Nonprofit affordable housing developer closes on financing to renovate 123 affordable rental apartments in Attleboro

ATTLEBORO - Preservation of Affordable Housing (POAH) has closed on the financing to renovate and ensure the continued affordability of a mixed income property that provides 123 affordable rental units at Gardner Terrace II and Hebronville Mill Apartments, located on Knight Avenue and Read Street respectively. The funding will support the second phase of renovations to an affordable portfolio of 226 apartments that POAH acquired in 2020.

The portfolio required extensive renovations to bring the units up to building and energy codes, and to make critical improvements to aging structural elements of the buildings. Last year, POAH completed renovations at Gardner Terrace I, a former jewelry factory on Pine Street that was converted into residential housing in the 1980s. Renovations there included full historic window replacement to preserve the building's architectural character, adding a high-efficiency heating and cooling system, and upgraded ventilation.

Gardner Terrace II and Hebronville Mill consist of eight buildings in Attleboro – a 52-unit brick building on Knight Ave and the former Hebronville Mill complex, a seven-building historic textile factory dating back to 1854, that consists of 82 one, two, and three-bedroom apartments. It also contains 11 market rate apartments. Rents will not increase as a result of the renovation project.

Planned renovations for Gardner Terrace II and Hebronville Mill include structural improvements, roof replacement, elevator modernization as well as the construction of a dedicated common space for residents. Renovations will enhance the building’s conditions for residents while maintaining its historic character.

“This financing marks a significant milestone for POAH in its multi-year renovation of these historic buildings that required extensive expertise and creative solutions to bring them up to code and preserve their architectural character,” said POAH President and CEO Aaron Gornstein. “We look forward to the next phase of this major renovation project that will update these apartments for the many families and seniors who call them home.”

The project was made possible through critical lending and investments from public and private partnerships. MassHousing is contributing over $70 million in permanent and construction loans, financed in part through the sale of tax-exempt bonds. The Massachusetts Executive Office of Housing and Livable Communities (EOHLC) provided development capital from its Housing Stabilization Fund (HSF). Hudson Housing Capital and Santander are investing $35 million in private equity through the sale of federal Low Income Housing Tax Credits (LIHTC) and Historic Tax Credits (HTC). Clocktower Tax Credits brokered the sale of Massachusetts State LIHTC and HTC which will generate nearly $20 million in private equity.

“MassHousing is pleased that the residents of Gardner Terrace II and Hebronville Mill Apartments will soon see significant improvements to the property and their apartment homes,” said MassHousing CEO Chrystal Kornegay. “We were pleased to work with POAH, which has the expertise and is fully equipped to complete the complex financing and redevelopment that this important source of affordable housing in Attleboro requires.”

Photos: (top row, left to right) Knight Ave building, Hebronville Mill, (bottom row) Gardner Terrace I, renovated last year

About POAH
Preservation of Affordable Housing (POAH) is a nonprofit developer, owner, and operator of more than 14,000 affordable homes in 13 states and the District of Columbia. POAH’s mission is to preserve, create, and sustain affordable, healthy homes that support economic security and access to opportunity for all.