Primrose Place Apartments is a 125-unit multifamily rental community located in Baltimore, Maryland. Using HUD’s Section 221d4 program for substantial rehabilitation, AGM obtained a HUD-insured mortgage of $6,350,000 with a fixed rate and 40-year term. The property was acquired by the sponsor, and will be substantially renovated and preserved as affordable housing. The sponsor plans to invest approximately $63,200 per unit in rehabilitation costs for the property.
The project will also be financed with equity from the sale of 4% low-income housing tax credits (LIHTC), Rental Housing Works Funds (RHWF) as well as Consumer Investment Funds (CIF). The Housing Authority of Baltimore City (HABC) will maintain its participation in the tenant selection and oversight of the property and has provided a seller take-back mortgage loan.
Primrose Place Apartments participated in HUD’s Rental Assistance Demonstration (RAD) program. The property also received a Housing Assistance Payment (HAP) contract to replace the former public housing funds that the HABC received from HUD. The HAP contract will provide project-based rental assistance (PBRA) to 100% of the units at the property. Additionally, the low-income housing tax credits include the long-term use restriction on all units pending final income verification.
