L+M Development Partners and Prudential Financial announced a deal to preserve and modernize 268 units of Section 8 housing in Newarkâs South Ward.
L+M and the New Jersey Department of Community Affairs have reached an agreement to extend the Section 8 contract for Zion Towers at 515 Elizabeth Avenue for an additional 11 years, facilitating the necessary refinancing to perform immediate repairs on the neglected building and guaranteeing affordability for the next 30 years.
DCA nearly terminated the Section 8 contract entirely before L+M and Prudential acquired the property in late 2017 and began to rehabilitate the property.
Refinancing for the repairs is provided by several sources, including loans from the New Jersey Housing and Mortgage Financing Agency (NJHMFA) and Citi Community Capital; Low Income Housing Tax Credits from NJHMFA and tax credit equity from Wells Fargo Bank; subsidy loans from NJHMFA through the Sandy Special Needs Housing Fund and Money Follows the Person Housing Partnership Program, as well as from Citi Community Capital; and PILOT agreement.
