MassHousing has closed on $25.6 million in affordable housing financing to the Lena Park Community Development Corporation for the renovation and extension of affordability for lower-income residents at the 143-unit Granite Lena Park in Dorchester.
Granite Lena Park, a 143-unit scattered-site affordable housing development, was last substantially rehabilitated in the 1980s. The Lena Park Community Development Corporation will utilize the MassHousing financing to make substantial investments in the Granite Lena Park properties and position them to continue serving lower-income Boston residents. The 143 apartments are subsidized by a federal Section 8 Housing Assistance Payment contract. As part of this transaction, the HAP contract will be renewed for 20 years.
“We are pleased for the residents of Granite Lena Park who will have their affordability extended and see significant property improvements,” said MassHousing Executive Director Chrystal Kornegay. “Lena Park CDC was a committed partner in helping to ensure this important housing resource remained affordable and vibrant in Dorchester.”
MassHousing is providing Lena Park CDC with a $16.3 million tax-exempt construction and permanent loan and a $9.3 million bridge loan.
Other financing sources include $14.3 million in federal Low Income Housing Tax Credit (LIHTC) equity syndicated through the Massachusetts Housing Investment Corporation (MHIC), $3.8 million in federal historic tax credit equity syndicated through MHIC, $975,200 in state historic tax credit equity syndicated through East Boston Savings Bank, a $10.9 million seller loan, and $1.9 million in net operating income during construction. The Massachusetts Department of Housing and Community Development allocated the LIHTCs.
Katherine Martinez, Lena Park CDC’s Executive Director, noted that “Lena Park’s revitalization has stemmed from our commitment to enhancing the quality of life for our residents. Not only does this project highlight that commitment, but it underscores MassHousing alignment to supporting local organizations in our mission driven projects.”
Granite Lena Park consists of 39 one-bedroom apartments, 75 two-bedroom apartments, 27 three-bedroom apartments and 2 four-bedroom apartments in seven historic buildings originally built in the 1920s on scattered sites in Dorchester.
Among the property improvements planned are significant apartment upgrades, balcony, window and masonry replacement or repairs, fire safety and accessibility upgrades, thermal and moisture protection and water drainage improvements.
MassHousing has financed 34 rental housing communities in Dorchester totaling 3,549 units of housing with an overall original loan amount of $419.7 million. The Agency has also provided home mortgage loans to 8,449 homebuyers and homeowners in Boston with an original purchase principal balance of $1.1 billion.