Somerset Apartments is an existing 99-unit affordable multi-family apartment community located in Silver Spring, Maryland. The project was originally financed in 2001 with 4% LIHTC, short-term tax-exempt bonds, and a HUD insured 221(d)(4) mortgage provided by AGM. The property consists of three separate three-story garden walkup apartment buildings. The property was subsequently refinanced by AGM under Section 223(a)(7) in 2011. Of the community’s 99 units, 90% are restricted to households whose incomes are at or below 60% of area median income. The remaining 10% of units have affordable rents by choice of the owner. AGM obtained a HUD insured mortgage of $7,780,700 under the 223(a)(7) refinance program. The refinance of the existing mortgage reduced the fixed interest rate while extending the term of the mortgage to 33 years.
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