Tuesday, May 12, 2020
$300,000 In Financing from Predevelopment Loan Program Will Preserve Affordable Housing In Wards 5, 7 and 8
(Washington, DC) – Today, Mayor Muriel Bowser announced that the Department of Housing and Community Development (DHCD) has closed several loans from the Oramenta Newsome Predevelopment Loan Program, which offers nonprofit developers and housing cooperatives access to capital for predevelopment costs, for three affordable housing projects in Wards 5, 7, and 8.
“Now more than ever, investing in creating and preserving affordable housing continues to be a part of our efforts to build a more equitable DC,” said Mayor Bowser. “We are focused on using all of the tools at our disposal to support affordable housing projects like these across the District.”
In March, Manna Inc. received $100,000 in financing for Park Place Apartments, two buildings comprised of 21 units at 2530 Park Place, SE in Ward 7; and $100,000 for Courts at South Capitol Street Apartments, a five-building, 48-unit complex at 3800 South Capitol Street, SE in Ward 8.
In April, Wesley Housing Development Corporation received $100,000 in financing for 1 Hawaii Avenue, NE, a 33-unit apartment building in Ward 5.
The loan program, named in honor of Oramenta Newsome, a key District housing advocate who passed in February 2018, was established by Mayor Bowser with $1 million in funding from the Housing Production Trust Fund and $1 million from D.C. Housing Finance Agency. Financing from the program will cover a portion of the expense for architectural fees and other predevelopment costs.
“This is a valuable tool for nonprofit affordable housing developers to continue the momentum of producing or preserving units,” said DHCD Director Polly Donaldson. “Upfront costs can really delay a project by months or years without adequate funding. Our goal is to help them get a good start. Especially during this public health crisis where any delay or stoppage could impact the production or preservation of affordable housing units.”
In August 2019, Jubilee Housing received the initial financing from the program for two affordable housing projects located in Ward 1.
Content retrieved from: https://mayor.dc.gov/release/mayor-bowser-announces-financing-preserve-102-affordable-homes.