NewPoint Impact Fund I has facilitated $13.3 million in 501(c)(3) bond financing to support the acquisition, rehabilitation, and recapitalization of Ridgecrest Apartments Phase II, a 128-unit affordable housing community located in southeast Washington D.C.’s Anacostia submarket. The borrower, The NHP Foundation (NHPF), a New York-based nonprofit developer specializing in affordable housing, secured this financing through NewPoint Real Estate Capital (NewPoint).
Bryan Dickson, Senior Managing Director at NewPoint, structured the tax-exempt construction-to-permanent phased bond financing via the NewPoint Impact platform, marking a significant residential rehab milestone supported by the District of Columbia’s Revenue Bond program. This initiative represents the District’s inaugural residential rehabilitation financed through a tax-exempt 501(c)(3) bond transaction.
“This innovative transaction involved collaboration among NewPoint, NHPF, DC Green Bank, and local agencies, including the Office of the Deputy Mayor for Planning and Economic Development, Department of Housing and Community Development, and District of Columbia Housing Authority,” noted Dickson. “By exploring alternative solutions to LIHTC, we achieved smart and efficient financing that revitalizes aging assets, ensuring long-term affordability and supportive housing.”
The $13.3 million Fund financing complements $29.2 million in soft debt and grants from DC Department of Housing and Community Development, including Housing Production Trust Funds (HPTF), alongside $2.3 million in subordinate debt from DC Green Bank and $2.2 million from deferred fees and other sources. Together, these resources will enable substantial energy-efficiency improvements and sustain long-term affordability.
Ridgecrest Phase II, previously part of the 1951-built Ridgecrest Village, acquired by NHPF in 2019, will allocate 20% of its units at 30% of Area Median Income (AMI) for permanent supportive housing. The remaining 80% will adhere to HPTF rent thresholds at 50%, 60%, and 80% of AMI.
In alignment with District of Columbia’s decarbonization goals, Ridgecrest Phase II will transition to fully electric energy sources—a pioneering move for affordable housing communities. This transformation, typically cost-prohibitive, becomes feasible through the transaction’s structure and District funding support.
Pamela Lee, Assistant Vice President of Development at NHPF, highlighted the significance of this funding model as the District’s first 501(c)(3) municipal bond issuance for residential housing rehabilitation. “The collaboration between public and private sectors sets a new standard for effective deal execution,” Lee emphasized.
The garden-style apartment community features two- and three-bedroom units ranging from 850 to 1,000 square feet. Residents will enjoy amenities such as a laundry room, playground, and surface parking, with access to the nearby Villages at Parklands Splash Park, an 80,000-square-foot waterpark and pool.
About The NHP Foundation Headquartered in New York City, with offices in Washington, D.C., Baltimore, and Chicago, IL, The NHP Foundation (NHPF) is a 501(c)(3) nonprofit real estate corporation dedicated to creating sustainable, service-enriched multifamily housing and single-family homes affordable to low and moderate-income families and seniors. For more information, visit www.nhpfoundation.org.
About NewPoint Real Estate Capital NewPoint is a leading commercial real estate finance company providing lending solutions for multifamily, affordable housing, seniors housing, healthcare, and manufactured housing properties nationwide. Learn more at www.newpoint.com.
About NewPoint Impact Fund I The Fund focuses on investing in tax-exempt mortgage revenue bonds that finance affordable housing projects subsidized by LIHTC and owned by 501(c)(3) organizations or for-profit developers under ongoing tenant income or rental restrictions. Visit www.newpoint.com for additional details.
