Lieutenant Governor Mike Cooney Thursday joined in the celebration of the grand opening of the River Run Apartments, a 96-unit newly-renovated affordable housing property in Great Falls.
"These homes are an example of what happens when public-private partnerships come together to preserve existing affordable housing,"said Lt. Gov. Cooney."The River Run Apartments are a place that will provide safe and sustainable homes for individuals and families and will strengthen the community of Great Falls for many years to come."
Formerly known as Vista Villa, the newly-renovated River Run Apartments will continue to remain affordable to its residents. In addition to all 96 homes being covered by a new 20-year Project-based Section 8 Housing Assistance through Commerce’s Montana Housing, the homes will also be restricted for 45 years to families and individuals earning 50-60 percent of Area Median Income or less, or about $25,685 for a one-person household.
River Run’s rehabilitation includes the installation of new flooring, appliances, cabinetry, windows, doors, hardware, plumbing fixtures, roofs and siding. New heat pumps were also added for efficient heating and cooling. This development was originally built in 1971.
Wishrock Housing Partners and Neighborworks Great Falls partnered to put together multiple funding sources that includes tax exempt bond financing of approximately $9 million and an allocation of 4 percent Housing Credits from Commerce's Montana Housing, producing approximately $4.5 million in equity proceeds from Boston Financial Investment Management. Prudential Real Estate Finance provided an $8.3 million HUD-financed 221(d)4 loan product for construction and permanent debt. Bank of Montana sponsored a $700,000 AHP Award through the Federal Home Loan Bank of Des Moines that was used to fund construction costs. A property tax exemption provided by the Montana Department of Revenue qualified the property for a 45-year property tax abatement, and these tax savings were leveraged in a loan to fund the rehabilitation.