Developers describe $4.2M rehab and 50-year affordability restriction for South 40 senior apartments

The Board of County Commissioners opened a public hearing on the South 40 Apartments, a proposed rehabilitation of an existing affordable senior-housing project in Billings.

Cassie, an attorney with the Montana law firm of Bjornson Jones Mungus, told the board the project team is planning to acquire and rehabilitate the property and will seek federal tax credit financing and a property-tax exemption under the statute transcribed as "Montana code annotated section 15 6 to 21." Cassie said the public hearing was being held to solicit comment on whether the proposed development meets a community housing need; she said no action by the commission was required at this hearing.

Brian Maloney, senior associate at Lincoln Avenue Capital and the project sponsor, said the property at 769 Fallow Lane (just west of the Walmart and Costco on King Avenue West) was built in 1987 and previously rehabilitated in 2008. "Our plan is to do a new rehabilitation of the project, put approximately $4,200,000 in hard costs into the rehab, and this will allow it to be... viable long term as an affordable senior housing project," Maloney said. He added the sponsor will place a use restriction on the property requiring it to remain affordable for the next 50 years.

The board opened the hearing for public comment; no speakers came forward and the Presiding Commissioner closed the hearing.

Ending: Because no formal action was required, the record will reflect the presentation and local public input (none were recorded) and staff will process any subsequent application steps related to tax exemption and financing.