Cambridge Realty Capital Companies reports funding a $32,750,000 HUD insured loan to purchase and moderately rehabilitate Zion Towers, a 211-unit affordable elderly housing complex located in Baltimore, MD. Jeffery A. Davis, Cambridge Chairman, said the fully-amortized, non-recourse 35-year term loan was provided to the owner, a Delaware limited liability company, using the HUD Section 207 pursuant to Section 223(f) mortgage insurance program.
The HUD-insured loan was funded by Tax Exempt Bonds. Owner equity was facilitated by Low Income Housing Tax Credits. Both the Tax Exempt Bonds and the Low Income Tax Credits were issued by the State of Maryland through its Community Development Authority.
The combination of HUD mortgage insurance, Tax Exempt Bonds and Low Income Housing Tax Credits were combined to modernize the 1970’s physical plant of Zion Towers, allowing Zion Towers to continue to provide much needed affordable housing to the lower income senior residents of Baltimore.