Community Preservation Partners has acquired Methodist Towers, a 138-unit affordable senior housing community in Erie, Pa. The company also unveiled plans to rehabilitate the property, which will bring the investment to more than $20 million.
CPP partnered with Rochester’s Cornerstone Group to preserve the property, which will be designated for those earning 20 percent, 50 percent and 60 percent of the area median income. The renovation will unfold with minimal disruptions for residents.
A total of 57 units will receive subsidies under a Section 8 HAP contract. The Pennsylvania Housing Finance Agency provided the new owner with an issuance of tax-exempt bonds and Low-Income Housing Tax Credits. Additional financing was provided through construction and permanent loans from Citibank, and equity raised from the sale of LIHTCs from PNC Bank.
Originally built in 1973, the property never went through a meaningful renovation, said John Fraser, director of development with CPP, in a prepared statement. The company will install new roofs, elevators and HVAC equipment. Renovation plans also include upgrades to each unit, such as new entry doors, kitchen cabinets and quartz countertops.
Other upgrades will include parking lot repair, decking and railing replacement of the community sundeck, flooring upgrades, an outdoor dog run, new maintenance shed, improvements to the community, dining, music and billiards rooms.
Located at 160 W. Eighth St., the community is less than half a mile southwest of Perry Square Park. Several dining, retail and entertainment options are available within a 1-mile radius.
Last month, CPP invested roughly $40 million to acquire and upgrade Woodland Hills Apartments, a 176-unit community in Torrington, Conn.