City Council signs off on bonds for Midway Manor
At their meeting on April 18, City Council agreed with the Charlottesville Redevelopment and Housing Authority’s decision to issue $23 million in bonds for a third-party to refurbish the Midway Manor housing complex in downtown Charlottesville.
“It is assistance with the financing for the substantial rehabilitation of Midway Manor Apartments by Standard Communities,” said Michael Graff, a bond counsel with McGuire Woods.
The funding will flow through the CRHA as a conduit for tax-exempt bonds, which requires the city to also issue its approval.
“At a high level we will be ensuring that this property continues to provide affordable housing for at least the next 30 years through partnership with Virginia Housing and an allocation of Low Income Housing Tax Credits as well as renewing the subsidy contract that provides the current residents with a rental subsidy that is set to expire in two years,” said Steven Kahn of Standard Communities.
Kahn said Standard is working with the U.S. Department of Housing and Urban Development to extend that contract for 20 years. He said that’s the maximum length HUD will allow. He also said there will be a substantial renovation of the units.
“Sixty-plus thousand dollars per unit,” Kahn said. “Very little will be untouched. The things you typically think of for renovations is kitchens, bathroom, flooring, and electrical systems, absolutely. But also some of the behind the scene elements that can also plague older buildings if they are not invested in. Façade, windows, roofing.”
Paragraph below updated on April 27, 2022
Kahn said work on the elevator systems is currently underway. More details was provided in a statement sent to Charlottesville Community Engagement on April 27.
“We continue to plan for a comprehensive renovation and upgrade of Midway Manor, which is expected to begin later this year in conjunction with the implementation of extended affordability protections for the property. Recognizing that the elevators were in need of more immediate attention, we have accelerated the modernization of both elevators at the property, with on-site work currently underway. In efforts to minimize disruption to residents, one elevator car is being worked on at a time, with the entire project expected to be complete within the next 8 weeks.” – Steven Kahn, Director, Standard Communities
Councilor Michael Payne also sits as a voting member of the CRHA Board. He voted to approve the bonds on February 28, but said he would vote on Council with “unease.”
“There’s not a way for City Council to have baked in our approval a lock-step assurance for example when and if the elevator get renovated, how is this process going to go, so I will certainly be trying to watch it as closely as I can and be talking to residents throughout this process,” Payne said.
Midway Manor sits on 2.32 acres and was built in 1981 according to city property records. Standard Communities paid $16.5 million for the property on January, 13, 2022.