July 24, 2020
MassHousing has provided a total of $30.3 million in affordable housing financing to the Fenway Community Development Corp. for the refinancing, major renovation, and preservation of affordability for mixed-income households at the 97-unit Newcastle Saranac in Boston’s South End.
Fenway CDC, in partnership with the Schochet Companies, acquired Newcastle Saranac through Chapter 40T in March 2018. The former owner intended to sell the property, putting the property’s 97 affordable units at risk of converting to market-rate rents. MassHousing is providing Fenway CDC with a $17.6 million tax-exempt construction and permanent loan, a $10.5 million tax credit equity bridge loan, and $2.25 million in Section 13A preservation financing.
“The deep affordability of these units for nearly a hundred households, contrasted with the rents of market-rate housing in the area, made their preservation especially critical for maintaining the vibrancy and diversity of the neighborhood,” said Chrystal Kornegay executive director at MassHousing. “Thanks to a strong collaborative effort by the Commonwealth, the City of Boston, the Community Economic Development Assistance Corporation, the Fenway CDC, the Schochet Companies and the residents of Newcastle Saranac, the community will see affordable homes preserved and substantially renovated. MassHousing is pleased to be a partner in this important transaction.”
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