Construction begins on Phase One of Sunset Ridge Apartments in Northwest Minot
MINOT, ND – Nonprofit developer Beyond Shelter Inc. (BSI), in partnership with the Minot Housing Authority (MHA), broke ground today on their fifth affordable housing project in Minot since the 2011 Souris River flood. Sunset Ridge Apartments is supported by government programs that will allow units in the family-friendly complex to rent for $350 to $800 per month to income-qualified households.
“BSI and the MHA have been great partners in our work to replace housing lost to the flood,” said Jolene Kline, North Dakota Housing Finance Agency (NDHFA) executive director. “Using local, state and federal resources, they have helped Minot address the challenges associated not only by the disaster, but as a growing community impacted by energy development.”
BSI, MHA and NDHFA co-hosted a groundbreaking event at the project site, 3524 Kodiak Street NW in Minot.
NDHFA provided $600,000 from the state’s Housing Incentive Fund (HIF) and $6.4 million in equity from the federal Low Income Housing Tax Credit program to support the development of the $8 million apartment complex.
“A cooperative effort is required to successfully address the needs of a community like Minot,” said Dan Madler, BSI CEO. “The development resources provided by NDHFA and our partnership with the MHA and the City of Minot has made our work possible.”
All of the rents at Sunset Ridge will be set below the current Housing Choice Voucher program payment standard limit. This is significant as MHA reports that people it has issued vouchers to have had a hard time finding apartments in the community that are within the payment standard. MHA will manage the development.
“The support we provide doesn’t just create apartments, it creates homes and being able to afford ‘home’ is crucial,” said Kline. “That’s why we encourage both individual taxpayers and the business community to contribute to HIF, so projects like Sunset Ridge can provide affordable housing.”
Sunset Ridge is one of 24 developments that NDHFA awarded HIF conditional commitments to in July. To honor the commitments, the agency must raise $30 million by Dec. 31, 2016. More information on the program is available online at www.ndhousingincentivefund.org.
Additional partners in the project include the City of Minot and the North Dakota Department of Commerce providing CDBG-DR and CDBG funding, respectively, to assist in land acquisition; Wells Fargo Bank, provider of both equity and construction financing; and First Western Bank and Trust, providing the permanent financing.
BSI anticipates that the first phase of Sunset Ridge will be complete and ready for tenants in September 2016. It hopes to break ground on the second phase next year.
Previous BSI and MHA projects in Minot include Washington Townhomes I and II completed in 2013 and 2014, and the Fieldcrest and Cook’s Court apartment complexes which are wrapping up construction now. BSI and MHA are also developing The Willows in Burlington.