Leading Community Development Financial Institutions (CDFIs) partner to preserve the only senior affordable housing units in Worcester, Massachusetts.
WORCESTER, MA — Mercy Loan Fund (MLF) has provided a crucial loan to acquire and rehab Emanuel Village Apartments for low-income seniors. In Worcester, 40 miles west of Boston, 61% of seniors are earning less than $40K annually. There is a pressing need for Emanuel Village Apartments —the Census Bureau predicts that over the next 15 years the senior population is expected to rise 43%. Vacancy rates throughout the state are at a low, and these apartments currently have a 2-year waiting list.
“The percent of the population that’s 65 and older is expected to increase drastically. In the U.S., around 10,000 baby boomers are turning 65 today and every day for the next 15 years,” according to U.S. Census Population Projections.
Emanuel Village Apartments 19 studios, 56 one-bedrooms, and a total of 75 residents that are seniors 62 years and older. The property was constructed in 1991 and operates under a Section 8 HAP contract that runs through 2031. As part of the acquisition, the affordability will be extended to 2038. This acquisition includes improvements and upgrades to windows, roofing, elevators, exterior walls, parking area, fire suppression systems, and heating and hot water. Rents are being decided based on a rent comparability study.
This loan request was brought to MLF by the Millbrook Realty Group (MRG) and The Wishcamper Companies (TWC), two affordable housing developers — collectively they are the sponsors and guarantors. Although MLF has not completed a loan with MRG, they have completed five previous loans with the TWC affiliate, The Wishrock Group.
“MLF is excited to provide affordable housing options in a market that’s prohibitively expensive for many of the region’s low-income seniors. With the help of our partners, we’re looking forward to Emanuel Village Apartments supporting central Massachusetts’ housing needs,” said MLF’s Lending Director, Stefanie Joy.
About Mercy Loan Fund- For more than three decades, Mercy Loan Fund (MLF), a leading Community Development Financial Institution (CDFI), has focused exclusively on funding affordable housing and essential community infrastructure projects that support affordable housing. By collaborating with socially-responsible developers, MLF has helped finance the development of single and multifamily homes for rental and homeownership. These developments benefit underserved communities, including people with low incomes, seniors, farm workers, people who have experienced homelessness, and people with disabilities. MLF is a subsidiary of the affordable housing nonprofit, Mercy Housing, Inc. (MHI), headquartered in Denver, Colorado. mercyhousing.org/mercyloanfund
About Millbrook Realty Group- The Millbrook Realty Group (MRG) is a real estate investment and development firm that specializes in acquiring, renovating and operating multifamily apartment projects. Their primary focus is on acquiring existing apartment assets, apartment portfolios and limited partner and/or general partner interest in apartment transactions located on the East Coast and Midwest.
About Wishcamper Companies- The Wishcamper Companies (TWC) is a national real estate development organization that was founded in 1976 by Joe Wishcamper. TWC invests in affordable housing projects and companies that have the potential for double bottom line success; the opportunity for both a meaningful social impact as well as strong financial returns. TWC has a strong focus on affordable housing. They have a mission to improve and expand the nation’s stock of affordable housing and preserve its financial viability through the use of a broad range of public and private sources. They currently own interests in over 10K affordable housing apartments in 20 states.