Paul Laurence Dunbar Apartments
Jair Lynch partnered with the Paul Laurence Dunbar Residents Association, Inc. (PLDRA), a non-profit, to purchase The Paul Laurence Dunbar Apartments, a 171-unit senior citizen rental housing community located at 2001 15th Street NW. PLDRA exercised its rights under the District of Columbia Tenant Opportunity to Purchase Act (TOPA) after the prior owner notified tenants of its intent to sell the property.
Jair Lynch structured a complex package of debt and equity totaling $43.3 Million to facilitate the rehabilitation of the property. The new financing package includes Housing Revenue Bonds insured by the U.S. Department of Housing and Urban Development through the Federal Housing Administrations 221(d)(4) mortgage insurance program. The tax-exempt bonds were issued by the DC Housing Finance Agency as part of the U.S. Treasury Departments New Issue Bond Program (NIBP). The NIBP program was implemented under the Housing and Economic Recovery Act of 2008. The debt package also includes taxable GNMA mortgage backed securities.
PNC Real Estate provided equity in the form of Low Income Housing Tax Credits (LIHTC), which was bridged by Enterprise Community Loan Fund via a collateralized Bridge Loan facility. The LIHTC allocation was provided by the DC Department of Housing and Community Development. HUD also extended the existing Section 8 contract for 20 years, allowing the property to further help seniors most in need. In addition, the project secured a 40-year real estate tax abatement from the District of Columbia.