HDC MidAtlantic’s Homeownership Program Completes First Sale

Lancaster, PA – HDC MidAtlantic President Dana Hanchin announced today that the first sale within the organization’s homeownership program at Larkspur Crossing in Manheim Township, PA (Lititz mailing address) has been completed. This is the first program of its kind for HDC MidAtlantic, and one of only a handful of such programs across the state. Three more homes are expected to be purchased this year.

Others are looking forward to making their homes truly their own, and to continuing to invest in a community they have grown to love.

Residents in the program have been carefully planning for this opportunity for several years, and are excited to achieve the dream of home-ownership. As one recently explained, “This program was an opportunity for us to work smarter and get to this goal… It means that now our children can have something. It’s something we can pass down to them.”

Built in 2005, Larkspur Crossing is located at 201 Starflower View and features 29 three-bedroom affordable rental townhomes. The homes are now available to purchase by current renters at $75,000, a sales price significantly below market value. Estimated market values range between $149,000 and $183,000 depending on the size and location of the townhome.

Interested renters began preparing to buy their homes in 2018 by working with Lancaster Housing Opportunity Partnership (LHOP) and Tabor Community Services. To be eligible to buy their home, renters are required to complete Tabor’s Financial and Homeowner Counseling Program, which focuses on household budgeting, credit scores and mortgage approval process, and LHOP’s Home Buyer Education Program. If successful in completing LHOP’s program, residents can receive a loan up to $5,000 to apply toward closing costs. Residents can also receive additional financial assistance from Tabor’s matched savings program, which matches $2 for every $1 dollar saved. HDC MidAtlantic has also committed to providing $3,300 toward down payment and/or closing costs

“At HDC, we understand that affordable housing is a cornerstone to economic mobility and growth. For most Americans, the primary way families build wealth is through homeownership. This program makes home ownership a possibility for households who may have thought their dream was out of reach. We are proud to partner with them to make their dream a reality,” Hanchin said. “We are also incredibly grateful to our partners at LHOP and Tabor. Their education and counseling programs are vital to helping make the dream of owning their own home possible.”

“Homeownership allows individuals and families to build wealth; it provides long-term stability to neighborhoods and communities; and over time is more affordable than rental housing,” said PHFA Executive Director and CEO Robin Wiessmann. “Housing stability is also critical to health. We are proud to work alongside HDC MidAtlantic to make sure as many Pennsylvanians as possible can attain quality, affordable housing.”

Larkspur Crossing was built in 2005 using Low-Income Housing Tax Credit financing with the intention of giving renters the option to buy their townhouse after the 15-year tax credit compliance period ended this year.

The Flats Receives $1 Million from DSHA

WILMINGTON, DE – HDC MidAtlantic President Dana Hanchin announced today that the Todmorden Foundation, Inc. was awarded $1,000,000 in annual Low Income Housing Tax Credits (LIHTC) funding from the Delaware State Housing Authority (DSHA) for the Phase IV redevelopment and preservation effort of The Flats located in Wilmington, New Castle County, Delaware. 

The redevelopment’s Phase IV will provide 52 efficiency, one-bedroom, two-bedroom, and three-bedroom apartments for low to moderate income families and seniors. Ten apartments will be reserved for households at or below 30% of the local average median income (AMI), 17 apartments will be reserved for households at or below 40% AMI, 17 apartments will be reserved for households at or below 50% AMI and the remaining 8 apartments will be reserved for residents at or below 60% AMI. Eleven apartments will be reserved for those living with disabilities.

The Todmorden Foundation, Inc.— a 501c(3) non-profit operating foundation and co-developer— has collaborated with Woodlawn Trustees, Incorporated, and HDC MidAtlantic to secure the tax credits and develop and manage the new phase of redevelopment.

“With this award, we are excited for the next phase of development at The Flats, and to be expanding housing options on the West Side. Our partnership with Todmorden Foundation, as well as support from DSHA, has allowed us continue to build hope and opportunity in Wilmington,” said HDC President and CEO Dana Hanchin. “The preservation of this housing continues the philanthropic vision of William Bancroft and will provide affordable housing for Wilmington for years to come. We are proud to be a part of that.”

“Todmorden Foundation is excited for the next phase of the redevelopment of the Flats and the continuation of Mr. Bancroft’s mission of providing affordable rental housing,” said Todmorden Foundation Vice President Donna Gooden.

HDC developed and currently manages Phase I (72 apartments) and Phase II (72 apartments) of The Flats, which are completed and occupied. The first building of Phase III (36 apartments), also developed and managed by HDC, has been completed and has begun leasing up. The second building (41 apartments) is expected to be completed and ready for occupancy by fall. There are three more planned phases to bring a total of 453 affordable homes for families, seniors and individuals with lower incomes living in Wilmington.

The Flats neighborhood was originally established to be affordable workforce housing by industrialist William Bancroft and the Woodlawn Company in the early twentieth century and has operated as such since its original development. As the housing grew outdated, Woodlawn/Todmorden desired to continue Bancroft’s mission and revitalize the housing with modern, updated affordable homes.

The total development costs for The Flats Phase IV is expected to be $15,157,201.

The redevelopment will also utilize additional private, state and local funding sources. Construction is slated to begin in 2021. 


DSHA’s LIHTC program provides direct federal income tax credits to build, acquire or rehabilitate low and moderate income rental housing.  DSHA’s HDF program is designed to provide financing for developers to acquire and/or rehabilitate existing housing, adaptively reuse nonresidential buildings, or build new construction of low and moderate income housing. 

