CDT Partner: Hispanic Housing Development Corporation
CDT Investment: $5,490,405
Arrowhead Apartments is a 200-unit property located in the Chicago suburb of Pallatine, near O’Hare International Airport. The property has 103 one-bedroom units, 76 two-bedroom units, and 21 three-bedroom units. 20% of the units are supported by a Project-Based Section 8 HAP contract with the remainder of the property consisting of moderately-priced market-rate units.. Following CDT’s acquisition, the HAP contract was renewed for 20 years to ensure long term affordability. Hispanic Housing Development Corporation (HHDC), is the largest non-profit CDC in Chicago, and their nearly 50 years of experience in the market benefits not only our partnership, but also the property and its residents. On site amenities include a state-of-the-art fitness center, a heated pool, playground, private dog park, and a newly remodeled clubhouse.
CDT invested as a 90% investor member with HHDC investing as a 10% managing member. Our total development cost was $26MM or about $132,000 per unit. Initially closed with a bridge loan from First American Bank, CDT and HHDC placed long-term FHA debt on the property, which will help fund ongoing renovations. CDT’s investment in the property facilitated for roughly $21,000 of upfront rehab per unit, which has served to enhance the lives of current tenants, and better position the property for long term ownership.