Kansas Affordable Asset Changes Hands
Community Preservation Partners and Riverstone Platform Partners plan to revamp the property.
Community Preservation Partners and Riverstone Platform Partners have purchased Sycamore Village Apartments, a 128-unit affordable housing community in Pittsburg, Kan., near the Missouri border. CPP plans to overhaul the property.
The purchase price was $6 million, with the buyer expected to spend another $18.2 on upgrades. Following the revamp, units will be restricted for residents earning at or below 50 percent of the Area Median Income. CPP President Seth Gellis stated in prepared remarks that the property’s affordability and Section 8 Housing Assistance Payment will be extended for 20 years.
Sycamore Village Apartments’ facelift will involve refurbishments to unit interiors, including new HVAC systems, energy efficient kitchen appliances, smoke detectors, windows, doors and grab bars for disabled-oriented units.
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Exteriors are slated for improvements as well, with plans calling for new roof shingles and mailboxes, as well as the addition of a new playground, barbecue grill, gym, laundry room and dog park, among others.
The community debuted in 1972 and was last renovated in 2006. Floorplans consist of one- to three-bedroom units ranging between 530 and 1,220 square feet spread across 12 two- and three-story buildings.
Located at 2601 N. Joplin St., Sycamore Village Apartments is less than 1 mile from U.S. Route 160, which runs from Arizona to Missouri. Several retail options and quick-service restaurants operate proximate to the community, while a cluster of sport fields and parks located some 2 miles away.
Funding for the project includes $12.6 million in 4 percent low-income housing tax credits provided by the Kansas Housing Resources Corporation and tax-exempt bonds issued by the Kansas Development Finance Authority. KeyBank, Stearns Bank and Berkadia have also provided financing.
Kansas’ affordable housing shortage
According to a 2022 report by the National Low Income Housing Coalition, across the state of Kansas, there are only 41 affordable and available units for every 100 households earning at or below 30 percent AMI.
The total housing shortage for families earning up to 30 percent AMI clocked in at 52,340 units, the report shows. Additionally, more than 20 percent of renter households earn up to 30 percent AMI with upward of 70 percent of these suffering from severe cost burdens.
To help alleviate some of the problems, the Kansas Housing Resources Corporation launched the Kansas Emergency Rental Assistance program in 2021, aimed at lessening the financial burden on renters. As of 2023, KERA disbursed more than $291.3 million serving 32,714 households throughout Kansas.
