Pinnacle Secures $48M for Miami Affordable Housing Project
The second phase of the Pinnacle 441 project will comprise 100 units.
Pinnacle has secured $47.8 million in construction financing for Pinnacle 441 Phase 2, a 100-unit affordable housing development in Hollywood, Fla. The developer plans to break ground this month, while completion is expected within the next 16 months.
The second phase of Pinnacle 441 will rise on a former dilapidated trailer park at 6028 Johnson St., west of the project’s Phase 1. The developer acquired the 1.6-acre site back in February. Upon delivery, the community will cater to residents earning up to 60 percent of the area median income.
The eight-story building will incorporate one-, two- and three-bedroom floorplans. Amenities are set to include a fitness center, a game room, a clubhouse, an outdoor lounge, barbeque stations, Energy Star appliances and approximately 110 parking spaces. Residents will also have access to all the common-area amenities of the Phase 1 property.
The transit-oriented development is near Route 441, which provides direct access to downtown Miami. Memorial General Hospital and Broward College are within a 2.2-mile radius.
Financing sources for Pinnacle 441 Phase 2
The second phase of the project has various funding sources, which include:
- tax credit equity financing from Bank of America
- tax-exempt bonds issued by Broward County Housing Finance Authority
- $10 million in gap financing from Broward County
- $1 million in financing provided by the City of Hollywood
- $6.6 million in loans from the Florida Housing Finance Corp.
Pinnacle Partner Timothy P. Wheat said in prepared remarks that the developer received around $19 million in investment equity, as a result of the purchase of Housing Tax Credits from Bank of America.
The affordable project’s first phase
The Pinnacle 441 multi-phase project will deliver a total of 213 total units on the State Road 7 corridor. Phase 1 already broke ground at the intersection of Johnson Street and Route 441. The fully affordable property will serve individuals and families earning below 60 percent of the area median income.
The community will feature 113 units and around 8,000 square feet of commercial space. The delivery is expected in late 2023. The newly constructed building will include one-, two- and three-bedroom apartments ranging between 730 and 1,200 square feet.