HOLYOKE — The developer planning to build a 47-unit affordable housing complex across from the Holyoke Public Library has received a $625,000 loan from a state-established agency toward the $13 million project.
The Community Economic Development Assistance Corp. (CEDAC) said it had committed the financing for HAPHousing’s Library Commons project in a press release Wednesday.
HAPHousing’s plan is to renovate three vacant buildings and build a new one on Chestnut, Essex and Elm streets for the Library Commons project, diagonally across from the Holyoke Public Library at 250 Chestnut St.
The CEDAC funding is a loan that HAPHousing will use to complete the purchase of properties over the next few months for the $13 million project, HAPHousing Project Manager Peter Serafino said in an email.
HAPHousing will give an update about the project Tuesday from 6 to 7:30 p.m. at the Holyoke Public Library.
As for other financing for the project, HAPHousing has received a $400,000 pre-development loan from CEDAC to pay for architectural plans, environmental reports, surveys and appraisals, as well as federal historic rehabilitation tax credits that can be used for two of the three historic building, Serafino said.
Also, HAPHousing has applied to the state for tax credits and loans from a pool of money for low-income housing at the Department of Housing and Community Development, he said.
Of the project’s planned 47 apartments, 39 will be rented to household’s that earn at or below 60 percent of the area median income, which is about $52,000 for a four-person household. The other eight apartments will be available at market-rate rents, he said.
Two of the 47 apartments will be designed for people with mobility impairments, he said.
Besides renovating three existing buildings, HAPHousing plans to build Roque House, “a supportive services center,” that will be available to Library Commons residents for career counseling and other services, the CEDAC press release said.
The state of Massachusetts established CEDAC in 1978 to help organizations with community development. CEDAC is now a “public-private, community development finance institution, that provides technical assistance, pre-development lending and consulting services…,” according to its website.
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