Red Rock Creek Commons
DEVELOPMENT SCOPE
New construction of 48 affordable homes serving low-income and very-low-income households, including people experiencing serious mental illness.
PROJECT OVERVIEW
Urban renewal efforts are improving transit access and spurring commercial investment in Tigard, while at the same time contributing to housing cost increases that disproportionately impact communities of color. At Red Rock Creek Commons, Community Partners for Affordable Housing (CPAH) is providing 48 new affordable homes to low-income families and individuals at risk of displacement in the rapidly developing Tigard Triangle area.
The four-story building contains 16 apartment units that rent affordably to working families and couples earning 60 percent of area median income. An additional 24 units use project-based Section 8 subsidies to rent affordably to very-low-income residents, such as disabled persons and single parents working minimum-wage jobs. Clients of New Narrative, a community provider of mental health services, have preference for eight of the apartments. New Narrative clients can meet with case managers and access mental health services at an onsite office. All residents at Red Rock Creek Commons have access to services that promote housing stability, prevent eviction, and create pathways to higher education.
Creative Solutions
Finance. HDC worked with CPAH to finance Red Rock Creek Commons with sources that included 4% low-income housing tax credit equity and LIFT bond funds. When the economic impacts of the Covid pandemic caused interest rates to plummet, putting investor tax credit delivery at risk, HDC worked with CPAH and its funding partners to find a workable solution. The team reallocated interest savings to hard costs, allowing the project to maintain its eligible basis for tax credit delivery while increasing available funds for improvements to unit interiors. After financing closed, HDC helped CPAH secure additional sources to fund solar installation.
Design and Construction. HDC collaborated with CPAH, Carleton Hart Architects, and LMC Construction to plan and execute a thorough renovation of the property’s three residential buildings and free-standing community room. Construction crews replaced roofing, siding, windows, exterior doors and stairs, and decking surfaces on all buildings. The team enhanced attic venting, added insulation, and improved water management for exterior surfacing. Apartment units received new water heaters, bathroom fans, and radon mitigation systems. The community room was reconfigured to include a property management office and to enable residents to better utilize the space. The project team collaborated to address the special challenges of coordinating an occupied rehab during a pandemic, observing strong protocols to protect resident and worker health and safety.
Photos by Josh Partee.
SPONSOR
Community Partners for Affordable Housing
LOCATION
Tigard, Oregon
HDC ROLE
Financial structuring and construction management
DEVELOPMENT PARTNERS
→ Carleton Hart Architects
→ LMC Construction
→ Oregon Housing and Community Services
→ Oregon Housing and Community Services
→ Washington County Housing Authority
→ City of Tigard URA
→ City of Tigard Community Housing Fund
→ Metro
→ Oregon Health Authority
→ HDC Community Fund
→ Chase
→ Boston Financial Investment Management
→ Portland General Electric
FUNDING SOURCES
→ LIHTC equity (4%)
→ HOME funds
→ Project-based Section 8 vouchers
→ Oregon LIFT funds
→ Oregon Multifamily Energy Program funds
→ Transit-oriented development funds
→ Renewable energy funds
→ Construction and permanent loans
SQUARE FEET
Residential: 36,708
COST
Construction: $9.7 million
Total Development: $15.3 million
TIMELINE
Summer 2017 to Fall 2020