HTG has closed on financing and begun construction of Kissimmee Cove, a 73-unit affordable housing community in the City of Kissimmee. The development is aimed at income-qualifying residents and is designed to offer significantly lower housing costs than prevailing market rates. Monthly rents are expected to range from approximately $592 to $1,660, providing a discounted option relative to average pricing in the surrounding area, where one-bedroom apartments in the submarket now command more than $1,500 per month.
The capital stack for Kissimmee Cove combines public and private sources. The community is supported in part by an $8.4 million loan sourced from Community Development Block Grant–Disaster Recovery funding. In addition, the project utilizes $9.37 million in tax credits allocated by the Florida Housing Finance Corporation and syndicated by Raymond James, supplying a key layer of equity to the transaction. These resources are complemented by both construction and permanent financing from commercial lenders.
On the debt side, HTG secured a $12 million construction loan from Fifth Third Commercial Funding to move vertical development forward. Long-term financing will be provided through a $6.57 million permanent loan from Grandbridge, executed via Freddie Mac. Together, the CDBG-DR loan, tax credit equity and senior loans create a multi-tiered funding structure that supports delivery of new income-restricted housing in a market where affordability pressures are evident.
Kissimmee Cove will rise at 1790 N Hoagland Blvd. and is planned with a mix of 62 one-bedroom and 11 two-bedroom apartments. Residences will include full-size appliances and energy-efficient windows, reflecting an emphasis on functionality and operating efficiency. The physical program is aligned with the propertys workforce and affordable housing mission, combining compact unit layouts with a range of shared amenities intended to support resident convenience and community-building.
Planned common-area features include a multipurpose club room with a community kitchen, a fitness center, a cybercafe and a swimming pool with an adjacent barbecue area. In addition to the bricks-and-mortar amenities, HTG expects Kissimmee Cove to host a range of social services for residents, although specific programming has not been detailed. With financing in place and ground broken, the project is positioned to add new income-restricted supply to the Kissimmee rental market at rent levels targeted below current submarket averages.
