NEW YORK, NY - An affiliate of Red Stone acquired $20.160 million of tax-exempt bonds, the proceeds of which will provide mortgage capital for the acquisition, rehabilitation, and permanent financing of two affordable senior rental communities. The properties are in the city of Rensselaer, NY which is directly across from Albany along the Hudson River. The properties both benefit from Section-8 rental subsidies that ensure the affordability of the communities for their low-income senior tenants.
The properties, Van Rensselaer Heights and Renwyck Place (originally constructed in 1980), will benefit from modernization via rehabilitation budgets exceeding $45,000 per unit. The redevelopment of the properties will be completed by Millennia Housing Development, Ltd. (Millennia). Millennia is a Cleveland, Ohio based industry leader with extensive experience acquiring, recapitalizing and redeveloping affordable housing across the United States. Boston Capital Corporation, a leading affordable multifamily housing investment company, purchased approximately $9.5 million in Low-Income Housing Tax-Credits (“LIHTCs”).
“Millennia is thrilled to close on the acquisition/construction financing of these properties and looks forward to immediately mobilizing on the rehabilitation of these buildings. Both are truly special properties filled with wonderful residents who deserve a first-class home in which to live,” commented Tom Mignoga, Development Manager for Millennia. “We are honored to have worked with Red Stone Partners, Boston Capital, the City of Rensselaer and the Buffalo HUD Office; all of who worked tirelessly to ensure that this transaction kept moving forward. We appreciate our strong relationships with Red Stone Partners and Boston Capital and look forward to working with them again in the future.”
Brian Renzi, Managing Director at Red Stone, noted that, “these were complicated transactions that were separate but needed to close simultaneously. All participants were crucial in the recapitalization process of these communities. Millennia is one of Red Stone’s strongest developer relationships and over the past five years we have worked together to preserve and rehabilitate nearly 2,000 units utilizing tax-exempt bonds in conjunction with the Low-Income Housing Tax-Credit. A solid relationship between developer and lender can make all the difference on a transaction like this.”