Complex Purchase Makes Way For Affordable Housing In Alexandria

ALEXANDRIA, VA — The purchase of an Alexandria apartment building that will provide affordable housing units is complete, the Alexandria Housing Development Corporation announced Thursday. Avana Apartments, a 326-unit apartment complex at 3001 Park Center Drive in the West End, will have some units available at lower costs for households that meet income requirements. It will be renamed Parkstone Alexandria with JBG Smith serving as property manager.

The apartment complex currently runs on market rate rents with most prices affordable to households with 70 to 80 percent of the Area Median Income. Before Alexandria Housing Development Corporation announced the intention to buy Avana Apartments, it was marketed to sellers as an opportunity to increase rents, JBG Smith said in a statement.

Under the new ownership, 130 apartments will be available to households making up to 60 percent of the Area Median Income, 114 apartments will be for households with up to 80 percent of the Area Median Income and 82 apartments will remain at the market rate.

The U.S. Department of Housing and Urban Development sets the rent limit for 60 percent of the Area Median Income at $1,366 for a one bedroom and $1,638 for a two bedroom. For 80 percent of the Area Median Income, the rent limit is $1,821 for a one bedroom and $2,184 for a two bedroom.

Developer JBG Smith's Impact Pool provided a $15.1 million loan, and the City of Alexandria provided a $8 million loan for the purchase of the apartment complex. In addition, the Virginia Housing Development Authority offered the senior permanent loan of $82.65 million and $5 million in grants to preserve the apartment complex as mixed-income housing.

"The acquisition of the Avana Apartments, now renamed Parkstone Alexandria, by AHDC is the most significant transaction in AHDC's fifteen-year history," said Daniel Abramson, chair of the Alexandria Housing Development Corporation board. "The extremely creative nature of acquiring a 326-unit high rise market apartment building and adjusting rents downward in the future will create affordable units for working Alexandrians."

Alexandria Housing Development Corporation expects income restrictions will be phased in. No current renters will be displaced. The owner and property manager will work to determine if current residents are eligible for affordable housing.

The current property has 137 one-bedroom units, 187 two-bedroom units, a three-bedroom unit and a four-bedroom unit as well as amenities like a swimming pool, fitness room, community room, playground and business center.