Pro Bono News
This 250-Unit Apartment Complex Providing Affordable Housing in the West End Could Change Hands Soon (OH)
Wednesday, July 18, 2018
This 250-Unit Apartment Complex Providing Affordable Housing in the West End Could Change Hands Soon
"A large apartment complex in Cincinnati’s West End that provides subsidized housing could change hands soon, according to a sales prospectus obtained by CityBeat.
The owners of the Arts Apartments at Music Hall, formerly known as Richmond Village, are seeking to sell the 248-unit complex on Ezzard Charles Drive near I-75.
The 21-building, eight-acre complex was built in 1962 using funding from the U.S. Department of Housing and Urban Development. The complex currently has a site-based Section 8 contract covering about a third of the units and another HUD Housing Assistance Payment contract also providing subsidized rents to residents, many of whom are low-income seniors. That contract expires in 2020.
Ezzard Charles Associates LP, which lists addresses in St. Louis and Irving, Texas, owns the property, according to the Hamilton County Auditor.
The 76-page purchasing memorandum from brokers Affordable Housing Advisors and Marcus & Millichap touts the property’s location in the West End and its overall condition. The apartment complex received an 82 percent on a HUD REAC inspection last year.
The document notes the property’s potential eligibility for Low-Income Housing Tax Credits for rehabilitation. It also devotes a page to the coming FC Cincinnati soccer stadium nearby.
The prospectus was issued early this month, according to those with knowledge of the deal, and the sale process for the property has progressed quickly. Brokers set up three days for prospective buyers to tour the property and then gave six days for interested buyers to submit preliminary offers. Bids are due this week.
It’s unclear who the interested buyers might be or if they’re aiming to keep the property HUD-subsidized.
Loss of the complex as subsidized housing could be a big blow to a neighborhood with a median household income around $15,000 a year, housing advocates say..."