Posted on January 24, 2007
BOSTON --- The Massachusetts Housing Partnership (MHP) has committed $1.56 million to First Resource Development Company to support the restoration of Worthington Commons, a 12-building apartment complex in Springfield.
The project involves the rehabilitation of 111 apartments in 10 buildings and the construction of 38 new units in two existing buildings that were previously vacant. When complete, all units will be affordable as follows:
- 40 of the 149 units will be affordable to residents earning 60 percent of area median income, which in Springfield is $37,740 for a family of four.
- Three units will be affordable at 50 percent of median ($31,450 for a family of four).
- 106 units will be affordable through a Section 8 contract or tenant-based Section 8 vouchers.
Worthington Commons is also receiving over $13 million from the sale of low income and historic tax credits awarded by the state Department of Housing and Community Development. Further financing is being provided by the Massachusetts Housing Investment Corporation, the state’s Affordable Housing Trust Fund and the City of Springfield.
This is the second time MHP has teamed with First Resources to revitalize apartment buildings in Springfield. In 2005, MHP loaned a subsidiary of First Resources $750,000 to help finance the rehabilitation of an abandoned apartment building in the Maple Heights neighborhood into 55 units of affordable rental housing. Now known as High Street Commons, the project also included two other abandoned properties, which were converted into a small park and a parking lot for the residents of the development.
MHP has a long history in Springfield of working with leaders and community members to spark neighborhood revitalization. All told, MHP has committed more than $13 million for the financing of 1,035 affordable housing units in Springfield.
About MHP: MHP is a quasi-public state agency that provides permanent financing for affordable rental housing, with loans ranging from $250,000 to $15 million. MHP uses private bank funds to finance affordable housing due to a 1990 state law that requires banks that purchase other banks to make funds available to MHP. Since 1990, MHP has provided over $525 million in permanent loans for the financing of 13,500 units of rental housing. In addition to financing, MHP helps cities and towns initiate and develop affordable housing. It also provides homeownership opportunities through the SoftSecond Loan Program, a mortgage program for low and moderate-income first-time homebuyers.
For more information, contact MHP's Callie Clark by email or at 617-330-9944 ext. 336.