On Tuesday, October 27th, RHLS had the opportunity to celebrate the groundbreaking of the next housing development with long-time clients, New Kensington Community Development Corporation (NKCDC). The Orinoka Civic House will provide 51 units of affordable housing, as well as commercial and community space, from the previously abandoned Orinoka Mills Factory.
The development will act as a catalyst to jumpstart NKCDC’s “North of Lehigh Neighborhood Plan,” which aims to expand the organization’s work providing housing counseling, services referrals, tax assistance, and support for sustainability for residents of the community. NKCDC hopes that the Orinoka Civic House will have the same transformational effects on the neighborhood as the Coral Arts House, a development that RHLS worked with them to complete in 2005.
In addition to the 51 one and two-bedroom apartments for low to middle-income residents, the development will include a community room, resident parking, and commercial space, as well as an “enhanced streetscape.” NKCDC will also be moving their offices into the building.
Regional Housing Legal Services’ Chief Counsel, Mark Levin, and Director of Economic Development, Laura Schwartz, have helped NKCDC bring this project to fruition. RHLS has been involved in every aspect of the acquisition and development of this blighted property, which was in imminent danger of collapse—from its acquisition (following condemnation by the City earlier this year). This involves: drafting and/or negotiating agreements for design and construction; drafting loan documents for over $1.5 million in long term loans from the Federal Home Loan Bank’s Affordable Housing Program ; negotiating $11.7 million equity investment by Enterprise Community Investment via LIHTC, negotiating loan documents for an approximately $9 million construction loan from Citizens Bank; and drafting various ancillary documents as necessary to get the project to closing. The City of Philadelphia also provided $3.8 million for the stabilization, clean up, and repair of the building.
The project has already garnered a fair amount of local attention, with coverage of the development appearing in Philadelphia Magazine’s Property Section, Al Dia News, and on Philly.com.
We’ll continue to provide updates as the project moves closer to its grand opening!