The Residences at Ellicott Gardens was recently honored with a "2010 Commitment to Excellence Award" by the Maryland Department of Housing and Community Development. The new apartment complex for low income families has been developed on nearly 3.4 acres of beautiful land in Ellicott City, MD thanks to a number of financing solutions provided through PNC Real Estate.
"This project is a great example of a quality multifamily housing project that was well-planned, and is a really positive addition to the community. We were proud to be able to offer the right financing options to make it happen," said Paul Connolly. "In addition to being a high quality development, the project's 106 units help meet the great demand for affordable housing in Howard County."
The property targets families who earn no more than 50% to 60% of the area's median income (AMI) and offers amenities such as a community room equipped with a warming kitchen, computer lab, activities room, exercise facility, and entertainment lounge. Ellicott Gardens also has on-site management with a leasing office, parking garage, central laundry facilities and an outdoor covered courtyard.
To make this project a reality, PNC Real Estate worked with the Howard County Housing Commission and property developer Bender Properties II, LLC to find the right financing solutions to meet their needs. PNC provided $4.9 million in 4% Low Income Housing Tax Credits (LIHTC), $9.2 million in Letters of Credit to fund the construction. In addition, PNC structured permanent financing in the amount of $6.5 million through a Freddie Mac Forward Commitment for credit enhancement of variable-rate tax-exempt bonds issued by the Maryland Department of Housing and Community Development. PNC, through its Capital Markets group, also provided an interest rate swap that converts the variable rate on the bond to a fixed pay rate for the borrower.