Pennrose Properties and the Chattanooga Housing Authority (CHA) have launched the redevelopment of the Emerald Villages and Cromwell Hills apartment properties in Chattanooga, Tenn. The work will result in the redevelopment of 111 units scattered throughout four outdated CHA sites into the new Emerald Villages, and the repair and upgrading of 200 units at the 41-year-old Cromwell Hills apartment community.
Financial challenges were top obstacles, according to Pennrose Properties’ Regional Vice President Mark Straub. “Working with four percent tax credits, we had significant funding gaps that needed to be overcome. The various financing sources each had their own requirements, creating conflicts. HUD requirements did not facilitate redeveloping in the manner planned,” Straub told Multi-Housing News.
Pennrose partnered with the Chattanooga Housing Authority, the city and community service providers to gather a wide variety of funding and secure a robust support program for the project. “We engaged in bi-weekly all-hands sessions to go through requirements together, to consolidate and get consistency between the funding partners. We worked directly with HUD to identify approaches that would satisfy,” Straub added.
The units to be redeveloped in Emerald Villages include 44 units at Missionary Heights, 29 units at Glenwood East, 14 units at Glenwood North and 24 units at Woodside Apartments. The apartments will benefit from kitchen and bath upgrades, as well as new energy-efficient appliances and updated flooring, HVAC systems and plumbing. Also addressed will be the replacement of siding and paving and the addition of parking.
Situated at 3940 Camellia Drive, Cromwell Hills is a one- and two-story apartment community featuring 10,726 square feet of community space in addition to its 200 one- to four-bedroom units. Community space includes a leasing office, maintenance area and gymnasium. The repair and upgrading of the community will include replacement of siding, repairs to the community space and the addition of parking and new paving.
Inside, upgrades will be made to kitchens and appliances, bathrooms, flooring, HVAC systems, electrical service, plumbing and insulation.
The redevelopment work comes a month after Pennrose completed a mixed-income community in Macon, Ga.