MassHousing has closed on $8.7 million in financing to extend affordability for more than 20 years for senior citizens and disabled residents living at the 50-unit Independence Manor II in Braintree.
Independence Manor II LLC refinanced the property through MassHousing’s Multifamily Accelerated Processing (MAP)/Ginnie Mae Joint Venture program with partner lender Rockport Mortgage Corporation.
The 50 one-bedroom units at the five-story Independence Manor II are subsidized by a federal Section 8 Housing Assistance Payment Contract. As part of the transaction, the property owner executed a new 20-year HAP contract, which will include one year remaining in the previous contract. The transaction will extend affordability at the property until 2046. The refinancing will also include approximately $335,000 – or $6,700 per unit – of repairs and property improvements.
“Independence Manor II provides quality affordable rental housing to its residents and MassHousing is pleased to complete this transaction which will ensure that affordability remains for more than two decades into the future,” said MassHousing CEO Chrystal Kornegay.
The campus is located approximately 1.5 miles from both South Braintree Square and Quincy Center, which provide a range of services and amenities, including stores, restaurants, libraries, and Braintree Town Hall. MBTA buses stop at Independence Manor, with service to the Red Line at the Quincy Adams station.
Independence Manor II has a community room, dining room, and craft room used by residents to hold various social gatherings and wellness events.
MassHousing offers the MAP/Ginnie Mae loan program to the owners of rental housing through the U.S. Department of Housing and Urban Development (HUD). HUD provides expedited Federal Housing Administration (FHA) insurance approvals through the MAP program. MassHousing has surpassed $2.5 billion in cumulative MAP lending and the Agency has built the largest MAP lending program of any state housing finance agency in the nation.
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 provided Independence Manor II LLC with an $8.7 million, 35-year permanent loan.
“Demand for affordable housing continues to rise, especially in communities like Braintree, where housing supply is very limited. We are proud to partner with MassHousing and the ownership of Independence Manor II to preserve this critical affordable housing resource, ensuring seniors living at the property have a safe, stable and affordable place to call home,” said James Baghai, Vice President of Rockport Mortgage.
