The Salvation Army has secured $11 million in U.S. Department of Housing and Urban Development financing that will be used for upgrades at Booth Residences, a 150-unit affordable senior housing property in Cincinnati.
The eight-story property at 6000 Townevista Drive was built in 1981 and renovated in 2006 using Low Income Housing Tax Credits. The Section 42 LIHTC tax credits were applied to the property in 2009, enabling rent to be restricted through at least 2039, according to Yardi Matrix data. In October 2006, the Ohio Housing Financing Agency issued nearly $6.3 million in Multifamily Housing Revenue Bonds, 2006 Series D, with the Huntington National Bank as trustee.
The Salvation Army will utilize the $11 million financing to make accessibility and ADA upgrades, as well as unit and building improvements. The property has mostly one-bedroom apartments measuring 535 square feet and several two-bedroom units totaling 734 square feet. Common areas will also be renovated. The upgrades are expected to take about one year. Situated on 15.03 acres, Booth Residences has a community room, laundry facilities and 95 parking spaces. The property is served by a standalone rental office.
JLL Capital Markets arranged the financing and worked on behalf of the borrower to secure a HUD 223(f), fixed-rate loan with a rate of 5.7 percent that fully amortizes on a 35-year schedule, according to Yardi Matrix data. The loan will mature on Aug. 1, 2058. Yardi Matrix also reported that the City of Cincinnati provided $750,000 in financing.
Senior Director Anson Snyder led the JLL Debt Advisory team. Snyder, in a prepared statement, said the JLL team was tasked with providing a long-term, fixed-rate, non-recourse loan solution that would allow The Salvation Army the ability to make required upgrades that would directly assist the residents.
The Salvation Army helps nearly 23 million Americans each year overcome poverty, addiction and economic hardships through a range of social services including housing. While the privately funded, direct-service nonprofit is active all year, they are highly visible during the holiday season.
