JV Closes Refi of Affordable NJ Property
- Nov 22, 2017
Serving as co-general partners, The Diocesan Housing Services Corp. of the Diocese of Camden Inc., MDG Design + Construction and Hudson Valley Property Group have closed on the refinancing and renovation of Victorian Towers, which will include $8 million in capital improvements to the property. Victorian Towers is a 205-unit senior housing development in Cape May, N.J. The refinancing will preserve the affordability of Victorian Towers for 20 additional years, while renovations will provide necessary upgrades to the community.
Located at 608 Washington St., the property is near shopping, medical and public transit services. Built in 1973 for low-income seniors, Victorian Towers includes a mix of studios and one-bedroom apartments, as well as 82 parking spaces. Renovations will include:
- improvements to the units
- redesigned lobby with a seating area
- complete overhaul of 2,000 square feet of community facilities
- new exterior windows
- new Victorian-style facade
Efficiency upgrades include new AC units and water conservation measures such as the installation of low-flow toilets, shower heads and faucet aerators. The renovation process also involves the creation of 10 fully accessible units designed in accordance with the Americans with Disabilities Act, including several units for the hearing and visually impaired.
Upon completing the refinance and rehabilitation of Victorian Towers, 194 units will remain affordable through a 20-year, project-based rental assistance agreement, while the rest of the units will remain affordable through the HUD Section 236 program. The project utilizes the NJHMFA conduit bond program and equity generated from the sale of four percent LIHTCs.
“As MDG crosses the bridge into New Jersey for the first time, we are thrilled to partner with DHSC and HVPG to work to preserve high-quality, affordable housing for seniors,” said MDG Design + Construction Principal Michael Rooney Sr., in prepared remarks.
DHSC will continue to manage Victorian Towers. This is the third joint venture between MDG and HVPG and their first partnership with DHSC. MDG and HVPG previously completed the preservation and rehabilitation of two low-income HUD housing developments in Brooklyn and North Amityville, N.Y.
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