Loan at a Glance:
PCG Capital participated with the Housing Assistance Council (HAC) to deliver a $1,467,000 total loan to preserve and rehabilitate a USDA Section 515 senior property. This was PCG’s second direct participation with HAC. PCG Capital’s participation in this loan reduced HAC’s future exposure to The Hallmark Companies, Inc. (Hallmark), thus allowing them to close other deals with this group. This loan also allowed PCG Capital to meet the strategic goals of increasing lending in the Southeast.
Project Summary:
Hallmark will utilize LIHTC equity to acquire and rehabilitate this 28-year-old, 25-unit property. The property is located in a high-poverty census tract deemed an Area of Economic Distress. Twenty-four of the units are under an existing USDA Rural Development Section 515 structure with 100% rental assistance for seniors.
Borrower Summary:
Hallmark is a real estate company that has been in existence since 1997 and now has more than 375 employees. Hallmark’s mission is to provide stable, safe, and dependable multi-family communities through real estate investment, property management, and development activities. They specialize in establishing housing for families, seniors, and other individuals in need of quality, affordable housing opportunities.
Loan Result:
With 100% rental assistance, the project will serve a diverse set of senior households. The units are reserved for households making up to 50% AMI. In 2022 this was just over $30,000. 19% of the tenants have a disability; 92% are Black; 4% are white; and 4% are Native American. This is also PCG’s first loan in South Carolina.