Financing finalized for 190-unit residential development on Spartanburg’s Northside
A multi-family affordable housing development that will complement two neighborhood revitalization efforts underway in the city of Spartanburg is set to break ground. The developer, New Spartanburg Owner LP, finalized the financing of the project last week.
Robert Smalls at Midtowne Heights will include 190 townhome units, community center, clubhouse, playground & ample greenspace and a recreational trail that will connect to The Dan, Spartanburg’s master trail network. Robert Smalls at Midtowne Heights will be located on approximately 18 acres on the City’s Northside, which has been transformed in recent years by the Northside Initiative, a comprehensive, community-led revitalization effort.
The new development will replace the Norris Ridge Apartments, an obsolete, post-war housing complex located in Spartanburg’s Highland neighborhood. Highland residents and stakeholders recently worked with city planners to create a master revitalization plan of their own that called for the removal of Norris Ridge, a privately owned, federally subsidized complex that has long been beset by high rates of crime. Responding to the wishes and long-term goals of the Highland community, the Robert Smalls development team acquired Norris Ridge in March of this year.
Robert Smalls at Midtowne Heights will provide a new opportunity for current Norris Ridge residents and scores of other families. The $40+ million development will include a mix of 1-, 2-, 3- and 4-bedroom units. Each will include its own front porch, back patio, modern kitchens with appliances, and a washer and dryer. The development’s 3,000-sf clubhouse will provide an increased capacity computer center to allow for a range of distance learning, continuing education, and job training/application opportunities. The site is adjacent to the location of the city’s planned new police station and within a mile of Downtown Spartanburg’s central business, cultural and entertainment district.
Existing Norris Ridge residents will be given first priority for units at Robert Smalls at Midtowne Heights once they open in the fourth quarter of 2021. The project is subject to a project-based Section 8 Housing Assistance Payment (HAP) Contract with the U.S. Department of Housing and Urban Development, which covers 100 percent of the units and provides rental assistance payments to residents.
The project’s development team is led by EquityPlus, LLC, an experienced affordable housing developer with offices in Mississippi and Virginia. R4 provided the Federal LIHTC equity and senior mortgage financing for the project. CRBT provided the construction bridge financing and 60 West purchased the State LIHTCs.
This is one of the first projects to monetize the South Carolina LIHTC.