ARLINGTON, VA— AHC, a nonprofit affordable housing developer, is acquiring another multifamily property in this submarket after tapping the county's Affordable Housing Investment Fund.
The nonprofit closed on the 100-unit Spectrum Apartments, located at 5055 South Chesterfield Rd., on Dec. 3. The acquisition was funded with a $13.2 million Freddie Mac-guaranteed loan secured by Dave Redmond and Chris Davis at Walker & Dunlop.
The financing also included an $8.3 million subordinate loan from Arlington County's Affordable Housing Investment Fund.
This is AHC's second acquisition in 2014 using this particular structure. In April, it received twice that amount -- $16.5 million -- from the Board to purchase Serrano Apartments at 5535 Columbia Pike, a 280-unit complex owned by Carmel Properties.
This latest loan, which the board approved in November, was granted with the proviso that AHC would convert the 80 existing market-rate units at the building into affordable units. These include 40 family-sized apartments and 5 new permanent supportive housing units.
The remaining 20 units will continue to rent at market rates.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
