Dane Professional Consulting Group has brokered one of the first privately initiated affordable housing projects under the HUD RAD (Rental Assistance Demonstration) program in the country.
Dane PCG exclusively worked with the buyer and represented the seller, CRI.
Heidi Burkhart, president of Dane PCG, said, “All parties in this transaction showed diligence, patience and great teamwork to get to a successful closing.
“We are excited for the tenants to benefit from the rehabilitation.”
The buyer, Carthage Advisors, is a developer of workforce housing. The Housing Authority of the City of East Orange administered a new project based contract for all 87 senior housing units ensuring their affordability for the next 15 years, as part of the RAD program.
Edward Poteat, president of Carthage Advisors, said, “It’s great to be a pioneer working hand in hand with HUD on the RAD program. Carthage Advisors remains committed to its triple bottom line approach of socially responsible developments, environmentally responsible developments and developments which are profitable to our investors.”
The project cost totaled $7,900,000 and was financed through the New Jersey Municipal Housing Agency’s conduit tax-exempt bonds arranged by PNC Real Estate. PNC Real Estate was also the Low Income Housing Tax Credit provider.
Rehabilitation and renovation will take six months and the expected date of completion is January 2014.