Affordable Boston-Area Community Receives $82M Loan
- Jun 28, 2019
The Cambridge Housing Authority has obtained $82 million in financing for the renovation of Millers River Apartments, an affordable housing community that serves low-income households in Cambridge, Mass. MassHousing closed on the loan through the agency’s conduit loan program.
Located at 15 Lambert St., Millers River is within a 10-minute drive of downtown Boston. The 19-story property currently consists of 282 units, but three new apartments are slated to be added following renovation works. Thirty units will be set aside for households earning at or below 30 percent of the area’s median income and 255 apartments will be for families earning at or below 60 percent of the AMI, which in Cambridge is $79,350 for a one-person household and $90,650 for a two-person household.
Currently, Millers River is undergoing a more than $100 million revamp. Property upgrades include the replacement of failing building systems and the roof, significant building envelope improvements and the complete renovation of all apartments. Consigli Construction Co. serves as the general contractor for the project, Dietz & Co. is the architect and the Cambridge Housing Authority is the management agent.
MassHousing issued tax-exempt housing revenue bonds to finance Millers River and the proceeds will be used to fund both construction and permanent loans in partnership with CitiBank. The quasi-public agency’s conduit loan generated $71 million in equity financing for the project through federal low-income housing tax credits. Project financing also includes a $44 million loan from The Cambridge Housing Authority and $2.8 million of development period cash flow. The financing will enable the housing authority to extend affordability for the life of the property.