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 Residences at Ellicott Gardens consists of 95 one-bedroom units and 11 two-bedroom units. The property targets families who earn no more than 50% to 60% of the are'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.
"This project is a great example of a quality multifamily housing project that was well-planned and managed, and one that is also 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.
To make this project become 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 $4.9mm in 4% Low Income Housing Tax Credits (LIHTC), $9.2mm through Letters of Credit to fund the construction, and partnered with Freddie Mac to provide a $6.5mm 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.
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This article first appeared in the March 2011 issue of the Novogradac Journal of Tax Credits.
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