Love Funding closed a $15.9 million loan for the acquisition and substantial rehabilitation of Ivy Tower, an affordable multifamily community in Newport News, Virginia. Ivy Tower is a 12-story high-rise comprised of 92 one-bedroom and 48 two-bedroom units located in the East End neighborhood of Newport News, bordering the Chesapeake Bay. All 140 units will be restricted to those earning less than 60 percent of the area median income (AMI) under the Low-Income Housing Tax Credit (LIHTC) program. The project also benefits from a Housing Assistance Payments contract.
The financing was secured by Love Funding Senior Director Leonard Lucas through the U.S. Department of Housing and Urban Development’s 221(d)(4) loan insurance program. The 4 percent LIHTC bond allocation was made by the Virginia Housing Development Authority. The project sponsor is Weston Associates, a Boston-based affordable housing developer and operator. Additionally, an LIHTC bridge loan was extended by Sterling Bank and R4 Capital provided the tax credit equity.