Monarch Private Capital Finances New Affordable Housing Development for Seniors in South Carolina
The development serves as a valuable resource and a catalyst of positive change for the Sumter community
Monarch Private Capital, a nationally recognized tax-advantaged investment firm that develops, finances, and manages a diversified portfolio of projects that generate both federal and state tax credits, is pleased to announce the financial closing of low income housing tax credit equity (LIHTC) for a $24 million affordable housing development called Palmetto Towers in Sumter, South Carolina.
The Palmetto Towers apartment development is located at 1150 South Pike West in Sumter, South Carolina. In a state currently experiencing an alarming shortage of over 82,000 affordable and available rental homes for extremely low-income renters, this project helps satisfy some of the area’s critical housing needs. The Palmetto Towers project involves the rehabilitation of an existing 96-unit Section 202 rental home community, which is now available for seniors ages 62 and up earning at or below 60 percent of the Area Median Income (AMI). All units consist of one bedroom and one bathroom and continue to benefit from Project-Based Rental Assistance (PBRA) through the Section 8 program. To develop the project, Monarch partnered with Mansermar Development LLC, a consulting company aiding nonprofit organizations in the development and management of affordable multifamily housing, working closely with the Georgia-based nonprofit public benefit corporation, ReBuild America Inc. Monarch’s collaboration with Red Stone Equity Partners, a nationally-recognized private equity real estate fund manager specializing in affordable housing investment management, helped bring the project to fruition.
Renovations made to the existing development include upgraded kitchens and bathrooms, energy-efficient stainless appliances from ENERGY STAR, new flooring and enhanced lighting and security features. Roof and window replacements were also be made during the rehabilitation, along with plumbing upgrades and parking lot resurfacing. A new common room and fitness center help round out the affordable housing development, transforming the property into a vibrant, resourceful community for seniors.
Nestled in the heart of South Carolina, the city of Sumter has a lot to offer its residents and visitors. Sumter is home to a number of events, including the Iris Festival, one of the longest-running festivals in the state and continuously named one of the top 20 events in the southeast. State parks featuring serene campsites, fishing ponds, scenic hiking trails, boating ramps, shooting ranges and more, are located throughout the city. Farmer’s markets and neighborhood shops provide homegrown and locally sourced goods, and art galleries and community theaters help shape the town’s unique culture. Along with cheering on the Morris College Hornets and the USC Sumter Fire Ants, sports enthusiasts can also enjoy the world-renowned Palmetto Tennis Center, five golf courses and even state and regional tournaments like World Double Dutch and World Series Softball.
On top of addressing the city’s need for affordable housing, the redevelopment of Palmetto Towers also has a significant impact on the local economy. Based on estimations from a 2015 report from the National Association of Home Builders (NAHB), the project is expected to create nearly 800 direct and indirect jobs and generate over $9 million in local tax revenue over its lifetime. These benefits will continue to positively impact the Sumter community in the many years to follow.
“The Palmetto Towers apartment development in Sumter, South Carolina, helps revive the essential affordable senior-living community and improves the lives of its tenants,” said Brent Barringer, Managing Director of LIHTC at Monarch Private Capital. “Our collaboration with Mansermar Development allows us to provide quality, energy-efficient homes to cost-burdened seniors while supporting local social and economic growth.”
About Monarch Private Capital
Monarch Private Capital manages ESG funds that positively impact communities by creating clean power, jobs, and homes. The funds provide predictable returns through the generation of federal and state tax credits. The Company offers innovative tax credit equity investments for affordable housing, historic rehabilitations, renewable energy, film, and other qualified projects. Monarch Private Capital has long-term relationships with institutional and individual investors, developers, and lenders that participate in these types of federal and state programs. Headquartered in Atlanta, Monarch has offices and tax credit professionals located throughout the U.S.
About Mansermar Development, LLC
Mansermar Development, LLC was founded in 1998 as a consulting company to aid nonprofit organizations in the development and management of affordable multifamily housing. Cissy C. Watson is the CEO of the company and drives the development of new construction and the preservation of affordable housing communities, with a special expertise in senior citizens. The firm partners with owners and takes responsibility for the development services of new construction properties, acquisition and rehabilitation properties, as well as the refinancing of existing communities. Since 2012, Mansermar Development has focused on utilizing LIHTC for acquisition-rehabilitation developments. They have completed five developments totaling 754 units.
About Red Stone Equity Partners
Red Stone Equity Partners LLC (“Red Stone Equity”) is a leading real estate investment firm specializing in the syndication of Low-Income Housing Tax Credits and Renewable Energy Tax Credits to facilitate the development of affordable multifamily rental housing and renewable energy projects, respectively. Red Stone Equity builds upon long-lasting relationships with investors and developers as it acquires, structures, and provides long-term asset management services to its institutional clients. Its senior management represents more than a combined 100 years of tax credit equity syndication experience, involving the acquisition and syndication of approximately $15 billion of tax credit equity. Since inception, Red Stone Equity has raised over $6.5 billion of tax credit equity. These funds have been used to finance the construction and/or rehabilitation of more than 45,000 units of affordable housing in 44 states, Washington, D.C. and Puerto Rico. Red Stone Equity has offices in Boston, Charlotte, Chicago, Cleveland, New York, and San Diego.
About ReBuild America Inc.
ReBuild America, Inc., a Georgia-based Non-Profit Public Benefit Corporation, was organized in 2012. While closely working with an experienced affordable housing developer, Mansermar Development, LLC., and an award-winning and nationally recognized management agent, Mansermar, Inc., ReBuild is committed to acquiring and developing affordable housing for the long term.
With a special interest in housing for senior citizens, ReBuild completed the preservation of a 101-unit senior housing community in Arcadia, CA in 2014 and another 101-unit senior housing community in Phoenix, AZ in 2018. ReBuild America added another 467 units through the acquisition and rehab of three more properties in 2018-2019 in Florida and Tennessee. Other properties are currently in development in South Carolina, Kentucky and Georgia.
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