FITCHBURG, Wis. — Hunt Capital Partners, in collaboration with Plesko Properties LLC, has arranged federal and state low-income housing tax credit (LIHTC) equity financing for the construction of Fitchburg Senior Apartments.
Located in the Madison suburb of Fitchburg, the community will feature 160 affordable housing units to seniors who are 55 and older. Units will be restricted to households who earn up to 30, 40, 60, 70 and 80 percent of the area median income.
Nearly 20 percent of Fitchburg residents are 55 and older, according the U.S. Census. The area suffers from a persistent lack of affordable housing options, only heightened by historically low vacancies in the rental market.
The development team broke ground on Fitchburg Senior Apartments in March 2019. Once completed in July 2020, the community will be a four-story, elevator-serviced building providing 80 one-bedroom/one-bathroom units and 80 two-bedroom/two-bathroom units.
The total development cost for Fitchburg Senior Apartments is $34.4 million. The development team was awarded $15 million in federal and state LIHTCs. Hunt Capital Partners facilitated the federal tax credits through its multi-investor fund, Hunt Capital Partners Tax Credit Fund 27. Advantage Capital purchased the state LIHTC credits through Fund 27 as well. The Wisconsin Housing and Economic Development Authority (WHEDA) provided $23 million in taxable and tax-exempt construction and permanent financing and $1.5 million in soft financing.
Plesko Properties is the project developer, and contracted Baker Tilly Virchow Krause LLP as the project consultant. Stevens Construction Corp. is the general contractor. JLA Architects is the project architect, and Oakbrook Corp. is the property management agent.