WNC, Commonwealth JV Start Affordable Housing Project in Iowa
The project comes of the heels of the developer's closing on a $230 million tax credit fund.
WNC & Associates and Commonwealth Development Corporation of America, have broken ground on The Collective on 13th, a $12 million, 40-unit affordable housing community located in Charles City, Iowa. The project is slated for completion in 2026.
The Collective on 13th is being financed through a construction and permanent loan from Legacy Bank, debt from the Iowa Finance Authority and Low-Income Housing Tax Credits (LIHTC) equity from WNC & Associates. The project was initially made possible by Commonwealth securing 9 percent LIHTC and additional funding from the Iowa Finance Authority in July 2024, according to the developer.
Commonwealth acquired the property at East Corporate Drive and 13th Street in April in partnership with the Charles City Area Development Corp., which owned the site.
The Collective on 13th will be the 25th affordable housing property developed by the Wisconsin-based firm that WNC has syndicated. The firm’s portfolio includes 59 multifamily properties with 4,300 units across 16 states.
Indigo Living of West Des Moines, Iowa, has been selected as the property manager.
Commonwealth will lead as the project developer, with M+A Design Inc., as the architectural design firm, and Accurate Commercial as the general contractor.
The Collective details
When completed, The Collective on 13th will comprise two multi-story residential buildings and a clubhouse. The property will have eight one-bedroom units, 16 two-bedroom units and 16 three-bedroom units, all targeting households earning between 30 percent and 80 percent of the Area Median Income. Each unit will have a refrigerator, electric range and oven, dishwasher, garbage disposal, microwave, washer and dryer. Other unit features include central air conditioning, window blinds, vinyl plank flooring and storage space.
The community’s clubhouse will offer gathering spaces including an activity room, lounge, craft room, kitchenette, fitness center and computer room. Outdoor features will include a playground, covered pavilion and green spaces.
More affordable homes
In May, WNC and Codman Square Neighborhood Development Corp., a Dorchester, Mass.,-based community organization, teamed up to develop Talbot Commons II, a $32 million affordable housing project. Construction is underway on the 42-unit development, which is slated for completion in summer 2026. WNC’s role involved underwriting and structuring the investment to align both investor goals and community development needs.
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A month earlier, WNC and Pedcor Cos. began construction on Willow Creek Manor, a 264-unit affordable housing community in Kohrville, Texas. The $79.8 million project is expected to finish construction in 2027.
WNC funds
In May, WNC closed its Institutional Tax Credit Fund 57 at $228 million. As of early May, the investment vehicle had funded 26 affordable properties – 12 newly constructed and 14 preserved – comprising 1,908 units across 17 states. Fund 56 closed earlier this year with $301 million in commitments. That vehicle funded 24 communities with a total of 2,396 units across 16 states.
In April, WNC closed its California Series 22 Fund X, which raised $119 million to fund affordable housing properties around Southern California. As of April, the fund had invested in seven properties – four preservations and three new construction buildings – totaling of 693 units.
