Search
 

Mortgage Banker Commits to Affordable Housing

SAN ANTONIO, TX—Bellwether Enterprise has committed to funding for affordable housing in a big way, recently closing $130 million for 13 affordable housing loans in June alone.

By Lisa Brown | lisabrown | | Updated on August 01, 2016
Freedom Hills Ranch Freedom Hills Ranch Apartments is a proposed three-story, garden-style community.
SAN ANTONIO, TX—The US housing industry is in the midst of a broad insecurity crisis that is affecting nearly 19 million low-income families who are homeless or paying more than half of their monthly income on housing. That issue has been at the forefront for Bellwether Enterprise , which has committed to funding for affordable housing in a big way. It recently closed $130 million for 13 affordable housing loans in June alone. Two of the deals include:  A $20.150 million permanent financing loan provided for Freedom Hills Ranch Apartments , a proposed three-story, garden-style apartment community. The unit mix is to include one-, two- and three-bedroom units, 252 of which are reserved affordable. The complex also includes a community clubhouse, sports facilities, playground, resource center and on-site laundry facilities. Galaxy Builders has begun construction on the property and is expected to be completed by summer of 2017. Bellwether Enterprise loan originator Phil Melton , executive vice president in Dallas tells GlobeSt.com: “As of 2014, nearly 25% of the renters in San Antonio spend over half their income in rent, which points to a lack of affordable places to live in the city. We are proud to be a part of finding a solution for these struggling renter families and hope we can continue to facilitate lending for affordable homes in San Antonio and across the country.” Melton and Cindy Hannon , senior vice president, provided the borrower, Hogan Property Company , with an insured loan from the US Department of Housing and Urban Development under the construction program for tax-exempt bonds.  For the property to receive 4% tax credits, the Texas Department of Housing and Community Affairs required rents to be limited to 50% and 60% area median income. An $11 million acquisition loan was also provided for Spruce Hill in Asheville, NC.  With the Federal Housing Administration ‘s low-income housing tax credit pilot program that protects lenders from loss on defaults and a low interest rate secured for the next 35 years, Bellwether Enterprise provided the debt to support a construction budget for renovations. “Asheville and San Antonio, like many other cities across the country, are facing a shortage in the supply of affordable housing that is leaving many residents struggling to make ends meet,” said Ned Huffman , president of Bellwether Enterprise. “Bellwether Enterprise is proud to help finance projects that build more vibrant communities and keep housing within families’ reach.”  Bellwether is the commercial and multifamily mortgage banking subsidiary of Enterprise Community Investment Inc. Enterprise’s goal is to end housing insecurity, which means no more homelessness and no more families paying more than 50% of income on housing. As part of the Enterprise family of companies, Bellwether Enterprise is committed to using its experience and nationwide network to help achieve the goal of eliminating homelessness. Steady gains in the US economy have resulted in net positives for the multifamily sector—will this wave continue for the foreseeable future? What’s driving development and capital flows? Join us at RealShare Apartments on October 19 & 20 for impactful information from the leaders in the National multifamily space. Learn more.  

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.