Suburban Boston Apartments Will Continue to be Affordable for 20 Years
- Mar 01, 2016
Chelsea, Mass.—The afforability of the 71-unit Chelsea Square apartments in Chelsea, Mass., an inner suburb of Boston, is being extended via $5.1 million in MassHousing financing. Chelsea Square Associates, which owns the property, is refinancing it and will extend its federal Section 8 Housing Assistance Payment contact for 20 years.
Originally developed in the early 1900s, Chelsea Square is on Broadway in the suburb and is comprised of two four-story buildings and nine three-story buildings managed by Trinity Management. The property includes 56 one-bedroom apartments and 15 two-bedroom apartments.
The MassHousing loan was provided through HUD’s Multifamily Accelerated Processing (MAP)/Ginnie Mae Mortgage Backed Securities (MBS) program.
MassHousing then closed the new loan and issued the Ginnie Mae MBS. The financing also involved a reduction in the mortgage rate from 9 percent to 3.67 percent and improvement funds for renovations and conversion of three heating systems in the property from oil to gas.
“Chelsea Square Apartments has provided very stable affordable housing in downtown Chelsea for 34 years,” said MassHousing’s Timothy C. Sullivan. “The MassHousing financing will allow it to remain a housing resource for residents of Chelsea for the long term.”