In early November, GMHF closed on a $15 million construction loan for Penn Station, a new 42-unit LIHTC workforce housing development in Richfield led by JO Companies. Penn Station will include a mix of 1, 2, 3, and 4-bedroom apartments affordable to households earning 30%–60% of Area Median Income, including 7 units for individuals experiencing homelessness and 6 units for persons with disabilities.
For this project, we also provided a $765,000 predevelopment loan to bridge the costs incurred prior to the start of construction — a critical resource that we’re able to provide thanks to our role as a Community Development Financial Institution (CDFI).
Johnny Opara, the founder of JO Companies, first came to GMHF as an emerging developer working on his first project. Penn Station marks Opara’s third LIHTC development, all of which have been supported by GMHF financing.
“Thank you to Greater Minnesota Housing Fund for the partnership on the closing of Penn Station. It’s been an absolute pleasure working with GMHF throughout the years since the genesis of my career in real estate development,” said Opara. “I’m looking forward to growing our partnership, and delivering more beautiful homes for individuals and families that are high-quality, affordable, sustainable, and designed to stand the test of time.”
We are proud to work alongside Johnny to grow his capacity as a local developer and provide flexible financing for his projects that deliver much-needed community-based affordable housing solutions.
Photo credit: JO Companies
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