###

HDC MidAtlantic envisions a world where a safe, welcoming, affordable place to call home is open to everyone. We believe home shouldn’t be an impossible dream, it should be an attainable reality: we believe housing is a human right. We are resident advocates, trusted developers, property managers, community partners, and collaborators. We are part of the fabric of our towns and cities, and have been working with our neighbors since 1971 to create real change and meaningful connections. As champions of the greater good, we open the door to opportunities and build homes that we can all be proud of. 

HDC owns and/or manages over 3,700 apartments, providing housing that is safe and affordable to those with lower incomes, focusing on seniors, families, and individuals living with disabilities. Serving over 5,000 residents in 58 communities located in urban, suburban and rural areas across Pennsylvania, Delaware and Maryland, HDC builds hope and opportunity for all residents to reach their full potential by creating, preserving, and strengthening affordable housing communities. 

HDC MidAtlantic Awarded $1 Million for Affordable Housing Preservation

The Pennsylvania Housing Finance Agency (PHFA) has awarded $1,000,000 in Pennsylvania Housing Affordability and Rehabilitation Enhancement (PHARE) funding to HDC MidAtlantic in support of the Chester County Preservation Initiative (CCPI), an $18.6 million  preservation of 97 affordable homes in Chester County, Pennsylvania.

CCPI communities include Ash Park Terrace, a 56-unit apartment community serving seniors aged 55 and over and individuals living with disabilities, and Washington House Apartments, a 10-unit apartment community serving seniors aged 55 and over with preference given to those living with handicaps or disabilities in Coatesville, and Hannum Gardens, a 31-unit apartment community serving families in West Chester.

“HDC has found two great partners in Mission First Housing Group and the Housing Authority of Chester County as we work to support Chester County’s most vulnerable populations,” said HDC President and CEO Dana Hanchin. “Mission First is not only an experienced developer who understands the challenges presented in Chester County, but their organization’s mission and values align and support HDC’s as well. We are happy to join them as champions for the greater good.”

“The Housing Authority of Chester County is so excited and grateful to partner with HDC MidAtlantic and the Mission First to preserve and upgrade 97 units of affordable housing. This housing includes units for both seniors and families. All of them have very low incomes which would make it virtually impossible to locate affordable housing in the often very expensive neighborhoods in Chester County. My Board Chairman, Pat Bokovitz, and I extend our thank yous to our partners in this effort. We look forward to working together to get this accomplished as quickly as possible.”

CCPI is a joint venture entity created after HDC MidAtlantic and Mission First, both mission-based, nonprofit developers, were selected to purchase the ownership interest in two limited partnerships in three properties currently controlled by the Housing Authority of Chester County (“HACC”) in 2018. The new ownership entity will be controlled by HDC and Mission First.

CCPI is important to the county, as it will provide much needed funding to rehabilitate and preserve each community to ensure guaranteed affordability and sustainable operations for decades to come. Hannum Gardens and Washington Terrace Apartments have long been critical assets in Chester County, offering in demand and scarce high-quality affordable housing options to vulnerable populations including low-income residents, seniors and those living with disabilities in an overall affluent and high cost region. By financing the rehabilitation using the Rental Assistance Demonstration (RAD) program, 4% LIHTC tax-exempt bonds, and existing project-based subsidies, residents will pay no more than 30% of their income towards rent. 

PHARE funding will be used to complete renovations. Each community will receive significant updates to repair and replace major systems as well as improve energy efficiency and generate housing cost savings for residents and improve overall community operating costs. Planned upgrades include conversion of exterior lighting to LED, upgrades of interior and exterior lighting fixtures to ENERGY STAR components, transition of appliances to ENERGY STAR models, upgrades to HVAC systems to meet ENERGY STAR standards, and the replacement of existing windows with new ENERGY STAR windows. Water saving features will be added and kitchens and bathrooms will be improved to maximize cost savings for residents. The 11 apartments currently reserved for residents with disabilities will be updated to comply with current ADA standards.

Resident Services to connect residents to community resources and partners will be on-site at each community and available to all residents. 

Construction is slated to begin Spring 2021.

####

HDC MidAtlantic envisions a world where a safe, welcoming, affordable place to call home is open to everyone. We believe home shouldn’t be an impossible dream, it should be an attainable reality: we believe housing is a human right. We are resident advocates, trusted developers, property managers, community partners, and collaborators. We are part of the fabric of our towns and cities, and have been working with our neighbors since 1971 to create real change and meaningful connections. As champions of the greater good, we open the door to opportunities and build homes that we can all be proud of. 

HDC owns and/or manages over 3,700 apartments, providing housing that is safe and affordable to those with lower incomes, focusing on seniors, families, and individuals living with disabilities. Serving over 5,000 residents in 58 communities located in urban, suburban and rural areas across Pennsylvania, Delaware and Maryland, HDC builds hope and opportunity for all residents to reach their full potential by creating, preserving, and strengthening affordable housing communities. 

ABOUT MISSION FIRST HOUSING GROUP

Mission First Housing Group develops and manages affordable, safe and sustainable homes for people in need, with a non-profit, mission-driven focus on the most vulnerable. Mission First ensures its residents have access to resources to help them live independently. They deliver housing that provides long-term benefits to residents and neighborhoods, alike. Mission First is a full-service real estate organization developing high-quality, green community assets across the Mid-Atlantic region. Mission First currently provides affordable housing and services to over 5,000 people in nearly 3,900 apartments, serving populations in need, such as families, veterans, survivors of domestic violence, seniors and the disabled. More information at www.missionfirsthousing.org.

ABOUT HACC

The mission of the Housing Authority of Chester County is to provide, manage and develop quality affordable housing for individuals and families while promoting self-sufficiency and neighborhood revitalization. This will be achieved through maximizing our resources while always ensuring the financial integrity of the agency. Furthermore, it is our intent to accomplish this through forging the strong partnerships necessary to create innovative solutions to the housing needs of the communities we serve.