Vesta Plans Redevelopment of DC Apartments
- Oct 20, 2014
Washington, D.C.—Vesta Corp. has unveiled plans to completely redevelop Highland Terrance Apartments, a 124-unit multifamily property formerly known as the Gregory Apartments. The apartment community is in the southeast region of Washington, D.C.
According to Vesta, construction on the troubled property will begin in November and represent a total cost of $19.5 million. Upon completion, Highland Terrace will feature two- and three-bedroom units.
Seven apartments will become fully ADA compliant, featuring widened doorways, redesigned kitchens and enlarged bathrooms. Other improvements to the overall property will include installation of a closed circuit TV security system and construction of handicap accessible ramp systems in parking areas.
With a previous vacancy rate of nearly 50 percent, the Gregory Apartments was not only in default on its mortgage, but also in need of improvements, notes Vesta. The company will devote a significant share of the cost of redevelopment to green building design, including new thermal windows, energy efficient appliances and water-conserving plumbing upgrades.
Vesta will add a new playground and revitalize the property’s Community Center as well. A new Learning Center in the property will feature office space for management staff, along with new computers with Internet access. The center will offer learning opportunities for children and adults, including GED test preparation and a youth curriculum developed by a local nonprofit education partner.
The deal was funded through a variety of affordable housing funds and initiatives, including a FHA-insured first mortgage, tax-exempt bonds and Low Income Housing Tax Credits. Funding also came from the Housing Production Trust Fund and the District of Columbia Sustainable Energy Utility.