Charles Place to get $26M renovation

PROVIDENCE – One of the largest senior apartment complexes in Providence will be renovated and preserved for affordable housing, under a $26 million financing package approved by Rhode Island Housing, and announced Wednesday.
Charles Place Apartments, on Charles Street, was built in 1974 and includes 200 affordable housing units for elderly and disabled tenants, according to the housing corporation, which is privately funded.
As part of the financing, the 10-story complex was sold on March 31 to Standard Property Company of New York, a national real estate development company. The new owner has hired Apartment Management Consultants, a national firm, to manage the facility.
Rhode Island Housing will partner with Citi in the financing, under a structure that involves Citi providing a direct loan of $26 million to Rhode Island Housing, which then will issue a tax-exempt note to Citi under its tax-exempt bonding authority, according to Rhode Island Housing.
The housing corporation will then provide the loan proceeds to Standard Property Company. Under the tax exempt loan, the project is eligible to receive federal low-income housing tax credits which are allocated by Rhode Island Housing.
The tax credits are expected to generate about $11 million in private equity for the project, which will be used for rehabilitation expenses and transaction costs. As part of the deal, Rhode Island Housing said it required a long-term restriction to ensure the development remains affordable housing for 40 years. The corporation’s Board of Commissioners approved the financing on March 19.
The renovations will include interior upgrades to unit kitchens and bathrooms, upgrades to the fire suppression and alarm systems, elevators and Americans with Disabilities Act modifications. Common areas will be painted and get new carpeting, lighting and wall coverings. The exterior work will include replacement windows, brick repair and a new roof. The parking lot will be repaired and new landscaping installed, as well.

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