PROJECT DESCRIPTION

The AFL-CIO Housing Investment Trust is helping to finance the $40.4 million new construction of the Rise on 7 Apartments in St. Louis Park, MN. Located near the city of Minneapolis, this development will offer 120 units of much-needed, high quality, affordable apartment homes. Residents will enjoy amenities including a community room, computer lab, and outdoor leisure space that will be connected to a first-floor early childhood center.

Located just across the street from the Shoppes at Knollwood, the project will give residents a plethora of options to choose from for shops and dining while also offering a wide range of employment opportunities. The project is also conveniently located within walking distance to many large parks and a large regional hospital is just a few blocks away.

HIT ROLE

The HIT is providing up to $20.6 million in financing through the purchase of tax-exempt bonds issued by the City of St. Louis Park and up to $14.5 million in taxable Ginnie Mae Construction Loan Certificates and a Permanent Loan Certificate. Rise on 7 is part of the HIT’s Midwest@Work Initiative. Since 1991, the HIT has financed 107 projects in Minnesota and 77 projects in the Twin Cities, all built with 100% union construction labor.

SOCIAL IMPACT

In addition to creating the union construction jobs and economic benefits shown above, 100% of the units will be restricted to households ranging from 30% to 60% of Area Median Income (AMI). Six of the units will  serve High Priority Homeless single adults. The early childhood center will serve approximately 60 children, with spots being held for residents of the building and low-income households needing subsidy or  scholarships.

The project plans to follow the 2021 Minnesota Overlay to Enterprise Green Communities Criteria. The project will require increased efficiency in building envelope, heating and cooling equipment, plumbing and light fixtures. Additional features include an on-site stormwater retention system, charging stations for electric vehicles and rooftop solar. The development will also meet the city’s Green Building Policy that requires that buildings perform 80% more efficiently than the baseline building established by the SB2030 program.