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MHP commits $650,000 to finance 15 units

Posted on November 6, 2009

SALEM, November 5, 2009 --- The Massachusetts Housing Partnership recently committed $650,000 in financing to help non-profit Salem Harbor Community Development Corporation construct 15 units of affordable rental housing on Palmer Street in Salem.

The Palmer Cove project consists of 15 units of affordable rental housing including nine two-bedroom units and six three-bedroom units. The project will be financed with MHP's Home Funders Permanent Rental Financing Program. This financing program provides below-market permanent rental financing to owners of eligible properties that agree to set aside a minimum number of units for extremely low-income families.

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 $610 million in loans and commitments for the financing of over 15,000 rental units. For more information about this development, contact Senior Loan Officer Megan Mulcahy.