Former nursing home and senior living campus provides affordable rental housing
BISMARCK, ND – Lewis & Clark Development Group (LCD Group) marked the completion of its Boulevard Avenue Apartments renovation on Monday. The nonprofit developer transformed the Bismarck, ND, property, once a nursing home and senior living campus, into 120 units of affordable rental housing.
“There is a significant demand for affordable housing in the Bismarck-Mandan area, particularly rental housing for lower-wage workers,” said LCD Group Executive Director Brent Ekstrom. “Lewis & Clark Development Group, like our predecessors, recognized how this property could help the community address that need and I’m happy that we are finally at the finish line, celebrating Boulevard Avenue Apartment’s successful redevelopment.”
Ruth Meiers Hospitality House acquired the property in 2013 and partially renovated the main building but struggled with operations and it was foreclosed upon in 2019. LCD Group purchased the property in November 2020 from Choice Bank, which had taken ownership after Ruth Meiers’ shutdown, with the goals of completing the rehabilitation, making the property a more attractive rental option, and ensuring its long-term viability.
Located at 1100 East Boulevard Ave., Boulevard Avenue Apartments consists of a main, three-story building connected via a walkway to a smaller two-story building referred to as the Porter Building. LCD Group’s scope of work included finishing projects that were not completed during the previous rehab including renovating Porter’s 40 apartments, creating new front entrances, improving the grounds and lighting in common areas, improving the flow of the main building, and converting unused areas of the first floor of the main building into 35 new housing units including some three-bedroom units.
As part of the acquisition and restructuring of the property’s financial package, the affordability of the project was increased through a reduction in rents combined with providing income-qualified tenants with rental assistance. The property’s rents now start at $615 for an efficiency, $729 for a one-bedroom, $895 for a two-bedroom and $1,028 for a three-bedroom unit.
“New construction isn’t always the answer, especially when there are existing housing units that can be revitalized, bringing new life to a neighborhood and providing the tenants with ready access to established services,” said North Dakota Housing Finance Agency (NDHFA) Executive Director Dave Flohr. A self-supporting state agency, NDHFA finances the creation and rehabilitation of affordable housing across North Dakota. The agency is overseen by the North Dakota Industrial Commission.
NDHFA supported the redevelopment by issuing multifamily housing bonds that provided $8.58 million in construction financing, awarded $442,348 in federal tax credits through the Low Income Housing Tax Credit program which generated roughly $3.85 million in project equity, and provided LCD Group with an additional $800,500 through the state’s Housing Incentive Fund (HIF). The developer also assumed a $2.855 million HIF loan provided by NDHFA when the property was converted into affordable housing by Ruth Meiers.
Additional project financing was provided by the North Dakota Dept. of Commerce, $866,866 through the federal Neighborhood Stabilization Program; a $689,650 award from the City of Bismarck through the federal HOME Investment Partnerships program; and a $560,000 loan from Neighborworks America. The project’s permanent financing was provided by PNC, a roughly $6.1 million loan that is insured by Freddie Mac. The total cost of the acquisition and rehabilitation of the property by LCD Group was $16.5 million.
Individuals who would like to learn more about the apartments should contact Syringa Property Management at (701) 471-3233. Information is also available online at https://boulevardavenueapts.com.
Based in Mandan, ND, the LCD Group is a collaboration of three separate nonprofit organizations: Lewis & Clark Regional Development Council, Lewis & Clark Certified Development Company, and CommunityWorks North Dakota. Through these three entities, LCD Group provides programs and loans to support businesses, local governments, and individuals in expanding affordable housing opportunities and advancing economic and community development throughout North Dakota.
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