MassHousing and Reed Realty Advisors LLC recently closed a $28.8 million transaction that will help transform the Pacific Mills cotton complex – built in the 1890s - into a new, 180-unit affordable housing community called Pac 10 Lofts, with 40 workforce housing units for moderate-income households.
“Pac 10 Lofts will fill a critical need for mixed-income housing in downtown Lawrence, while transforming a vacant mill property into a vibrant, new housing community,” said MassHousing Executive Director Chrystal Kornegay. “The redevelopment of the former Pacific Mills marks another step forward in Lawrence’s revitalization. Mayor Rivera is attracting investment to Lawrence, to create a more vibrant, welcoming city. MassHousing is pleased to be part of the Mayor’s efforts to create more quality, affordable housing for lower-income residents and working families. I congratulate the Mayor, and Reed Realty Advisors, for their work on this important project.”
- $14 million tax-exempt permanent loan
- $1 million taxable permanent loan
- $8.8 million tax credit equity bridge loan
- $5 million from MassHousing’s $100 million Workforce Housing Initiative
- $16 million in Low-Income Housing Tax Credit equity
- $1.8 million from an allocation of state historic tax credits
- $3.6 million seller note
- $2.5 million deferred developer fee
- $210,000 in financing from the City of Lawrence
Of the 180 new apartments:
- 18 will be for low-income households earning at or below 30% of Area Median Income (AMI)
- 112 will be for households earning at or below 60% of AMI
- 40 will be workforce housing units for households earning at or below 80% of AMI
- 10 units will be rented at market rates.
The area median income for a family of four in Lawrence is $95,000
MassHousing has financed or administers the subsidy contract for 16 rental communities in Lawrence, for a total of 1,965 housing units and an original loan amount of $103 million. The Agency has also provided $121 million in financing to 1,343 Lawrence homebuyers or homeowners.