BOSTON, MA - Boston Capital is investing in the rehabilitation of Garden Walk of Bentonville in Bentonville, Arkansas and Garden Walk of Elfen Glen II in Van Buren, Arkansas. In addition to its equity investments, Boston Capital Finance (BCF) provided two, 24-month construction loans which closed into the Boston Capital Intermediate Term Income Fund, a fixed-rate, construction financing fund.
"Through Boston Capital's construction loans, we are able to invest in high-quality, multifamily housing in Bentonville and Van Buren, two areas in need of affordable housing designed for families," stated Kevin P. Costello, Executive Vice President and Director of Institutional Investing at Boston Capital. "We are pleased to provide a seamless process to our developer partners as both debt and equity are underwritten, closed and serviced at Boston Capital."
Garden Walk of Bentonville features eight one-bedroom and 16 two-bedroom garden-style units in 10 one-story buildings. Units feature air conditioning, ceiling fans, patios, storage and washer/dryer hookups. Development improvements will include the installation of a leasing office, a playground and landscaped areas. Units will be available to families earning 60 percent or less of the Area Median Income (AMI).
Garden Walk of Elfen Glen II features 18 one-bedroom, 16 two-bedroom and 20 three-bedroom units in 11 one-story and four two-story buildings. Units feature air conditioning, ceiling fans, walk-in closets, patios/balconies, washer/dryer hookups and storage. Development amenities will include laundry facilities, an on-site office, playgrounds, a basketball court and a pavilion. Units will be available to families earning 60 percent or less of the Area Median Income (AMI).
The rehabilitation of these properties will generate nearly $4.1 million in local income and create nearly 50 jobs in the Bentonville and Van Buren areas. Boston Capital's investment in Garden Walk of Bentonville and Garden Walk of Elfen Glen II adds 78 units of affordable housing to its apartment portfolio. To date, Boston Capital has invested in nearly 2,200 units of affordable housing in Arkansas.
About Boston Capital Finance:
Boston Capital Finance (BCF) originates, manages and services both funds that target construction and permanent lending opportunities on new construction or substantially rehabilitated LIHTC (Section 42) properties in which Boston Capital is the equity provider. In 2011, Boston Capital introduced two new debt initiatives including the Boston Capital Intermediate Term Income Fund, a construction loan fund and the Boston Capital Long Term Mortgage Fund, a fixed-rate, forward permanent financing fund. The funds can be used together as well as independent of each other and are intended to be used in conjunction with Boston Capital's equity offerings.
BCF originates construction, permanent and construction/permanent loans in sizes between $1,000,000 and $11,000,000. BCF's previous fund, the Boston Capital Affordable Housing Mortgage Fund LLC, has fully invested its $115 million in capital in 36 loans.
In addition to its debt products, Boston Capital provides equity for affordable multifamily housing developments and recently closed Corporate Fund XXXVI, a $180 million equity fund, in October 2012. Boston Capital recently launched Corporate Fund XXXVII, a $200-$225 million equity fund which is expected to close in 2013.
About Boston Capital:
Boston Capital, headquartered in Boston, MA, is a real estate investment and advisory firm specializing in tax advantaged investments in affordable multifamily housing and energy, and equity investment in market rate apartment communities. Boston Capital's holdings include nearly 2,400 multifamily apartment properties in 49 states and the District of Columbia, constituting nearly 157,425 apartments with a development cost in excess of $14.3 billion. Boston Capital is the largest owner/investor of apartment properties in the United States.