Hilltop Apartments – 908 Eastern Avenue, NE, Washington, DC
Total Development Cost – $27,450,000
Predevelopment Loan Closed March, 2017
DHCD TOPA Acquisition/Critical Repair Loan Closed September, 2017
Construction and Permanent Financing Closed December, 2017
Audubon Enterprises was engaged by WinnDevelopment (Winn) to serve as the exclusive financial advisor to its Tenant Opportunity to Purchase Act (TOPA) acquisition and 4% LIHTC rehabilitation project called Hilltop Apartments at 908 Eastern Avenue NE in Washington, DC. This previously market-rate community was put up for sale by its previous owner and the Tenant Association exercised its TOPA rights and assigned them to Winn after a competitive process. Audubon and Winn worked in conjunction to plan and execute the financial structure which included three separate closings, with the ultimate rehabilitation and permanent financing closing in December, 2017.
Major rehab began shortly after closing and included numerous in-unit upgrades to the interiors and a new patio area with tables and benches was added on site. A substantial overhaul of the property’s security system was performed, new exterior fencing was installed, and a new community sign was installed.
The fully renovated community will feature long term set asides for units at 60% and 80% of the Area Median Income (AMI) as well as some market rate units. The project was awarded funding from the DC Department of Housing and Community Development (DHCD) in January, 2017 through the rolling, competitive TOPA Acquisition/Critical Repairs application process. Audubon led the financing effort by coordinating the private capital market funding sources with local agencies including DHCD and DC Housing Finance Agency (DC HFA), across three separate closings from March to December 2017. The long-term debt was provided through a Fannie Mae MBS as Tax Exempt Bond (M.TEB) execution.
Other development team members included Keith Construction, The Architectural Team, and Winn Management Company.