Knoxville Mayor Madeline Rogero will lead a groundbreaking event at 3 p.m. today (5/14) at 2712 E. Martin Mill Pike behind Shoney’s restaurant on Chapman Highway, with parking available in Shoney’s lot.
Rogero will be joined by Becky Wade, director of Community Development; John Shepard, vice president of Elmington Capital Group; and KCDC officials, according to a city press release.
Nashville-based housing developer Elmington will build and own the $29.9 million project. It will have 172 units of affordable housing for residents whose annual income is at or below 60 percent of the area median income. Affordable is defined as costing the renter no more than 30 percent of household income. When complete, the housing complex will have 84 one-bedroom units, 51 two-bedroom units and 37 three-bedroom units.
Project funding comes from a variety of sources, including $540,000 from the U.S. Department of Housing and Development HOME funds; $360,000 from the city’s Affordable Rental Development Fund; low-income housing tax credits; and private equity financing by Berkadia Bank. Knoxville’s Community Development Corp. (KCDC) will provide project-based housing vouchers for 60 of the units, which allows renters earning even lower incomes to qualify.
Elmington is a privately owned commercial real estate investment and development firm with previous experience building and managing affordable rental housing apartments in Nashville, Knoxville, Memphis, Chattanooga, Birmingham, Ala., and Louisville, Ky. In fall 2017, firm representatives met with several South Knoxville neighborhood groups and other neighbors to discuss the project proposal and its impact on the area.
City Council approved the city’s $360,000 allocation on March 27, 2018.
