Monarch Private Capital, an environmental, social, and corporate governance (ESG) investment firm, has negotiated the $40 million financing of the construction of Gateway at Cross Creek, a seven building, 168-unit affordable housing community in Central, S.C. Monarch partnered with Gateway Development Corp. for the project’s completion, scheduled for 2023. The development was funded primarily through low-income housing tax credits.
The project’s announcement marks Monarch’s second South Carolina affordable housing endeavor this year, following its contribution to the planning and building of The Villages at Congaree Pointe, a 240-unit community in Columbia also financed with low-income tax credits.
Alleviating the housing shortage
After its completion, the project will serve Central’s households earning at or below 60 percent of the area’s median income. The buildings will feature a common room, fitness and business centers, as well as a car wash, playground and tennis court. The community will be located within 5 miles of Clemson, offering quick access to the city’s sites and universities.
Gateway at Cross Creek’s planning takes place as the nation experiences an unrelenting housing shortage, exacerbated by the pandemic and supply chain inefficiencies, with low-and middle-income households suffering the most, according to an April 2022 report from the National Low Income Housing Coalition. South Carolina is experiencing a deficit of 84,000 affordable and available units for those below the area median income, with the state according to the same data.
“Every state in the country is suffering a significant shortage of affordable housing units, and the southeast is no exception,” Monarch Partner and Managing Director Brent Barringer told Multi-Housing News. “Fortunately, every new development gets us one step closer to closing the affordable housing gap. South Carolina’s new tax credit will support the creation of many more communities that aren’t only affordable, but safer and healthier for our children.”