Merchants Capital has successfully obtained over $88 million in financing for Union at Bluffs Run, a new affordable housing community with 192 units located in Council Bluffs, Iowa. This funding will enable The Annex Group to expand their presence in the affordable housing market, as this project marks their fourth development within the state of Iowa. Merchants Capital was able to secure a permanent loan of $24.9 million through Fannie Mae Forward MBS Tax-Exempt Bonds (M.TEB) and an additional $22.5 million through low-income housing tax credits (LIHTC). Additionally, Merchants Bank provided a construction loan totaling $41.5 million.
The affordability of Union at Bluffs Run will be maintained through various means such as tax increment financing (TIF) from the City of Council Bluffs and rent restrictions for residents earning up to 60% of area median income (AMI). Situated on more than 10 acres of land, this development will consist of four three-story apartment buildings featuring a total of 72 one-bedroom units, 96 two-bedroom units and 24 three-bedroom units.
