Walker & Dunlop, Inc. arranged $40.52 million in debt and equity for the construction of The Highlands, a 137-unit affordable development for seniors in Hyattsville, Maryland. PJ McDevitt, managing director of W&D Affordable Debt, arranged the debt, and Macy Kisilinsky, senior managing director of W&D Affordable Equity, arranged the debt placement and equity syndication for the project. The terms were arranged on behalf of Community Housing Initiative, Inc., which is partnering with First Baptist Church of Highland Park (FBCHP) to build the affordable seniors housing project.
The Highlands will be financed with an unfunded forward Freddie Mac TEL, including a taxable tail, serviced by Walker & Dunlop. The permanent loan is structured as a 30-month forward commitment with a 15-year term and 40-year amortization. W&D also syndicated a $12.28 million 4% LIHTC equity investment with United Bank, with acquisition and construction financed through short-term tax-exempt bonds and a bridge loan from United Bank. Additional subordinate financing will be provided by Prince George’s County Housing Investment Trust Fund and the Maryland Department of Housing and Community Development.
The project will be developed on the existing FBCHP campus, which has been subdivided to create a separate tax parcel. It will feature one- and two-bedroom apartments, all of which will be income-restricted. Five units will be reserved for households at 50% of AMI, while the remaining 132 units will be restricted at 60% of AMI.
