A dozen rental units for older Mainers in Aroostook County will be preserved as affordable housing, under a partnership with a local housing authority and community loan bank.
Lester Hersey developed the multi-family rental building in Mapleton in 1980s and used a low-interest mortgage from the U.S. Department of Agriculture to finance the project.
The mortgage, supported through USDA's Section 515 program, is now reaching maturity. But Hersey agreed to transfer the property to the Presque Isle Housing Authority, which will preserve the units as affordable rental housing. The housing authority also plans to renovate the property using a state tax credit.
"Preserving this property ensures that low-income families and seniors in this rural community will continue to have an affordable place to call home," Jennifer Sweetser, executive director of Presque Isle Housing Authority, said Tuesday in a statement. "We are proud to sustain affordable housing, which is critically important now and for Aroostook County’s future."
The Genesis Community Fund, which helped facilitate the transfer with a grant from USDA Rural Development, said mortgages for some 7,600 additional rental properties throughout Maine are reaching maturity and are at risk of being lost to the private market.
So far, the process of transferring USDA Section 515 units to non-profit owners has preserved 164 affordable homes around the state, said Liza Fleming-Ives, executive director of the Genesis Fund. They include 28 units in Thomaston and 24 units in Orono.
