Work Begins on Affordable Seniors Housing Near Nashville
- Sep 21, 2012
Franklin, Tenn.—The Franklin Housing Authority and the Michaels Organization have broken ground on the Senior Residences at Reddick Street in the Nashville suburb of Franklin. The $8.5 million, three-story elevator building includes 49 one- and two-bedroom affordable apartments for an elderly population.
Financing for the property comes from more than $6.6 million in equity raised through the sale of federal Low Income Housing Tax Credits, plus $1 million in Housing Trust Funds from the Tennessee Housing Development Authority, and $500,000 in funding from the authority. Suntrust Bank is both a construction lender and equity investor.
“Unfortunately, we’re concerned that the coming era of austerity will negatively impact our ability to develop affordable housing,” Michaels Development Co. senior vice president Ava Goldman tells MHN. “However, as we did for the Senior Residences at Reddick, we will continue to layer the financing that’s available for each community, piece by piece, until we have accumulated sufficient funding to proceed.”
The Senior Residences at Reddick represents the first public-private development partnership for the Franklin Housing Authority. Through a competitive process, FHA picked the Michaels Development Co as its master planner and development partner for this and future phases of the development.
Michaels’ affiliated company, Interstate Realty Management, will manage the property. The development team includes the architecture firm Kitchen & Associates, locally based general contractor SouthLand Constructors, and local partners Little John Engineering and Stites & Harbison.
According to the developer, the building will include a number of green features to reduce its long-term operating expenditures, including Energy Star equivalent appliances and lighting, low-flow toilets and faucets, and environmentally friendly flooring and paints. Drought-resistant native plants will be the focus of new landscaping.