Preservation of Affordable Housing (POAH) has acquired two senior affordable housing properties in very desirable Massachusetts communities that are vulnerable to increasing housing costs: Northside Village in Dennis and Westport Village in Westport. These two sister properties will bring 94 additional affordable rental apartments into the POAH portfolio in Massachusetts, which consists of 3,859 units in 40 properties from Cape Cod to Pittsfield.
Westport Village is a 48-unit senior building originally constructed in 2005 that currently operates under the federal Section 42 Low Income Housing Tax Credit (LIHTC) program. Westport Village also benefits from a Project-Based Voucher Contract (PBV) covering 12 apartments. POAH purchased the partnership interest and refinanced the first mortgage loan with Capital Magnet Funds (CMF), a federal grant program administered by the Community Development Financial Institutions Fund that awards grants to nonprofit affordable housing organizations to finance housing solutions and community revitalization efforts.
POAH will own and manage the property while it assembles the financing sources to renovate the development so it remains a sustainable and resilient community for the next generation of residents. The building has been well-maintained and benefits from strong historical occupancy – averaging over 99% in recent years. The property is located near the Westport River and the Rhode Island border and currently has a 108-person waitlist.
POAH is also preserving affordability for the 46 units of housing at Northside Village located on Cape Cod in the Town of Dennis. The acquisition of Northside Village was made possible through an acquisition loan from the Community Economic Development Assistance Corporation (CEDAC), and similar to Westport Village, has an investment of POAH’s Capital Magnet Funds (CMF). Northside Village is located less than 3 miles from POAH’s multifamily development in South Dennis and is within walking distance of a grocery store and other retail amenities. POAH plans to modernize the building’s operating systems and equipment in the future to ensure healthy homes with low environmental impacts.
“These acquisitions by POAH will help maintain access to affordable housing units in communities where the cost of market-rate housing continues to rise,” said CEDAC Executive Director Roger Herzog. “Additionally, residents will benefit from the operations and management expertise of POAH, as well as building improvements and systems upgrades to increase sustainability.”
“POAH is excited to acquire these senior housing properties so that we can continue their affordability for low income residents over the long-term,” said Aaron Gornstein, President and CEO of POAH. “We look forward to working closely with our residents and neighbors to ensure high-quality property management services, physical improvements, and resident services in the years ahead.”
POAH also plans to strengthen each community’s connection to local resources through its community impact coordinators who help connect residents to support programs and services offered by their towns.
*CEDAC is a public-private community development financial institution that provides project financing and technical expertise for community-based and other non-profit organizations engaged in effective community development in Massachusetts. CEDAC’s work supports two key building blocks of community development: affordable housing and early care and education. CEDAC is also active in state and national housing preservation policy research and development and is widely recognized as a leader in the non-profit community development industry. For additional information on CEDAC and its current projects, please visit www.cedac.org.