Public-Private Partnerships and
Affordable Housing:
Implementing Mixed-Income
A
Case Study: Monarch Mills
Neighborhoods
Public/Private Partnerships
Montgomery
County
Ranked by Forbes
as the 10th richest
county
Median HH Income
$92,213
Highly Educated
Population
Makeover Montgomery II
Public/Private Partnerships
Howard
County
Frequently cited for
its affluence, quality
of life, and excellent
schools
Schools ranked
among top 2 districts
in MD
Median HH Income
$108,884
Makeover Montgomery II
Guilford Gardens to Monarch Mills
A Public/Private Partnership
Makeover Montgomery II
Guilford Gardens Existing Site
18 Acre Site
Owned by Housing
Commission
100 Unit Low Income Rental
Community - Occupied
30+ Years Old Outdated
Deferred Maintenance
Cash Strapped
In Need of Major Renovation
and Change
Isolation of Poverty
U.S Govt (FCC)
Guilford Elementary
Makeover Montgomery II
The Vision Creation of a World Class
Community
Zero
Displacement
Sustainable
Design &
Construction
Practices
Mixed Income
MultiGenerational
Amenity Rich
Financially
Sustainable
Makeover Montgomery II
HOW? Public/Private Partnership
1. Establishing the team
2. Architectural Approach
3. Financial Structure
Makeover Montgomery II
HOW? Public/Private Partnership
RFQ/RFP Process
RFQ/RFP Process
Leverage expertise & financial
capacity of broader development
community
Partner Selection
Shares your vision
Development/Financial Capacity
Integrity
Makeover Montgomery II
Site Design
Monarch Mills:
A terrific neighborhood based on
great planning principals.
Makeover Montgomery II
Site Design Strategies + Objectives
Oakland Mills
Rd
Connect to existing
neighborhood
Guilford
Elementary
Makeover Montgomery II
Site Design Strategies + Objectives
Connect to existing
neighborhood
Makeover Montgomery II
Site Design Strategies + Objectives
Re-use the existing
infrastructure
Makeover Montgomery II
Site Design Strategies + Objectives
Create an identity
and sense of place.
Makeover Montgomery II
Site Design Strategies + Objectives
Be inclusive.
Mixed Income
Multi-Generational
Residents in place,
Zero displacement
during construction
Makeover Montgomery II
Site Design Strategies + Objectives
Create a walkable
community.
Network of foot
paths connecting
homes and
amenities
Vehicle traffic
and parking at
perimeter
Makeover Montgomery II
Site Design Strategies + Objectives
Create a walkable
community.
Makeover Montgomery II
Architecture Building Character
Makeover Montgomery II
Architecture Building Character
Makeover Montgomery II
Architecture Building Character
Makeover Montgomery II
Architecture Building Character
Makeover Montgomery II
Architecture Circulation
Open Breezeways
Makeover Montgomery II
Architecture Unit Layout
Open and Efficient
Makeover Montgomery II
Site Amenities Green Spaces
Makeover Montgomery II
Site Amenities Green Spaces
Makeover Montgomery II
Site Amenities Passive Spaces
Makeover Montgomery II
Site Amenities Active Spaces
Makeover Montgomery II
Site Amenities Active Spaces
Makeover Montgomery II
Site Amenities Indoor Spaces
Makeover Montgomery II
Site Amenities Indoor Spaces
Makeover Montgomery II
Sustainability
Separated
Construction
Debris and
Recycled
More than 80%
of waste
materials
diverted from
landfills
Re-used
infrastructure
on site
Makeover Montgomery II
Sustainability
LEED Gold
Clubhouse
Green
Communities
Certified
Geothermal
system
Makeover Montgomery II
Mixed Income + Multigenerational
True mixed income
community without
segregation by
income (not by
building or floor)
Rents range from
$700/month to
$2,000
269 total units
153 market
116 LIHTC/PBS8
9 Garden Style
buildings
Senior building with
elevator
Makeover Montgomery II
Financially Sustainable Mixed Income/Layered
Finance
1st Mortgage - HUD 221(d)4
CDA Partnership Rental Housing Funds
Howard County HOME Loan
CDA MEEHA Loan
MDE Grant (Rainwater Harvesting Project)
9% LIHTC Equity
Developer Equity
$ 25,900,000
$ 3,625,000
$ 1,740,000
$
259,315
$
145,170
$ 10,264,539
$ 1,169,409
TOTAL SOURCES
$ 43,103,433
Makeover Montgomery II
Financially Sustainable Partners
Howard County Government
Howard County Housing
Commission
Shelter Development
Maryland Department of Housing
and Community Development
U.S. Department of Housing and
Urban Development
The Columbia Bank/Fulton
Financial Corporation
Maryland Energy Administration
Maryland Department of the
Environment
Makeover Montgomery II
Financially Sustainable Resources
Howard County
Owns land
Favorable Ground
Lease
Pilot
Howard County
Housing Commission
Owns improvements
$0 acquisition
HOME Loan
Partnership Funds
Interim Income
Makeover Montgomery II
Financially Sustainable Ownership Structure
Owner:
Developer:
Property Manager:
Monarch Mills LP
(Howard County Housing)
Shelter Development LLC
Shelter Properties LLC
* Construction Completed March 31, 2012
* On Time/On Budget
* Stabilized Operations Ahead of Proforma
Cashflow Exceeding Expectations
Makeover Montgomery II
Guilford Gardens to Monarch Mills
A Public/Private Partnership
Makeover Montgomery II