Applications began being accepted last week for The Willows at Rahway, a 58-unit affordable housing complex with a preference for artists, with occupancy aimed for the spring.
The Willows began accepting applications Dec. 11. Construction on the four-story development started in the spring along Central Avenue, behind the former Elizabethtown Gas building. The project is aiming for a March 15 occupancy.
“An applicant who completes the application process, qualifies under the income, credit and criminal criteria and is deemed a practicing artist is placed on a ‘first come, first serve’ preference list and moved to the top of The Willow at Rahway’s wait list,” according to the application’s artist preference policy.
To qualify, income must be equal to or below the following levels based on the number of people living in the unit:
1 – $39,600
2 – $45,240
3 – $50,880
4 – $56,520
5 – $61,080
6 – $65,580
Average rents range from $972 to $1,366, according to ApartmentGuide.com, specifically, $984 for one-bedrooms, $972 to $1,184 for two-bedrooms, and $1,121 to $1,366 for three-bedrooms.
Collingswood-based developer Ingerman secured $15 million in tax credit financing from the New Jersey Housing and Mortgage Finance Agency (NJHMFA) for the project.
The Redevelopment Agency purchased the 1-acre property for $731,000 and sold it to Ingerman for $956,000. The agency used $600,000 in HOME funds through Union County, with $131,000 as a loan from Ingerman. At closing, Ingerman paid the agency $356,000 cash, part of which paid pay off the $131,000 loan, while the redeveloper assumed the $600,000 mortgage, and the $225,000 retained by the agency as a local match. Ingerman received a subordinated mortgage, expected to be paid off over 30 years.
The redevelopment agreement stipulated that construction begin within two months of the closing date, which occurred in December, and completion projected for 18 months. Closing on the property occurred in December and site work on the project started in mid-January, which would project completion at about June 2018.
The Willows at Rahway – vitals
- 219 Central Ave.
- Stories: 4
- Units: 58 — 24 one-bedrooms, 28 two-bedrooms, and 6 three-bedrooms
- Parking: 37 spaces on site plus 36 at nearby YMCA parking lot.
- PILOT: 30 years, the length of subordinated mortgage Ingerman received, with projected annual payments of $33,000 to $39,000.
- Developer: Ingerman Group