Tag Archives: Belfield

Program Guarantees Speculative Development

North Dakota Housing Finance Agency’s Construction Loan Guarantee program supports the speculative development or rehab of single-family homes in the state’s rural communities.

ConstructionLoan“Building homes in rural communities poses many challenges,” said Jennifer Henderson, NDHFA planning and housing development director. “The pool of potential buyers is smaller making construction lending much riskier and the cost of constructing a home is often higher than what the home will sell for in the current market. Guarantees reduce the potential loss to the lender while helping a community expand its housing stock.”

Through the program, NDHFA will guarantee the lesser of 50 percent of the construction loan made to the individual contractor or $93,500. At any given time, only three active guarantees are allowed per contractor and five per community. The lender or contractor must demonstrate that a need exists in the community for the housing and that the local governing body supports the development.

Use of the Construction Loan Guarantee program is limited to the financing of projects in communities with a population of less than 35,000.

Since the program’s inception in 2007, NDHFA has issued 46 guarantees totaling $2.75 million which have leveraged more than $7.2 million in development costs in the communities of Belfield, Carrington, Hazen, Northwood, Saint John and Tioga.

Information on the construction guarantees and other development resources available from NDHFA can be found online at www.ndhfa.org or by contacting Henderson at (800) 292-8621 or hfainfo@nd.gov.

Grant Dollars Available for Property Redevelopment

BISMARCK, ND – The North Dakota Housing Finance Agency (NDHFA) is soliciting applications for $409,190 in funding through the federal Neighborhood Stabilization Program (NSP).

“The intent of the program is to revitalize neighborhoods by redeveloping abandoned or vacant properties,” saidJolene Kline, NDHFA executive director.  “We are anxious to put the money to work in eligible North Dakota communities.”

Applications will be accepted for activities involving the redevelopment of foreclosed, abandoned, or vacant properties into permanent housing. Preference will be given to applications involving rental housing.

The funds are only available for use in targeted census tracts in the following communities of Alexander, Belfield, Bowman, Dickinson, Fargo, Glenburn, Grand Forks, Mohall, Ray, Rolla, Rolette, Sherwood, South Heart, Tioga and Williston.

An eligible property must be located within a census tract that has a needs score of seven or greater or weighted average score exceeding seven as determined as a percentage of funding. The U.S. Department of Housing and Urban Development’s mapping tool can be used to determine the needs score of any given location. It can be found online at www.huduser.org/NSP/NSP3.html.

Applications must be received in the NDHFA office by the close of business on January 31, 2014. More information is available on the agency’s website, http://www.ndhfa.org, or by contacting Jolene Kline or Jennifer Henderson at info@ndhfa.org, (701) 328-8080 or (800) 292-8621.

NSP was originally created under Title III of the Housing and Economic Recovery Act of 2008 and the State of North Dakota received $19.6 million for the redevelopment of abandoned and foreclosed homes and properties. All of those funds have been obligated. Additional funding was authorized under Section 1497 of the Dodd-Frank Reform and Consumer Protection Act of 2010 and is referred to as NSP3. NDHFA was initially awarded $5 million, but through the use of program income, NDHFA has awarded a total of $5,363,235 in assistance to four projects located in Bowman, Belfield and two projects in Tioga.

The Industrial Commission of North Dakota, consisting of Governor Jack Dalrymple, as chairman, Attorney GeneralWayne Stenehjem and Agriculture Commissioner Doug Goehring, oversees NDHFA.

Belfield’s Greenfield Heights Townhomes Complete

BELFIELD, ND – State and local officials gathered in Belfield, ND, on Tuesday to tour the Greenfield Heights Townhomes, a Lutheran Social Services Housing, Inc. development supported by a local energy services company.

MBI Energy Services contributed $225,000 to the Housing Incentive Fund in Dec. 2011 targeting the funds to the Greenfield Heights Townhomes, a Lutheran Social Services Housing, Inc. development.

“We are thrilled to showcase this fine example of what can happen when public and private entities come together,” said Jessica Thomasson, Lutheran Social Services Housing Director. “We are extremely grateful to MBI Energy Services for the support.”

MBI Energy Services contributed $225,000 to the Housing Incentive Fund (HIF) in Dec. 2011 targeting the nonprofit’s project. Headquartered in Belfield, the company wanted to ensure the availability of quality, affordable housing units in the community.

“The challenge facing many energy-impacted communities is how to get temporary workers to become a permanent part of the community,” said Jolene Kline, North Dakota Housing Finance Agency (NDHFA) acting executive director. “One critical step is to provide the workforce with a housing option that allows them to move their families to North Dakota.”

