POAH - Preservation of Affordable Housing

The Preservation Challenge
8330 On The River is a high-rise building located on the banks of the Detroit River, and includes 280 apartments affordable to low-income elderly residents. Hardly a mile from the Renaissance Center and downtown Detroit, and featuring handsome views out to Belle Isle Park, 8330 On The River is surrounded by similar buildings which have converted to market-rate rents or condominium ownership, although one-third of the area's residents live below the poverty line. It was against this backdrop that POAH and the Michigan State Housing Development Authority (MSHDA) went to work when 8330 On The River became available in 2002.

The building was originally offered in a portfolio with five others, all nearing expiration of their Section 236 rent restrictions. (Section 236 is a HUD program from the 1970's which provided mortgage interest rate subsidies to private developers of low-income housing for a fixed period of time. Those mortgages are now reaching 'paid in full' status, leaving owners free to sell their properties on the open market.) The first building sold from this Michigan portfolio immediately converted to market rents.

POAH’s Role
POAH was the first organization to apply to MSHDA for funds under its innovative '236 Preservation Program', and received financing to purchase 8330 On The River as well as 920 On The Park in nearby Troy. This tax exempt loan will ensure that the apartments at 8330 On The River remain affordable to seniors for at least the next 35 years.

Other financing for the property came from syndicating Low Income Housing Tax Credits, and allowed repairs and renovations including shoring up the seawall along the water as well as restoring the riverside walkway and terrace for the use and enjoyment of the residents. Apartments received new windows and sliding doors as well as a refreshing coat of paint. Most importantly, residents received assurances that their homes will be available and affordable for as long as they need.

8330 E. Jefferson Detroit, MI 48214 8330 On The River, hardly more than a mile from downtown Detroit, is located in a neighborhood described recently as 'resurgent'. Several nearby buildings have successfully been converted to condominiums; POAH sought to avoid such an outcome, and the loss of homes for low-income seniors, in purchasing the 280-unit property in 2004.	Project Partners • Michigan State Housing Development Authority (MSHDA) • US Department of Housing and Urban Development (HUD) The Preservation Challenge 8330 On The River is a high-rise building located on the banks of the Detroit River, and includes 280 apartments affordable to low-income elderly residents. Hardly a mile from the Renaissance Center and downtown Detroit, and featuring handsome views out to Belle Isle Park, 8330 On The River is surrounded by similar buildings which have converted to market-rate rents or condominium ownership, although one-third of the area's residents live below the poverty line. It was against this backdrop that POAH and the Michigan State Housing Development Authority (MSHDA) went to work when 8330 On The River became available in 2002. The building was originally offered in a portfolio with five others, all nearing expiration of their Section 236 rent restrictions. (Section 236 is a HUD program from the 1970's which provided mortgage interest rate subsidies to private developers of low-income housing for a fixed period of time. Those mortgages are now reaching 'paid in full' status, leaving owners free to sell their properties on the open market.) The first building sold from this Michigan portfolio immediately converted to market rents. POAH’s Role POAH was the first organization to apply to MSHDA for funds under its innovative '236 Preservation Program', and received financing to purchase 8330 On The River as well as 920 On The Park in nearby Troy. This tax exempt loan will ensure that the apartments at 8330 On The River remain affordable to seniors for at least the next 35 years. Other financing for the property came from syndicating Low Income Housing Tax Credits, and allowed repairs and renovations including shoring up the seawall along the water as well as restoring the riverside walkway and terrace for the use and enjoyment of the residents. Apartments received new windows and sliding doors as well as a refreshing coat of paint. Most importantly, residents received assurances that their homes will be available and affordable for as long as they need.
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