Kittle Property Group has completed the entitlement and closing process for Spire Apartments in Charlotte, NC! We closed on the land for this community in December, and this additional work since December has allowed us to close with our capital partner, Protective Life Insurance Company. Spire is our first property in North Carolina.
The community sits on a 17-acre parcel of ground that is located in the red-hot University City submarket of Charlotte, North Carolina, where we will be delivering 288 apartment homes targeting the workforce in the area. The community will encompass a number of 1, 2 and 3 bedroom apartments featuring high-end finishes such as stainless steel appliances, granite counter tops, wood flooring and a luxurious club house surrounded by a tranquil wooded setting. Community amenities include a business center, fitness facility, picturesque pool with outdoor grills, hammock garden, pet spa and park.
Our construction team is ready to start building immediately! I look forward to watching it progress over the coming months!
We are so proud to have made AHF’s Top 10 Affordable Housing Developers of 2019!
Our 2019 Rankings:
By the end of 2019, HKP closed on 2 new properties in Texas- Laurel Vista and Magnolia Station! Adding these properties to our Texas portfolio brings us to 12 communities and 1,066 units in the Lone Star State! This gives us our second largest footprint, behind Indiana, of all the states we work in.
Magnolia Station Apartments is an affordable new construction development consisting of 5 residential buildings and a clubhouse to be located in Winnie, TX. The project was awarded a $6.25 million Community Development Block Grant to aid in rebuilding much-needed housing in the aftermath of Hurricane Harvey which impacted the area in 2017. In addition, Merchants Bank of Indiana is providing a $3.5 million revolving loan facility to finance construction draws.
The property’s 44 units will serve households at a range of area median incomes (AMIs) – 5 units will be affordable to households at 30% AMI; 27 units will serve High HOME-eligible households (approximately 60% AMI); and 12 units will be market-rate units with no income restrictions. The community will have a leasing office/clubhouse with a business center, equipped fitness center, community room, and playground.
We also closed Laurel Vista Apartments in Beaumont, Texas. This is a 9% project that will consist of 60 tax credit and 9 market rate units. The development will be new construction designed for seniors and consist of one 4-story building with an elevator. The building will contain 32 one bedroom and 37 two bedroom units. Planned amenities include a leasing office, a community/game room with a kitchen, an exercise room, a business/computer room, and a library. This will be HKP’s third new construction development in Beaumont, TX in the last 5 years.
The financing arrangement includes equity and a construction/bridge loan from one of our favorite partners – Regions Bank.
A lot of time and hard work goes into getting a deal across the finish line. Fortunately, we have dedicated team members and partners who believe in what they do. We are excited to bring these communities to the residents of Texas and further our mission of creating value through real estate!
Just recently one of our team members had an excellent example of how we are creating value through real estate – the newly established Community Reinvestment Area (CRA) surrounding our Riverside Trail property in Columbus, Ohio! Riverside Trail will have 248 apartment homes on the East side of Columbus, and will serve 60% AMI families. We closed on it in March and construction is in progress.
When Caroline Kimmel was in the development process for Riverside, she realized that the area would benefit from being declared a Community Reinvestment Area. Doing so would allow all newly constructed affordable housing (and rehabbed housing with an affordable component) to be allowed a 15 year tax abatement. This would not only benefit Riverside, it would hopefully spur other developers to work in the area, as they would also receive the abatement. Affordable housing is badly needed in the area- a recent study identified that Franklin County (Columbus) as having a shortage of 55,000 affordable units based on projected growth over the next five years.
After identifying the solution, Caroline worked with Ice Miller, a law firm, Councilwoman Shayla Favor, and Steve Shoeny, Director- Columbus Development Department, to craft legislation that would declare the area a CRA, thus making the area more desirable for revitalization efforts! This CRA is the first for affordable housing in the City of Columbus, and HKP is the first developer to create a new CRA under the “ready for revitalization” category. For more information on the CRA, you can read this article.