Capitalized by state taxpayers, HIF provides low-cost financing to developers of affordable multifamily housing. Contributions can be directed to a specific project or community.

The development also received $750,000 through the federal Neighborhood Stabilization Program (NSP). A stimulus program, NSP has been used in North Dakota to create workforce housing in areas impacted by the energy industry.

NDHFA administers both HIF and NSP.

Greenfield Heights Townhomes consists of eight two-bedroom and four three-bedroom rental units. Six of the twin-home style units are restricted to households earning no more than 120 percent of Area Median Income. The other six units are market rate. The total cost of constructing the townhomes was $1.58 million.

Additional key partners in the project included Great Plains National Bank, Stark County Development Corporation and the Belfield Housing Authority.

Lutheran Social Services Housing, Inc., a program of Lutheran Social Services of North Dakota, supports the continued vitality of the state’s smaller communities by providing nonprofit affordable housing and housing-related services, with fifteen rental housing projects currently completed and/or under management and several additional projects in various stages of development.

Lutheran Social Services of North Dakota, guided by a spirit of service, is a statewide social services agency serving thousands of North Dakotans in need of affordable housing, food, disaster recovery, counseling and therapy and other programs that strengthen individuals, families and communities without regard to clients’ race, religion, gender or economic status.

The Industrial Commission of North Dakota, consisting of Governor Jack Dalrymple as chairman, Agriculture Commissioner Doug Goehring and Attorney General Wayne Stenehjem, oversees NDHFA.

More information about the Housing Incentive Fund is available online at www.ndhousingincentivefund.org.

North Dakota Housing Incentive Fund Capitalized

BISMARCK – The Industrial Commission of North Dakota has reported that more than 600 private investors have successfully capitalized the $15 million state Housing Incentive Fund (HIF).

“Thanks to North Dakota citizens and our business community, the Housing Incentive Fund is fully capitalized and available to move forward on affordable housing projects in western North Dakota and across the state,” members of the Industrial Commission said in a joint statement. “With legislative approval we will continue to utilize the Housing Incentive Fund to encourage even greater affordable housing development.”

The Industrial Commission, consisting of Governor Jack Dalrymple as chairman, Agriculture Commissioner Doug Goehring and Attorney General Wayne Stenehjem, oversees the North Dakota Housing Finance Agency, which administers HIF.

Created by the 2011 Legislature, the HIF is used to develop affordable multifamily housing. Contributors to the fund receive a dollar-for-dollar state income tax credit for their contributions. Dollars given can be targeted to a specific project or community.

Ninety percent of the contributions were by individuals who contributed an average of $10,021. The largest corporate supporter was Marathon Oil Co., contributing $3 million. Gate City Bank contributed $1.25 million, the most by a financial institution.

“Developer interest in the program was strong from the start, with all of the available financing spoken for in less than a year,” said Mike Anderson, NDHFA executive director.

NDHFA has conditionally committed HIF dollars to 26 projects to create 739 new units in Beach, Belfield, Bowman, Crosby, Devils Lake, Dickinson, Grand Forks, Kenmare, Killdeer, Kulm, Mandan, Minot, Parshall, Ray, Watford City and Williston. Total construction cost for the projects is $104 million.

“Our greatest challenge was getting the word to taxpayers that they could direct their tax dollars to affordable housing development,” said Anderson. “We are grateful for assistance from our housing partners, business groups and the media in reaching this goal.”

Governor Dalrymple has proposed transferring $30 million from the state general fund for direct investment in HIF for the 2013-15 biennium. An additional $20 million in tax credits would bring the total fund to $50 million. The proposed legislation has been pre-filed as House Bill 1029.

For more information on HIF, contact NDHFA at (701) 328-8080, (800) 292-8621 or www.ndhousingincentivefund.org.

Housing Agency Commits to Six More Incentive Fund Projects

BISMARCK, ND – The North Dakota Housing Finance Agency (NDHFA) has pledged $4.25 million to six new Housing Incentive Fund (HIF) projects.

“We are committed to facilitating greater development of affordable housing in our growing communities,” Gov. Jack Dalrymple said. “The Housing Incentive Fund is one of several tools we will continue using to help meet our housing needs in oil-producing counties and other areas of the state.”

“Capitalized by contributions from state taxpayers, HIF provides low-cost financing to developers of affordable rental housing,” said Agriculture Commissioner Doug Goehring.

“Since the incentive fund was established last fall, NDHFA has pledged more than $14 million to support 23 housing projects that will create 630 new rental units,” said Attorney General Wayne Stenehjem.

