Posted on March 23, 2012
EASTON, March 23, 2012 --- The Massachusetts Housing Partnership (MHP) recently committed $17.1 million in permanent mortgage financing to help Beacon Communities convert the former Ames Shovel Factory into 113 residential rental units in downtown Easton.
The Shovel Works redevelopment project will take place in two phases. The first phase will consist of the new construction of 30 rental units, with all units designated as affordable for qualifying residents. The second phase will consist of the new construction of 83 units, with four units reserved as affordable. The complex will consist of one- and two-bedroom apartments. The site will also have 205 outdoor parking spaces and 28 enclosed parking spaces.
This is the firsttime MHP has used its bank-funded loan pool to support a multi-family rental development in Easton. It isthe eighth time MHP has provided financing to Beacon Communities and the second time in the past three years in which MHP has supported Beacon's efforts in Norfolk County. In 2010, MHP provided financing for the historic redevelopment of the Wilbur School in downtown Sharon. Including both phases of the Shovel Works project, MHP has loand or committed over $59 million for the financing of 911 units of housing, 533 of which is affordable.
Construction is already underway at Shovel Works and an official groundbreaking ceremony has been scheduled for June 8 at 10 a.m. Lt. Gov. Tim Murray is expected to attend.
As part of this innovative public-private partnership between the town of Easton and Boston-based developer Beacon Communities, the town is making a substantial investment in loans and infrastructure. This long-imagined restoration project has been launched with an inventive restoration design and open space plan by architects Prellwitz Chilinski Associates (PCA).
The 15 buildings of the Ames Shovel Works manufacturing complex played a significant role in the industrial transformation of 19th century America. At the height of its operations, the factory employed 500 people.
Prior attempts to redevelop the Works complex were incompatible with the goals of preserving and reclaiming the existing landmarks. Three years ago, senior leaders from town government approached Beacon Communities seeking an alternative solution.
The development's financing is a mix of public and private sources for historic rehabilitations and mixed-income housing. The town of Easton purchased a historic preservation restriction on the property, helping to finance the project while ensuring that the rehabilitated buildings will retain their historic facades will remain intact in perpetuity.
The town is also providing debt financing for the development. Ames Shovel Works was awarded federal and state low-income housing tax credits and historic rehabilitation tax credits, which were purchased by Bank of America to generate equity financing for the project. Bank of America is also providing construction period financing for the project. The Massachusetts Housing Partnership (MHP) is providing permanent financing. Additional debt financing is being provided by the Massachusetts Affordable Housing Trust and the Greater Attleboro Taunton HOME Consortium.
In addition to supporting the project financially, the Town of Easton is constructing a wastewater treatment system that will accommodate future commercial growth for North Easton as well as the approximately 200 residents coming into the new residences at Ames Shovel Works. Capacity limitation was major roadblock to any new development in this part of town, including any new development in the Main Street commercial area and the Ames Shovel Works site.
Throughout the permitting process, the development team worked with and recieved support from many stakeholders, including the Easton Board of Selectmen, the Easton Historical Commission, the Easton Zoning Board of Appeals, the Massachusetts Historical Commission, the National Park Service, the Friends of the Ames Shovel Works, and members of the Ames family.
Completion of the project's residential buildings is expected in late 2013. For more information about this project please contact Senior Loan Officer Nancy McCafferty at 617-330-9944 x287.