This effort took Caroline, Ice Miller, and Steve Schoeny from the City of Columbus about 7 months to accomplish, and it was certainly time well spent. While HKP did not need the CRA in order to develop Riverside Trail, we appreciate Caroline’s ability to see the big picture in a solution that would benefit both the company and the community we will be working in! Her efforts exemplified our Culture, Community and Commitment values, and will provide value to the community for years to come (15 to be exact)!
Limestone Crossing Apartments will be located in Bloomington, IN. The city of Bloomington is best known as the home of Indiana University and the storied tradition of IU Basketball! This project involves the acquisition and rehab of our existing Canterbury House Apartments- Bloomington property. Previously made up of 174 affordable and 34 market rate units, the community will now consist of 100% affordable apartment homes, all at 60% of area median income. The bedroom mix will remain the same with 1, 2, and 3 bedroom apartment homes. The main renovations include adding washers and dryers to each apartment, new carpeting, new outdoor entertainment equipment, new playground and dog park, new kitchen appliances, 12 ADA units, 12 new garages, and the addition of perimeter fencing.
Limestone Crossing will be financed with tax-exempt bonds and Low Income Housing Tax Credits (LIHTC). The bonds will be purchased by Cedar Rapids Bank & Trust Company, who in turn will provide the construction/permanent loan. Regions Bank is the investor limited partner and will also provide the taxable bridge loan during construction and up until conversion.
River Bend Residences will be located in Idaho Springs, Colorado, 30 miles west of Denver. The city has an elevation of 7,725 ft. and is known to have some of the best whitewater rafting in the nation! This two-building community will consist of 47 apartment homes in this beautiful mountain setting.
The community is designed to support family/workforce housing and capitalizes on the unmet need for quality affordable housing in the area. River Bend Residences will offer one and two bedroom units for rent to those at 30%, 40%, and 60% of The Area Median Income (AMI). Amenities include a clubhouse/community room, fitness room, computer lab, and a picnic and BBQ area.
This is HKP’s first development in Colorado and the first LIHTC project in the Clear Creek County! The project will be funded through a construction loan with Horizon Bank, subordinate loans from Clear Creak County and Credit Suisse, a permanent loan with the Colorado Housing Finance Agency and low income tax credits.
Centennial Park Apartments will be located in Owasso, OK. This one-building community will consist of 56 multifamily senior apartment homes with rents affordable to households with incomes at or below 50% and 60% of area median income. The building will sit adjacent to another senior facility and will contribute to the growing senior-oriented community developing in the immediate area.
Community amenities include a community room, courtyard and picnic area, computer room, and an exercise room. In addition, local on-demand transit is available and will be beneficial to the targeted senior population.
While HKP has previously acquired one property in the state of Oklahoma, this will be our first newly constructed community in this state. The community will be funded primarily with a construction loan from Horizon Bank and a permanent loan from Cedar Rapids Bank & Trust.
HKP is pleased to announce closing on Vireo Apartments! The process of developing this 264 apartment home community was a perfect example of HKP’s commitment to affordable housing. While having the land under contract for over 2 years and working around a natural disaster, tax reform, and design changes, our team was able to execute on what will be a strong asset for HKP.
The site on which the community will be constructed consists of 2 adjacent parcels at the intersection of Tidwell Road and C. E. King Parkway in Houston, Texas. The apartment homes will be a mix of 1, 2, and 3 bedroom units at 60% Area Median Income (AMI). Amenities will include a playground, leasing office, outdoor entertainment area, large exercise room, swimming pool, and bark park.
This is first new construction 4% bond deal HKP has closed in Texas. The project will be funded primarily from tax-exempt mortgage revenue bonds and low income tax credits through the Texas Department of Housing and Community Affairs (TDHCA). Regions Bank is the investor limited partner, construction lender, and permanent loan servicer.
We are so proud to have made AHF’s Top 10 Affordable Housing Developers of 2018! It’s takes our whole team working together to make this happen!
Our 2018 Rankings:
- 9th Largest Affordable Housing Developer
- 11th Largest Affordable Housing Owner
You can read the article in Affordable Housing Finance here.