Virginia Loan Fund Established for Preservation Deals
By Caitlin Jones & A. J. Johnson
1 min read
Virginia Community Capital and the National Housing Trust Community Development Fund, two leading affordable housing lenders, have announced a new $30 million preservation acquisition loan pool.
The Preservation Acquisition Loan (PAL) fund will offer bridge financing with terms of two to three years to enable sponsors to acquire and hold existing affordable rental housing properties in Virginia while they secure long-term financing.
Roughly one-third of Virginians are renters, and much of the affordable apartments in the state are at risk. Over the next five years, contracts on more than 17,000 project-based HUD Section 8 units in Virginia will expire.
Funding sources for PAL include the Virginia Department of Housing & Community Development, Virginia Housing Development Authority, and private lenders, including Bank of America, SunTrust, and Wachovia. read more…
