Forest Hill House Apartments

$18.9 million HUD Section 221(d)(4) acquisition and substantial rehabilitation for Forest Hill House Apartments.

Forest Hill House Apartments is a property containing 99 age-restricted units and one non-revenue employee unit. The property benefits from a Project-Based Section 8 Contract covering all 99 of the age-restricted units.

Loan proceeds, together with equity derived from the sale of 4% Low Income Housing Tax Credits, were used by the new owners to acquire the property and complete property improvements and repairs.

As part of the loan transactions, the owner and HUD agreed to terminate the prior Section 8 Contract and enter into a new 20-year Section 8 Contract. The new Contract includes a "Preservation Exhibit" that will require the owner to renew the Contract at expiration for the remaining term of the prior terminated Contract, approximately 5 years.