DICKINSON, ND – August 13, 2012 – (RealEstateRama) — 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 Patterson Heights.
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.
NDFHA – Sarah Mudder, 701-328-8056 or info (at) ndhfa (dot) org
BSI – Dan Madler, 701-730-2734 or dmadler (at) beyondshelterinc (dot) com