BOSTON — MassHousing, working with Rogerson Communities, has provided $14.5 million in affordable housing financing to Charles H. Farnsworth Senior Housing Corp., owner and developer of the 76-unit Farnsworth House for older adults in Boston.
The funds will be used for the refinancing and renovation of the property, as well as the extension of resident affordability for at least 24 years.
Located in the city’s Jamaica Plain neighborhood, Farnsworth House is a seven-story brick building built in 1982 under the federal Section 202 Program.
Among the improvements planned for the property are roof replacement, parking lot refurbishment, the removal of an underground oil tank, and replacement of the emergency generator, emergency call system, intercom, security camera system, fire alarm panel system and lobby furniture.
As part of the transaction, the borrower has executed a new 20-year HUD Section 8 Housing Assistance Payments contract for 75 of the 76 apartments at Farnsworth House. The new contract will include four years remaining on the previous contract, for an overall extension of affordability of 24 years. There is an additional unit on the property for management staff.
Farnsworth House was refinanced through MassHousing’s Multifamily Accelerated Processing (MAP)/Ginnie Mae joint venture initiative with lender partner Rockport Mortgage Corp. The combination of FHA insurance and a Ginnie Mae guarantee enables borrowers to access taxable mortgage financing with lower interest rates, while preserving and extending affordability for low-income individuals, senior citizens and families.
The loan features a 35-year term.