Housing Trust Group Breaks Ground on Palm Beach Affordable Rehab
The company, in partnership with The Spectra Organization, will renovate Covenant Villas, a 144-unit community.
Belle Glade, Fla.—In a joint venture with The Spectra Organization Inc., Housing Trust Group (HTG), a developer of affordable housing, began work on Covenant Villas, a 144-unit apartment community in Belle Glade, Fla. Currently all apartments are market-rate, but they will be converted to affordable housing and set aside for families earning at or less than 60 percent and 33 percent of the Palm Beach County area median income.
Located at 130 NW 6th St., the community consists of 80 one-, 50 two- and 14 three-bedroom apartments in 18 two-story buildings. According to Yardi Matrix data, the community features 288 parking spaces and provides laundry facilities to residents. The property, constructed in 1988, will get new metal roofs, impact-resistant windows, new electrical, plumbing and HVAC systems, and new interior carpentry, drywall, paint and cabinetry.
“Palm Beach County and Belle Glade in particular, has a tremendous immediate need for safe, clean and affordable housing for its residents and it is so gratifying to be able to provide exactly that for the families of this city,” said Matthew Rieger, HTG’s president and CEO.
HTG acquired the property for $22 million, which includes funding for renovations. Financing sources include $18.2 million in 9 percent Low Income Housing Tax Credit equity invested by Raymond James Tax Credit Funds, as well as loans totaling $2.2 million from Palm Beach County, a permanent financing from National Lending Partners of $1.9 million and a $13.5 million construction loan from TD Bank.
The general contractor for the renovation program is Newport Property Construction, and Kimberly Dellastatious is the architect. West Palm Beach Land Developers Consortium are the engineers for the rehabilitation of Covenant Villas. Work is expected to be completed by September 2017.
Recently, HTG opened Valencia Grove, another 144-unit affordable housing community in the central Florida town of Eustis.
Image courtesy of Yardi Matrix