CARMEL, Ind. – Mortgage banking company Merchants Capital today announces that it has provided $11 million for the construction of SouthPointe Village, a 62-unit multifamily and affordable housing community coming to Fishers, Indiana. The equity bridge loan is financed on behalf of RealAmerica Companies.
Located at 11144 Lantern Road, SouthPointe Village will be available for renters who earn 50-80% of the area’s adjusted median income (AMI). This project will be a 30-month loan with a $1.2 million low-income housing tax credit (LIHTC) that allows the development to be built with rents lower than current market value.
“This unique project allows us to understand the importance of funding affordable housing, especially in cities like Fishers. With rent steadily on the rise, the need for quality, affordable housing that Hoosiers can afford to live in grows greater and greater,” said Merchants Capital Assistant Vice President, Originations Brian Shelbourne. “We are honored that our financing will benefit the Fishers community and be a part of its continued, outstanding growth.”
Apartments at SouthPointe Village will rent for $650-$950 a month for a one-bedroom and $760-$1,100 a month for a two-bedroom – a significant drop compared to the current average rent prices in Fishers for a one-bedroom ($990 a month) and two-bedroom ($1,250 a month). Annual federal tax credits through the Indiana Housing and Community Development Authority (IHCDA) were closely examined to help keep rent rates lower than average.
“It is vital that communities have quality housing options that support a variety of income levels,” said IHCDA Executive Director Jacob Sipe. “SouthPointe Village will do just that while at the same time further enhance the quality of a place for working families in Fishers. This is a very exciting housing development and we are proud to be a part of it.”
Fishers’ newest affordable housing property also sets aside 25% of the apartments at lower rents for the developmentally disabled, with the help of local central Indiana organizations such as Janus Development Services, Outside the Box, Opportunities for Positive Growth and Insights Consulting.
“We are so excited to work with Fishers to offer workforce housing that helps those working in the community be able to live, play, and attend school in the community they work in,” said Ronda Weybright, President and Owner for RealAmerica. “Located in the heart of Fishers on the Nickle Plate Trail, families are within walking distance of downtown and all it has to offer. Also, for persons with disabilities, we are thrilled to come alongside several partners to provide supportive housing that allows them to stay close to their families in Fishers while providing easy access to services and opportunities within this community.”
To learn more about this project, please click here. To learn more about Merchants Capital and its services, visit www.merchantscapital.com, or find Merchants Capital on Facebook, Twitter, LinkedIn, and Instagram.