Walker & Dunlop, Inc. is celebrating the ground breaking of Parkside 5, the fifth and final phase of the Parkside at Old Town development, a 99-unit community located on the former Cabrini-Green public housing site in Chicago's Near North Side.
Parkside 5 Groundbreaking. (Photo courtesy of Holsten Real Estate Development Corp.)
The Walker & Dunlop affordable housing team, led by Jennifer Erixon, syndicated Low Income Housing Tax Credits (LIHTC) and Illinois Donation Tax Credits on behalf of the client, Holsten Real Estate Development Corporation. Walker & Dunlop Affordable Equity syndicated the equity to JP Morgan, resulting in $22.6 million of equity to support the development. In addition to syndicating the credits, JP Morgan is also providing a construction loan for the project.
The funding will support the construction of a mix of market-rate and affordable units, with 37 of the units benefiting from a 20-year Section 8 Housing Assistance Payment (HAP) contract. These affordable units will be reserved for households earning 50% and 60% of the area median income (AMI) or less. "We are proud to support the continued revitalization of the Near North Side, helping to bring much-needed affordable housing options to the community while contributing to the broader transformation of the former Cabrini-Green site," said Jennifer Erixon, senior managing director of Affordable Equity Originations at Walker & Dunlop. "Our partners at Holsten have allowed us to provide a valuable solution that meets our shared goals."
Parkside 5 will feature three 3-story walk-up buildings and an 8-story mid-rise structure with townhome units at its base. Planned amenities include a community room, fitness center, and onsite social services for residents. Additionally, a playground, and dog park, will be open to the community to position Parkside 5 as a vibrant, inclusive space for its residents and neighbors. The development will complement the existing phases of the Parkside at Old Town project, a key piece in the ongoing revitalization of the historic neighborhood.