Source: Olive Tree Holdings / American South Real Estate Fund II
SPRINGDALE, AR - Funding has been secured to acquire and begin the renovation of The Life at Elwood Grove (formerly known as Springdale Ridge Apartments,) a 192-unit affordable multifamily apartment community in Springdale, Arkansas. The 16-building garden style project is being rehabilitated by Olive Tree Holdings. Life at Elwood Grove is Olive Tree's 40th multifamily acquisition. This is Olive Tree's fourth partnership with American South Real Estate Fund (ASREF) I and II, managed American South Fund Management (ASFM), a partnership between SDS Capital Group and Vintage Realty Company. All 192 units will be rented at rates affordable to low-income families.
"Olive Tree's mission has centered on finding and improving existing assets or new projects that can provide quality housing to workforce households and families across the country. With The Life at Elmwood Grove development, we now manage over 8,000 units of affordable housing nationally, meeting a critical need within underserved communities," said Ian Bel, Principal, Olive Tree.
The development is located near major employers that include the University of Arkansas, Tyson Foods and Walmart's global headquarters. The Fayetteville MSA has experienced 2% annual growth for the past decade. Median home values have increased by approximately 20%, with median household income rising by just 2.3%. Income levels within a 5-mile radius of the apartment complex are below 80% of area median income (AMI), with The Life at Elmwood Grove units being affordable to families at this income level.
"The ongoing partnership between ASREF and Olive Tree continues to provide tremendous benefit to low-income residents across the South. The Life at Elmwood Grove adds 192 affordable-housing units -- an increase to a total of 1,050 units – that ASREF and Olive Tree have developed in partnership," said Deborah La Franchi, ASREF Managing Partner.
ASREF II targets their impact investments into distressed communities of color within a 10-state footprint across the South. ASREF financing will support significant renovations at The Life at Elmwood Grove development that will improve the quality of their units and complex surroundings without sacrificing affordability. Olive Tree Holdings currently has more than 2,000 multifamily units under consideration for future development.