Loudoun County has made its second-ever loan from its Housing Trust Fund to finance construction of a price-controlled housing project, this one in Regency at Belmont Chase near Rt. 7 and Claiborne Parkway.
The project, Ashburn Chase, will be constructed with a relatively complicated financing plan, including two types of Low Income Housing Tax Credits from the Virginia Housing Development Authority, along with tax-exempt bonds also authorized through the VHDA.
The project encompasses two apartment buildings with 96 units in total. There will be five apartments for households with incomes at 30 percent of the area median income defined by the Department of Housing and Urban Development; 19 apartments for households with incomes at 50 percent; and 72 apartments for households with incomes at 60 percent of area median income. The apartments will range from one to three bedrooms, and range in rent from $496 to $1,521.
HUD defines area median income for Loudoun as $110,300 a year for a family of four, meaning the apartments’ target incomes range from two people making $26,500 to families of six making $76,800.
The county staff and supervisors rushed to get the loan approved March 16 before the project’s developers needed those assurances for tax credit applications to be made Friday.
The terms of the loan allow Ashburn Chase up to 30 years to repay the loans, although the applicant now proposes to pay both buildings off in 22 years.
“When we attract large companies to Loudoun County, I want to have a county that the CEO can live here, and his assistants can live here, and everyone right down the line to the person who might clean the office can live here,” said County Chairwoman Phyllis J. Randall (D-At Large). She thanks Kim Hart, who has been at the center of almost all of Loudoun’s affordable housing projects for years, and described him as the “stalwart” in affordable and disability housing in Loudoun. He was the longtime executive director of the Windy Hill Foundation, and now is at the head of the new Good Works LLC, which is helping finance Ashburn Chase.
“Before everyone else talked about it and thought it was a cool idea, he realized the need,” Randall said.
Financing for one of the buildings will depend on the applicant winning competitive tax credits. The rest of Regency at Belmont Chase is expected to be age-restricted housing.
This is the second loan Loudoun is making from its Housing Trust fund to finance an affordable housing project. The first was a $3 million, 30-year loan from for an affordable housing project at Stone Ridge, which left the fund with a balance of approximately $27 million. Since that loan, the county has begun developing a revolving loan program from that fund.