Projects: Historic Rehabilitation Tax Credits
Boston Youth Hostel – Boston, Massachusetts
Nolan Sheehan Patten represented two of the three community development entities (CDEs) in this $36 million financing which combined the New Markets Tax Credit and Historic Tax Credit programs. We advised both Massachusetts Housing Investment Corporation (MHIC) and Massachusetts Development Finance Agency (MassDevelopment) in structuring and closing qualified low-income community investments of approximately $23.5 million. The proceeds will be used to finance the Dill Building—a historic building at the intersection of Boston’s midtown cultural district, theatre district and Chinatown—into the first LEED certified youth hostel in the United States. Additionally, the Project is expected to generate more than $16 million of annual revenue for Boston-area businesses.
98 Essex Street – Haverhill, Massachusetts
Nolan Sheehan Patten represented Massachusetts Housing Equity Fund in connection with the renovation of 62 units of housing at 98 Essex Street in Haverhill. The project will entail the adaptive reuse and historic renovation of the former Shoe and Leather Associates building. When complete, a majority of the 62 prospective units will be either one or two-bedroom apartments, with seven of the apartments reserved for low income households. The redevelopment will offer a versatile array of housing near public transit. Total cost of the project is estimated to be $25 million with $16.8 million in the form of state cash as well as state and federal tax credits.
Eustis Street Firehouse – Roxbury, Massachusetts
The oldest firehouse in Boston, the Eustis Street Firehouse was abandoned in the 1950s and fell into serious disrepair, requiring wooden braces and threatening collapse prior to construction. Given its history, however, the building remained important to the City’s character. Historic Boston, Inc. (HBI), a local nonprofit focused on rescuing, preserving, and rehabilitating historic Boston properties, decided to save the structure for its own headquarters. Nolan Sheehan Patten represented both the CDE and Investor in creating a twinned NMTC and state/federal HTC master tenant structure that delivered a $2.1 million financing package to HBI by leveraging a loan from the City of Boston, capital campaign funds, and equity investments. HBI moved into the renovated building in the fall of 2011. The move has spurred additional development and revitalization throughout the Dudley Square community.
Donald T. Erwin Community Health Center – New Orleans, LA
Nolan Sheehan Patten represented a subsidiary Community Development Entity (CDE) of Capital Link, Inc. in this twinned New Markets Tax Credit and Federal Historic Tax Credit transaction. The structure leveraged the proceeds of grants from the Kresge Foundation and the Louisiana Primary Care Association, a loan from the State of Louisiana’s Office of Community Development, and equity from First NBC Bank through the CDE to provide over $7,000,000 in qualified low income community investment loans to an affiliate of the St. Thomas Community Health Center in New Orleans, Louisiana. St. Thomas used these funds to acquire, rehabilitate and retrofit a well-known historic building in downtown New Orleans into the Donald T. Erwin Community Health Center, an urban health center primarily serving uninsured and underrepresented low-income populations.
Sitkowski School Apartments – Webster, Massachusetts
Nolan Sheehan Patten represented the investor Massachusetts Housing Equity Fund (“MHEF”) in connection with the rehabilitation of an historic, decommissioned school. All historic elements will be maintained, or enhanced, with the addition of new parking areas, landscaping and streetscape improvements. The complex will have 66 units of affordable senior housing and a community/senior center. MHEF invested over $9 million in LIHTC and HTC equity.
French Block — Montpelier, Vermont
Nolan Sheehan Patten worked with Housing Vermont in connection with the acquisition and construction of 18 apartments on the second and third floors of an historic 3-story, masonry building built in 1875 located on Main Street in the center of downtown Montpelier, known as “The French Block.” While the first floor is occupied by commercial businesses, the residences on the upper two floors have been vacant for 75 years. The French Block is the longest commercial block in downtown Montpelier. The project utilizes the federal low-income housing tax credit, the federal historic rehabilitation credit, and Vermont Downtown Village credits. Of the 18 units renovated, 14 units will be preserved as affordable housing.
© Andy Duback
Knitting Mill – Fall River, Massachusetts
Nolan Sheehan Patten represented the City of Fall River, Department of Housing and Community Development and Massachusetts Affordable Housing Trust Fund in the financing, acquisition and redevelopment of a former mill building in Fall River, Massachusetts. This historic rehabilitation of a 149,000+ square foot mill will provide the City of Fall River with 100 affordable housing units, 25 of which will be reserved for seniors earning less than 30% of the area median income.
Abby’s House — Worcester, Massachusetts
Nolan Sheehan Patten represented the investor, Massachusetts Housing Equity Fund XXIII in connection with the renovation of a 55 unit building in Worcester, Massachusetts. The project included more than $10M in public funding from state, federal and local agencies. Abby’s House provides single room residences for women who are homeless, battered or low-income. The building, located at 52 High Street, is home to more than 50 women and also includes a thrift shop, program space and The Abby’s House’s Women’s Center.
Lyman School Apartments – East Boston, Massachusetts
Nolan Sheehan Patten represented the investor, Massachusetts Housing Equity Fund, in connection with the rehabilitation of the Lyman School in East Boston. The Theodore Lyman School building is listed in the National Register for Historic Places. Utilizing both the low-income housing tax credit and historic rehabilitation tax credit, the project will preserve 45 units of affordable housing apartments.
Worcester Telegram and Gazette – Worcester, Massachusetts
Nolan Sheehan Patten represented three separate CDEs in providing approximately $30,000,000 in QLICI loans, the proceeds of which were used for the historic rehabilitation of this approximately 135,000 square foot, 5 building complex previously known as the Worcester Telegram and Gazette building. Quinsigamond Community College will primarily occupy the rehabilitated complex, with smaller portions occupied by non-profit organizations and business incubator space. This project was one of the first twinned NMTC and historic tax credit transactions to close after the issuance of the IRS Revenue Procedure regarding partnership allocation of historic tax credits.
Virginia Blanchard School – Uxbridge, Massachusetts
Nolan Sheehan Patten represented the nonprofit developer Virginia Blanchard Memorial Housing Association, Inc. and JNJUHL and Associates LLC in the renovation of a former school as a much-needed 25-unit affordable housing development. Located in Uxbridge, MA, the Virginia A. Blanchard School was built in 1873, and is listed on the National Register of Historic Places. The project was funded by a combination of federal low-income housing and historic tax credits, state low-income housing and historic tax credits, federal and state lending sources, and private lending sources. Upon completion, 100% of the units at the Blanchard School will be reserved for residents with incomes of 60% or less than the area median, with a priority for veterans and local residents.