The major renovations to the Colonial Estates housing complex will take about two years to complete, and involve both interior and exterior improvements.
SPRINGFIELD – Beacon Communities LLC has launched an estimated $35 million renovation project at the Colonial Estates housing complex in Sixteen Acres.
The complex has 500 units, including 450 affordable housing units. The investment by Beacon Communities will help preserve those affordable units for another 45 years, officials said.
The major renovations began this month and will continue over the next two years, aided by low-interest financing through MassDevelopment, the state’s finance and development authority.
“The hope is that when it is completed, we will have a beautiful property that will provide residents with a wonderful place for them to live,” said Gina Martinez, development director for Beacon Communities.
MassDevelopment issued $39.1 million in tax-exempt bonds for the Colonial Estates project, for renovations and development costs. The bonds, which are exempt from federal taxes, were purchased by private investors, providing Beacon Communities, a real estate developer based in Boston, with access to low-interest loans, a MassDevelopment spokeswoman said.
The renovations will include improvements to kitchens, bathrooms, siding, roofs and windows, along with exterior lighting and improved lighting in apartments, Martinez said. In addition, there will be new, high-efficiency heating and hot water systems, improvements to security and access, and renovations to common areas such as the community building and open space, and creation of a trash and recycling facility, she said.
Colonial Estates was built in 1971, and has 430 two-bedroom units and 70 three-bedroom townhouse units.
Of the 450 affordable housing units, 349 receive rental subsidies. The federal government has agreed by contract to extend the Section 8 subsidies for at least 23 years in connection with the rehabilitation of the property, Martinez said.
The housing complex is on Beacon Circle off North Branch Parkway, on 63 acres of land.
“Preserving the Commonwealth’s affordable housing stock contributes to economic development in Massachusetts by opening doors for working individuals and families,” said MassDevelopment President and CEO Marty Jones, in a prepared release.
The level and duration of the renovation project will cause some disruptions for tenants, but result in the long-range benefits, Martinez said.
The financing is not part of a $1.4 billion housing bond signed into law by Gov. Deval Patrick. The new law, announced Thursday, will fund improvements to existing public housing and the development of new affordable housing and housing for people with disabilities.
MassDevelopment is “always pleased to work with the administration on creating and preserving affordable housing units, said MassDevelopment spokeswoman Kelsey Abbruzzese.