Development Includes NJHMFA Financing, Tax Credits
MONTGOMERY – A groundbreaking today kicked off the start of construction of the Apartments at Montgomery Crossing, which will provide 86 apartments affordable to families and financed in part by the New Jersey Housing and Mortgage Finance Agency (NJHMFA).
The project, to be built by PIRHL Developers, LLC, in partnership with HELP USA (HELP), will consist of a four-story building providing one-, two- and three-bedroom apartments for families earning up to 60% of the area median income. The development will also include five apartments set aside for homeless residents and four for individuals leaving development centers or transitioning from nursing facilities. A fitness center and community room also will be included in addition to an activity room, bike storage, on-site management and social service offices, outdoor playground area and dog run.
NJHMFA awarded the project very competitive 9% Low Income Housing Tax Credits, which are expected to generate $12.2 million in private equity. The Agency also provided $7.9 million in financing, as well as $300,000 through its Money Follows the Person Housing Partnership Program (MFPHPP) for four apartments.
“Low Income Housing Tax Credits have played an essential role in the creation of affordable housing across the state, with priority given to developments located in high opportunity areas close to good schools and transportation,” said NJHMFA Executive Director Charles A. Richman. “At the same time, the Apartments at Montgomery Crossing will help to fulfill our mission to provide affordable and supportive homes in the community for residents with special needs.”
MFPHPP provides subsidies to eligible developers to set aside apartments for individuals transitioning from nursing facilities to community settings. These new apartments provide these individuals the opportunity to live independently within the community. To date, NJHMFA has committed over $3.5 million under the program, which is enabling 47 individuals to integrate fully into the community.
The Apartments at Montgomery Crossing, to be located on a four-acre site on Hartwick Drive bordering residential neighborhoods, is close to downtown Princeton, medical facilities, and the Route 206 multifamily, retail and commercial corridor.
PIRHL Developers, LLC, located in Hamilton and headquartered in Cleveland, Ohio, is a full-service investor, developer, general contractor and owner of single-family and multifamily housing. Founded in 1986, HELP is a nonprofit working to address the nation’s growing homelessness crisis. HELP provides safe, affordable apartments who are low-income or who have experienced homelessness.
Construction is expected to be complete by spring 2021. Rents are expected to range from $1,055 per month for a one-bedroom unit targeted to individuals earning at or below 50% AMI to $1,768 for a three-bedroom unit for families earning at or below 60% AMI.
On-site supportive services will be available to all residents through various service providers offering credit counseling, medical screenings and seminars, job training workshops and more. A five-hour-per-week supportive services coordinator will be on-site specifically to provide case management services to the homeless set-aside apartments.
For more information on NJHMFA and its programs, visit njhousing.gov.