After six years in the making, Twin Cities-based Artspace received word that its first off-shore project is one step closer to reality.The nonprofit real estate developer, in partnership with Honolulu-based PA’I and Honolulu-based HKI, plans to build the Ola Ka ‘Ilima Artspace Lofts, a mixed-use arts development that includes 84 units of affordable housing live/work housing for artists and their families, space for other non-profits and gathering space for community events.
The Hawaii Housing Finance and Development Corporation (HHFDC) approved the Artspace request for low-income housing tax credits to help finance the $38 million project, which will be located in the Kaka’ako neighborhood of Honolulu.
"The HCDA has been following this project for over a year now, and we're excited that it's one step closer to providing much needed housing for lower income groups," said Hawaii Community Development Authority Executive Director, Anthony Ching.
The tax credit brings $17 million in upfront equity to the project’s capital budget, enabling Artspace to focus on the final phase of fundraising. Construction is expected to start in 2015.