MH STRATEGIES FAMILY RAD

Key Dates

Closing Date: 12/14/2021

Uptown Rental Homes II, III, and IV
(Built 2004-2007)

Askew Place
Built in 2005

Memphis Housing Authority

DETAILS:

Memphis, TN
Number of Units: 131
Total Development Cost: $20,317,112
Development Type:  Acquisition/Rehabilitation
Development Partner: Memphis Housing Authority
Project Type: Multi-family
Construction Period Jobs: 304
Long-term Jobs Created/Maintained: 11

SOURCES:

1st Mortgage: $6,100,000
PHA Funds: $400,000
Seller Note: $2,905,000
THDA Dev Fee Note: $1,400,000
Cash Flow: $594,045
Cash Flow During Rehab: $64,772
Developer Equity: $1,008,389
Equity: $7,744,906

Total Sources: $20,317,112

*Sources, as of closing

PROJECT NARRATIVE:

MH Strategies Family RAD, LP is a 131-unit acquisition/rehabilitation project located in Shelby County, Tennessee on four separate sites. This project will be a Rental Assistance Demonstration program redevelopment effort that is working to transform former public housing into affordable housing developments that will serve a broader spectrum of the affordable housing population. Project Based Vouchers will be available for 100% of the units. Services will be provided for the residents in accordance with Memphis Housing Authority’s Administrative Plan that outlines the objectives of the Housing Choice Voucher Program. The Housing Authority will maintain control over the project through a ground lease, participation in ownership, a right of first refusal, and management of the Project Based Voucher Waitlist. The proposed plan is to remove units through Section 18 Disposition and transfer them to the MH Strategies Family RAD partnership. There will be 99 RAD PBRA units, 26 PBV units, and 6 De Minimus units.

Amenities & Upgrades may include:

  • Complete bathroom/kitchen renovations

  • New floors, doors, and lighting throughout

  • Exterior/Interior paint

  • Energy-efficient appliances, water heaters, and HVAC

  • Improved accessibility features

PROJECT PARTNERS

Developer
Knight Development                 

PHA
Memphis Housing Authority

Architect
DNA Workshop

Contractor
Snyder Construction

Management
Allied Orion

Development Partners
Raymond James Tax Credit Funds, Inc.
Citi Community Capital
The Health, Educational and Housing Facility Board in Memphis
Tennessee Housing Development Agency

UNIT COUNTS & RENTAL RATES*

Uptown Rental Homes (106 Units)

2 BR – 29 Units — $549 – $558
3 BR – 62 Units — $7448 – $750
4 BR – 13 Units — $1,386 – $1,390
5 BR – 2 Units — $1,614

Askew Place (25 Units)

2 BR – 4 Units — $545
3 BR – 10 Units — $745 – $1,134
4 BR – 11 Units — $1,400

*Rents, as of closing

GROUNDBREAKING