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CND, city celebrate the opening of 32 affordable rental homes

Posted on March 29, 2011

Chelsea_Spencer_Row3CHELSEA, March 29, 2011 --- One abandoned factory at a time, Chelsea NeighborhoodDevelopers (CND) and the City of Chelsea are working together to revitalize these sites into new neighborhoods and new affordable homes close to Boston.

Their latest achievement is Spencer Row, a new three-story accessible apartment building built on the site of a former woodworking factory. Completed in Dec. 2010, it took just over three months for 32 affordable homes to be rented. "It's fascinating to see a neighborhood re-imagined," said Tina Brooks, the Patrick Administration's undersecretary for housing, during grand opening ceremonies on Feb. 24.

In addition to Brooks, local and state leaders attending this event included U.S. Representative Michael Capuano and Chelsea City Manager Jay Ash. CND executive director Ann Houston served as master of ceremonies. "Most people just need a little help so they can make a better life for themselves and their children and that's what's happening here in Chelsea," said Capuano. "Chelsea is not like it was because people (at CND and the city) stood up and did the work to make these homes possible."

Spencer Row was financed mainly through federal Low Income Housing Tax Credits awarded by the state Department of Housing and Community Development (DHCD) and purchased by Bank of America. The Massachusetts Housing Partnership (MHP), which provides more long-term financing for tax-credit projects than any other lender in Massachusetts, is providing $1.2 million in long-term fixed-rate financing from its $1.2 billion bank-funded loan pool.

The state provided additional financing through federal HOME funds, the CommunityBased Housing Program and the Affordable Housing Trust Fund. Spencer Row also received financial support from the City of Chelsea, the North Suburban Home Consortium, Chelsea Neighborhood Developers and NeighborWorks America.

Chelsea_Spencer_Row_leadersSpencer Row consists of seven one-bedroom, 18 two-bedroom and seven three-bedroom affordable rental homes. Four apartments will be rented to households earning up to 30 percent of area median income (AMI), which in Chelsea is $22,050 for a household of two and $27,550 for a family of four. An additional four units will serve households earning up to 50 percent of AMI through the inclusion of project-based vouchers. These four units at 50 percent of AMI are being further supported by the Community Economic Development Assistance Corp. (CEDAC) and Home Funders, meaning they will serve families earning up to 30 percent of AMI for at least the next six years. The remaining apartments will serve households up to 60 percent of AMI.

Spencer Row is part of CND's efforts to collaborate with the city to create strong, mixed-income neighborhoods throughout Chelsea. Spencer Row is one block from the Mary Burke Complex, with four elementary schools, athletic fields, and playgrounds. The neighborhood has also benefited from significant housing investment, including: Keen Lofts (23 mixed income condos); Spencer Lofts (100 market rate condos); CND's Spencer Green development (48 affordable family apartments); and the high profile green community, Forbes Park, a short distance to the east. Additionally, the parcel abutting Spencer Row, "Webster Block," is currently under construction for 120 market-rate rental units.

MHP long-term financing has supported many of Chelsea's efforts to create affordable rental homes and revitalize former industrial sites. Most recently, MHP has financed two new apartment developments in the nearby Box District, another revitalized industrial site. MHP financed the CND's Janus Highlands Apartments and Mitchell Properties' Atlas Lofts.

For more information about MHP financing, click here or contact Director of Lending David Rockwell at 617-330-9944 x222.