Michigan State Housing Development Authority

10/25/2024 | Press release | Distributed by Public on 10/25/2024 13:44

MSHDA Board Approves Multiple Affordable Housing Developments, Supports Milestone Bond Deal

October 25, 2024

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MSHDA Board Approves Multiple Affordable Housing Developments, Supports Milestone Bond Deal

Lansing, Mich. - At its October meeting, the Michigan State Housing Development Authority (MSHDA) Board approved funding for affordable housing developments in Wayne, Oakland, Ingham and Kalamazoo counties. The Authority also achieved a major milestone this month, issuing its largest bond deal in its history.

This month, the Authority issued 2024 Series D, E and F single-family mortgage bonds totaling $508.9 million, which is the largest new money deal for MSHDA's homeownership program to date. The issuance of these bonds will fund about 3,135 mortgages and down payment assistance loans. This deal included the purchase of a $50 million Series F bond by Federal Home Loan Bank of Indianapolis (Bank) to provide a reduced rate mortgage to first-time homebuyers, if they finance a mortgage through a MSHDA lender who is also a Bank member.

"Our biggest bond deal in the Authority's history is a reflection of MSHDA's record-breaking productivity" said Amy Hovey, CEO and Executive Director at MSHDA. "From bond deals to new developments and rehabilitation, we're committed to keeping the momentum going and offering innovative solutions to mitigate the housing shortage."

Three housing developments in the city of Detroit, in Wayne County, were approved for MSHDA funding through the issuance of bonds. 4401 Rosa Parks Apartments was approved for $25.2 million for the construction of 36 family units, with four accessible units. All units will be for residents between 30% and 80% of Area Median Income (AMI). Cambridge Towers, a 248-unit senior development with 13 accessible units was approved for $17 million for rehabilitation activities, including new flooring, HVAC systems, plumbing fixtures and roof replacements. Midblock Apartments, a new construction development, which will have 184 units, with 19 accessible units, was approved for $48.9 million in MSHDA funding. All units will be reserved for those between 30% and 80% of AMI.

The board approved $6.8 million in MSHDA funding for The Legacy: Senior Housing in the city of Kalamazoo. This new construction development will have 34 senior units, with four accessible units, for residents between 50% and 70% of AMI. Grand Vista Place, located in the city of Lansing in Ingham County, was approved for $14.7 million in MSHDA funding for the construction of 55 units, with six accessible units. All units will receive Project-Based Vouchers and be reserved for residents between 30% and 60% of AMI.

Lawton Apartments in the city of Detroit, was approved for $3.7 million by the MSHDA board for the rehabilitation of 38 units, two of which will be modified and reserved for those with hearing and/or visual impairments. The rehabilitation activities will include new windows, flooring and roofing along with upgrades to HVAC and electrical systems. All units will be reserved for residents between 30% and 80% of AMI.

Beacon Apartments and Townhomes, located in Pontiac in Oakland County, was approved for $10.8 million in MSHDA funding for the rehabilitation of 40 units, with two accessible apartments and one accessible townhome. All units are for residents at or below 60% AMI.

The board also approved a request to prepay the mortgage loan for Meadow Brook Senior, a 32-unit senior housing development in Escanaba in Delta County. This development will remain affordable through 2040.

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About MSHDA
The Michigan State Housing Development Authority (MSHDA), established in 1966, provides financial and technical assistance through public and private partnerships to create and preserve safe and decent affordable housing, engage in community economic development activities, develop vibrant cities, towns and villages, and address homeless issues.