The project applications most recently approved by NDHFA include:

Belfield – $96,000 to the Belfield Housing Authority to construct Belfield Law Enforcement Housing, four units. Total development cost is $744,484.
Crosby – $1 million to the St. Luke’s Community Foundation to construct the Crosby Hospital and Foundation 24-plex, 24 units. Total development cost is $3.6 million.
Devils Lake – $1 million to Agassiz Properties, LLP for Agassiz Circle Phase II, 30 units. Total construction cost is $3.6 million.
Killdeer – $1 million to Prairie Gold Real Estate, LLC to construct KMM Affordable Housing, 24 units. Total development cost is $3.3 million.
Minot – $155,600 to the Minot Housing Authority to rehab Oakwood Court, seven units. Total redevelopment cost is $389,000.
Williston – $1 million to Dakota Commercial for Williston Heights, 65 units. Total construction cost is $10,475,000.
The 17 projects previously approved are located in Beach, Belfield, Bowman, Crosby, Dickinson, Kenmare, Grand Forks, Minot, Ray, Watford City and Williston.

Before developers can access funding from the State and begin construction, all of their financing must be in place.

Any individual or business with a state tax liability can contribute to HIF. In return for the contribution, taxpayers receive a dollar-for-dollar state tax credit. The contributions can be directed to a specific project or community. NDHFA is authorized to issue tax credit certificates on a first-come, first-served basis until a $15 million maximum threshold is reached.

“North Dakotans, with their contribution, can help create affordable housing where it’s needed most,” said Mike Anderson, NDHFA executive director. “So far, NDHFA has raised almost $7.3 million to support affordable housing development.”

Applications for what is anticipated to be the NDHFA’s final funding round this year are due by August 31. Approximately $750,000 is available.

HIF contribution and development information is available online at www.ndhousingincentivefund.org or by contacting Jolene Kline or Bill Hourigan at (800) 292-8621.

The Industrial Commission of North Dakota, consisting of Gov. Jack Dalrymple, as chairman, Agriculture Commissioner Doug Goehring and Attorney General Wayne Stenehjem, oversees the NDHFA.

Ground Broken for Dickinson Affordable Housing Law Enforcement Housing Projects Named

Members of the public and private sector came together to break ground for Patterson Heights Apartments in Dickinson.

DICKINSON, ND – Beyond Shelter, Inc. (BSI) and the North Dakota Housing Finance Agency (NDHFA) co-hosted a ground breaking today for Patterson Heights Apartments. Located at 700 Dakota Boulevard, the affordable housing development is supported by a Marathon Oil Co. contribution to the North Dakota Housing Incentive Fund (HIF) and the state’s Law Enforcement Pilot Program (LEPP).

“We are committed to bringing more affordable housing to western North Dakota and this project is another great example of the public-private partnerships that are making that happen,” said Governor Jack Dalrymple.  “Marathon Oil’s support of HIF is an excellent illustration of the company’s philosophy of being a positive force in the lives of not only its employees, but also in the communities in which the organization operates.”

Marathon contributed $2.5 million to HIF in December, targeting a portion of its contribution to development in Dickinson. BSI received $1,376,003 through HIF for the project.

Patterson Heights Apartments is one of the first four projects that will set-aside rental units specifically for law enforcement personnel. BSI received $744,000 from LEPP to reserve eights units in the 24-plex specifically for law enforcement personnel.

“Law enforcement agencies in western North Dakota have repeatedly cited increased housing costs and shortages as an issue in recruiting and retaining personnel,” said Attorney General Wayne Stenehjem. “I have high praise for the cooperative efforts of the developers and the state in addressing the situation.”

NDHFA selected three additional projects to receive LEPP funding:

  • Belfield – $208,000 to the Belfield Housing Authority for two units.
  • Stanley – $357,500 to the Stanley Police Department for four units.
  • Watford City – $514,056 to Bakken Housing Partners LLC for eight units.

The Industrial Commission, working with the Attorney General’s office, asked NDHFA to develop the program. LEPP is funded with the state’s approximately $3 million share of the Mortgage Servicing Settlement Fund and is targeted to communities in oil-impacted areas.

“NDHFA will hold a second funding round for LEPP that will end Aug. 31,” said Agriculture Commissioner Doug Goehring.  “Approximately $1.1 million remains available to meet this need in the energy-impacted communities.”

“The development resources provided by the State of North Dakota are making this project possible,” said Lynn Fundingsland, BSI CEO. “It takes a cooperative effort to successfully address the affordable housing needs of a community like Dickinson.”

Additional key partners in the Patterson Heights Apartments project include Roers’ Development, Inc., Roers West, LLC, North Dakota Department of Commerce’s Division of Community Services, American Bank Center, Stark Development Corporation, Bank of North Dakota, the Housing Authority of Stark County, Roosevelt-Custer Regional Council for Development, and the City of Dickinson.

