge loan, and $5 million from MassHousing’s $100 million Workforce Housing Initiative.
The MassHousing financing generated $16 million in Low-Income Housing Tax Credit equity. The transaction also involved $1.8 million from an allocation of state historic tax credits, a $3.6 million seller note, a $2.5 million deferred developer fee and $210,000 in financing from the City of Lawrence.
“Pac 10 Lofts will fill a critical need for mixed-income housing in downtown Lawrence, while transforming a vacant mill property into a vibrant, new housing community,” said MassHousing Executive Director Chrystal Kornegay.