Clear Blue Breaks Ground on Nashville-Area Affordable Project
Completion is expected in 2028.
The Clear Blue Co. has broken ground on Honeywood Dickson, an $88.1 million, 228-unit affordable housing project in Dickson, Tenn. First units are expected to come online next fall, with completion slated for March 2028.
The development team also includes Studio A Architecture and general contractor BACAR Constructors.
Honeywood Dickson is set to encompass nine buildings comprising one- to four-bedroom layouts. Units will cater to households earning up to 30, 60 and 80 percent of the area median income. What’s more, 60 project-based vouchers will be available. Common-area amenities are to include a dog park, playground, clubhouse, gym, business center and swimming pool.
READ ALSO: When ‘Non-Recourse’ Construction Financing Means ‘Recourse’
Located at 841 Cowan Road, the 16-acre site is in Dickson County, roughly 41 miles west of downtown Nashville, Tenn. The property is also close to Beasley Drive, a corridor including other private sector affordable communities such as the 64-unit Beasley Pointe and the 174-unit Trails of Dickson, according to Yardi Matrix data.
The capital stack of a Tennessee affordable project
The project’s capital stack consists of up to $48 million in tax-exempt bonds issued by The Health and Educational Facilities Board of the City of Dickson, with Raymond James National Housing Group serving as underwriter, alongside 4 percent LIHTC equity provided by Regions Affordable Housing following Tennessee Housing Development Agency’s issuance.
The same agency, which had an economic impact of $156.1 million across Dickson County last year, further supported the project through its Community Investment Tax Credit program.
Regions issued construction and equity bridge loans, which, according to Yardi Matrix data, amount to $37 million and $11.5 million, respectively. In addition, Regions Real Estate Capital Markets originated a $1.9 million Freddie Mac loan.
Other financing partners include HUD and Dickson County, as well as the Dickson Housing Authority, the entity that provided the project-based vouchers, marking its first such issuance, alongside other private and public companies. Honeywood Dickson also qualified for a residential PILOT program, another first for the city.
Clear Blue’s other income-restricted endeavors
Since its inception in 2011, Nashville-based Clear Blue has amassed more than $1 billion in assets under management and north of 6,700 units across the Southeast. The firm is dedicated to preserving workforce housing, as well as executing ground-up multifamily development projects.
One of them is Northview Housing Development, a 254-unit affordable senior community nearing completion in Nashville. The development topped out earlier this year and the first residents moved in earlier this month.
