Affordable Housing Community Breaks Ground in Madison

Affordable Housing Community Breaks Ground in Madison

Pathway Lending partners with Trent Development Group on property backed by Amazon, Metro’s Barnes Fund, JPMorgan Chase, Regions Bank, MDHA, and THDA that will deliver 228 units toward Nashville’s affordability goals

Pathway Lending, a Community Development Financial Institution headquartered in Nashville, along with development partner Trent Development Group recently broke ground, in early 2023, on a new affordable housing community in Madison. The new community, Birchstone Village, will consist of 228 1-, 2-, and 3-bedroom units at 616 N. Dupont Avenue.

Pathway Lending President and CEO Clint Gwin said, “We are grateful to our partners who came together to make Birchstone Village a reality and bring sought-after, high-quality affordable housing to the residents of Nashville. Our long-standing commitment to affordable housing and experience financing it in Nashville and across the state brought us the opportunity to partner with Trent Development in the creation of Birchstone.”

“This important investment in Nashville’s affordable housing supply is made possible thanks to several groups who provided vital funding, resources, and support,” said Alex Trent, president, Trent Development Group. “This project demonstrates the meaningful progress our community can make to address Nashville priorities when the private and public sectors work together.”

The new community is made possible thanks to a long list of public and private organizations who share the mission to add more affordable and workforce housing to Nashville. Pathway Lending led the charge in securing a Community Investment Tax Credit from the state, a $1.9M affordable-housing grant from Nashville’s Barnes Fund, a multi-family tax-exempt bond from the Tennessee Housing Development Authority (THDA), funding from the Metro Development and Housing Authority (MDHA) PILOT program, and cooperation and approval from HUD to transfer the current rent subsidy to the new site. The Amazon Housing Equity Fund provided gap funding of $22.5 million, continuing the company’s commitment to impact Nashville’s affordability goals. Construction and permanent financing are being provided by Chase’s Community Development Real Estate Lending unit, and Regions Bank was the equity provider.

“We are proud to provide financing for the development of much-needed affordable housing in Nashville where occupancy at existing affordable housing properties is high,” said Chet Shedloski, Vice President of Community Development Banking, Chase. “At Chase, we’re committed to supporting projects like this that create safe, stable housing, which is a fundamental component of healthy, thriving communities.”

Regions Bank’s Senior Vice President and Relationship Manager Jason Kaye said affordable housing opportunities are important to the overall success of a community. “At a time when the need for more affordable housing is important to communities across the country, our team at Regions Affordable Housing is helping business clients meet those needs,” Kaye said. “Our work is not just focused on providing financing. It is an extension of our bank’s mission to make life better in the communities we serve. Affordable housing is deeply personal and meaningful for people, and it’s one of the most important drivers to a strong economy. We are pleased to provide financial guidance and support for projects that connect more individuals and families with a safe, affordable place to call home. As Middle Tennessee continues to grow, access to affordable housing is more important than ever.”

Trent Development Group additionally cites the leadership provided by Metro Council District 9 Councilwoman Tonya Hancock, who represents the site of the Madison development, and District 7 Councilwoman Emily Benedict, who represents the site of the current property Berkshire Place. Birchstone Village is interrelated with the redevelopment of Berkshire Place Apartments in South Inglewood. Trent applied to transfer the federal affordable housing units for that site to Birchstone Village, an initiative that saved Nashville hundreds of qualified affordable units that could otherwise have been forfeited as the aged Berkshire Place site is razed and redeveloped.

“This partnership between nonprofits, public agencies, and the private sector demonstrates how we all can—and must—collaborate to address the critical need for more affordable housing,” said Catherine Buell, Director of The Amazon Housing Equity Fund. “We’re excited to see Birchstone Village break ground and to support the creation of these 228 affordable homes, knowing that so many families will benefit.”

Birchstone Village will be made up of six residential buildings, built as three-story garden style apartments with open air walkways and private balconies. The interior amenities include 9-ft ceilings, in-unit dishwasher and washer/dryer, extensive storage space, and stainless-steel appliances.

In addition, the property will host an 11,000-sf community building that will house Family Affair Ministries, a nonprofit with rotating social services including a commercial training kitchen, classrooms, counseling rooms, and a large communal flex room.

The exterior will offer wraparound patio seating overlooking a 10,000-sf splash pad and playground area. There’s additional green space that will offer communal seating and a multipurpose recreational court in the middle of the property as well. A covered school bus stop and city bus stop will also be built for direct and safe access for residents.

“The families that will have an opportunity to not only move into a new place, but embrace a new way, are delighted,” said Pastor Glenda Sutton, Founder, Family Affair Ministries. “For many, this will be the first time ever moving into a new place. Our job now is to make them ready—to encourage them, to excite them, to cause them to dream about the opportunities that await them. Yes, there will be some difficulties, as all new things hold, but there is an opportunity to begin afresh. An opportunity to reset and begin again. This, we are desiring with them.”

With this property, Trent Development will transfer an existing federal Section 8 housing contract from its Berkshire Place Apartments at 1500 Porter Road in East Nashville to the newly constructed Birchstone Village. The company will preserve 185 Berkshire units and add 43 standard affordable housing units making it a mixed income property. Trent Development will pay the moving costs, related costs, and make other contributions to assist the moves of   Berkshire Place residents to the modern community in Madison.

Ragan Smith is the civil engineer on the project. Studio A is the architect and Smith Gee Studio is the interior designer. Bacar is the general contractor. The new community is expected to open in 2025.

About Trent Development Group

Trent Development Group is a Nashville-based real estate firm that specializes in affordable housing development. Visit www.trentdevelopmentgroup.com.

About Pathway Lending

Founded in 1999 and based in Nashville, Pathway Lending is a community development financial institution (CDFI) certified by the U.S. Department of the Treasury. It has grown to become a major lending institution in the Southeast, propelling meaningful economic growth in communities across the region. In 2021, Pathway Lending made more than $57.7 million in loans and delivered 16,555 hours of technical assistance and education. Get to know our mission and the stories of the entrepreneurs and communities we serve at PathwayLending.org.

About Regions Financial Corporation

Regions Financial Corporation (NYSE:RF), with $155 billion in assets, is a member of the S&P 500 Index and is one of the nation’s largest full-service providers of consumer and commercial banking, wealth management, and mortgage products and services. Regions serves customers across the South, Midwest and Texas, and through its subsidiary, Regions Bank, operates more than 1,250 banking offices and more than 2,000 ATMs. Regions Bank is an Equal Housing Lender and Member FDIC. Additional information about Regions and its full line of products and services can be found at www.regions.com.