ACQUISITION / PRESERVATION / REDEVELOPMENT

Cleme Manor

Originally constructed in 1970, Cleme Manor is situated on 12.8 acres east of downtown Houston in the Greater Fifth Ward-Finnegan Park neighborhood. There are a total of 284 residential units in Cleme Manor’s 24-building garden style community.

The surrounding neighborhood is in the midst of a comprehensive City of Houston redevelopment with over $35 million in streetscape improvements, multifamily housing construction, and single family rehabilitations. Cleme Manor is part of the City’s Tier 1 redevelopment zone, an area which has received targeted city investments.



REDEVELOPMENT
TOTAL COST

$ 40,900,000

DESCRIPTION
At the time of its acquisition, Cleme Manor had not undergone a comprehensive rehabilitation in over 20 years, and many of the building elements had reached the end of their useful economic lives. Further, the property had asbestos in the drywall. A substantial and comprehensive rehabilitation of the property was required. That redevelopment was funded with Low Income Housing Tax Credits, a HUD-insured mortgage, and a HOME loan from the City of Houston (which also provided a CDBG loan to help with the acquisition). Cleme Manor’s recapitalization funded approximately $18 million ($63,380/unit) of the construction-related costs. Construction, which is currently underway, includes demolition down to the studs, disposal of asbestos-containing materials, replacement of all windows, doors, existing interior wiring, kitchen and bathroom cabinets, countertops, fixtures, sinks, toilets, 75% of all tubs, re-piping all waterlines, repair and replacement of sewer vent and sanitary piping, replacement of the property’s existing HVAC system with new equipment meeting modern energy efficiency standards, and a complete renovation of the property’s office, laundry and community service areas. The redeveloped property will include ample space for the delivery of resident services, and it will have new landscaping and exterior recreation areas for children and adults.

FINANCING
Secured financing and funding for this project included:
$ 18,542,700 HUD Insured Mortgage Financing Provided by PNC Bank
$ 4,260,000 HOME & CDBG Funded Loans from City of Houston
$ 16,498,350 LIHTC Equity Provided by NAHT (BBVA as Investor)
$ 1,598,950 NHPF, Existing Reserves & Interim Inccome



ACQUISITION / PRESERVATION
TOTAL COST

$ 13,089,221

DESCRIPTION
Cleme Manor is composed of 24 single-bedroom units, 112 two-bedroom units, 120
three-bedroom units, 24 four-bedroom units, and 4 five-bedroom units. The property is supported 100% by a Section 8 Rental Assistance Contract with HUD, with households earning between 30% and 50% of AMI. An additional 24 one-bedroom units will provide permanent supportive services and be rented to chronically homeless individuals.

FINANCING
Secured financing and funding for this project included:
$ 9,600,000 Bank of America
$ 3,000,000 City of Houston
$ 489,221 Equity




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NHPF’s diverse income and rent structure provides housing for a range of households from low to moderate income. Notwithstanding income levels, the same level of amenities and access to our services is offered to all residents.

This property is just one example of how NHPF’s commitment to affordable housing has helped American families.

ABOUT THE NHP FOUNDATION
Founded in 1989, The NHP Foundation strives to provide quality affordable multi-family housing and resident services for low to moderate income families. Since 1994, NHPF has acquired and preserved 78 properties, totaling 13,616 units, located in 19 states and the District of Columbia. Today, NHPF’s portfolio includes 47 properties, totaling 8,063 apartment units, in 15 states and the District of Columbia. NHPF also provides service programs to approximately 20,000 community residents.