Patterson Heights will consist of 6 one-bedroom, 12 two-bedroom, and 6 three-bedroom units. The total construction cost is estimated at $3.44 million. Beyond Shelter anticipates that the project units will be completed by February 2013.

HIF is capitalized by state taxpayers. The fund provides low-cost financing to developers of affordable rental housing. Contributions can be directed to a specific project or community. NDHFA is the administrator of the fund as well.

“Because economic growth has put a strain on North Dakota’s housing supply, the state’s priority is to create rental units for essential services employees and households of limited means,” said Mike Anderson, NDHFA executive director. “NDHFA is proud to partner with Beyond Shelter to provide Dickinson with the safe, decent and affordable housing it needs.”

The Mortgage Servicing Settlement Fund originates from a landmark settlement reached earlier this year with the nation’s five major mortgage servicers. An extensive investigation, in which Stenehjem participated, resulted in an agreement that provided new detailed standards for the servicers and required the servicers that were investigated to make a cash payment through the fund to the state and federal government agencies involved in the investigation.

BSI is a nonprofit developer of affordable housing based in Fargo, ND.  BSI is mission driven to improve lives and create communities by developing housing for those most in need. To date, BSI, in partnership with many key stakeholders, has developed 500 affordable residential units serving communities in North Dakota, South Dakota, and Minnesota. 2012 will bring the total to 556 affordable residential units. 

The Industrial Commission of North Dakota, consisting of Governor Jack Dalrymple as chairman, Agriculture Commissioner Doug Goehring and Attorney General Wayne Stenehjem, oversees NDHFA.

For more information on the LEPP or HIF, contact Jolene Kline or Bill Hourigan at (800) 292-8621 or www.ndhousingincentivefund.org.

Work Getting Started on Greenfield Heights Twin Homes

BELFIELD, ND – More affordable housing units will be on their way as Lutheran Social Services Housing breaks ground on the 12-unit Greenfield Heights Twin Homes in Belfield, ND.

The non-profit affordable housing developer together with the North Dakota Housing Finance Agency (NDHFA) will kick off the project during a ceremonial ground breaking at 10 a.m. MDT on Thursday, July 26, at the site of the new housing units in the Makaruk Addition on 5th Street NW between Jeanette and Mary Avenues.

The project is a great example of public and private entities working together, said Lutheran Social Services Housing Director Jessica Thomasson.

“MBI Energy Services’ financial support and NDHFA’s development programs have put this project on the right path,” said Thomasson. “We are ready to provide Belfield with the affordable housing the community needs.”

MBI Energy Services contributed $225,000 to the North Dakota Housing Incentive Fund (HIF) in December, targeting the funds to Lutheran Social Services Housing’s Belfield project. The family-owned business is headquartered in Belfield and wanted to help bring affordable housing options to the community.

Capitalized by state taxpayers, HIF provides low-cost financing to developers of affordable multifamily housing. Contributions can be directed to a specific project or community.

Greenfield Heights Twin Homes also received $750,000 from the federal Neighborhood Stabilization Program (NSP). NSP funds are used to purchase foreclosed, abandoned or vacant property and redevelop it into housing that stabilizes neighborhoods.

NDHFA administers both HIF and NSP.

“Because economic growth has put a strain on the state’s housing supply, NDHFA’s priority is to create rental units for essential services employees and fixed-income households,” said Jolene Kline, NDHFA planning and housing development division director. “Belfield has seen a dramatic increase in the need for safe, decent and affordable housing and NDHFA is proud to partner with Lutheran Social Services Housing and the community to make that happen.”

Additional key partners in this project include Stark County Development Corporation and Great Plains National Bank.

The total cost of constructing the twin-home style units is estimated at $1.55 million. Greenfield Heights will consist of eight two-bedroom and four three-bedroom rental units. Lutheran Social Services Housing anticipates that the project will be completed by November 2012.

Lutheran Social Services Housing, a program of Lutheran Social Services of North Dakota, supports the continued vitality of the state’s smaller communities by providing nonprofit affordable housing and housing-related services, with eight rental housing projects currently completed and under management, an additional seven projects in various stages of development and approximately 20 more projects in the pipeline.

Lutheran Social Services of North Dakota is a statewide social services agency serving thousands of North Dakotans in need with affordable housing, food, disaster recovery, counseling and therapy and other programs that strengthen individuals, families and communities without regard to clients’ race, religion, gender or economic status.

The Industrial Commission of North Dakota, consisting of Governor Jack Dalrymple as chairman, Agriculture Commissioner Doug Goehring and Attorney General Wayne Stenehjem, oversees NDHFA.

More information about the Housing Incentive Fund is available online at www.ndhousingincentivefund.org.