A $103.4 million financing package has closed for the purchase and renovation of a downtown St. Petersburg apartment building, clearing the way for major improvements to 188 affordable senior apartments.<\/p>\n
The building at 518 Third Avenue S., formerly known as the Viridian and now renamed Skye Isle, will undergo a yearlong renovation that includes new plumbing, cooling systems, windows, kitchens and bathrooms. The project will also bring a wellness center and services aimed at helping older residents remain in their homes.<\/p>\n
Kathryn Driver, executive director of the Housing Finance Authority of Pinellas County, confirmed that the acquisition and financing have closed. Construction is already underway.<\/p>\n
Debra Koehler of Sage Partners, whose affiliates have been involved with the property since 2009, said the work addresses problems that have accumulated in a building constructed in 1971.<\/p>\n
\u201cWe\u2019ve had the building for 17 years, so we knew what we wanted to do,\u201d Koehler said.<\/p>\n
That includes replacing plumbing throughout the building, including pipes underneath the property that connect to the city\u2019s water system. The project will also replace the rooftop cooling equipment and mechanical systems inside the apartments.<\/p>\n
Residents will receive new kitchen cabinets, granite countertops, energy-efficient appliances and slip-resistant flooring. Bathrooms will be expanded and fitted with accessible showers and grab bars, replacing tubs that can be difficult for older residents to use.<\/p>\n
The building\u2019s original windows will be replaced with energy-efficient, impact-resistant glass.<\/p>\n
Koehler said residents have an average age in the mid 70s and an average annual income of about $17,500. Many rely primarily on Social Security.<\/p>\n
The renovation goes beyond the apartments themselves. Plans call for a wellness center, telehealth access and space where medical professionals can see residents without requiring them to travel to an office.<\/p>\n
A dedicated social services coordinator will help residents navigate paperwork and other needs. Fitness programs, balance exercises and fall prevention will also be part of the effort.<\/p>\n
Koehler said the goal is to address the challenges residents face as they age, allowing them to remain independent for as long as possible.<\/p>\n
Hennessy Construction Services is handling the renovation, which is expected to take approximately one year. Work will proceed floor by floor while the building remains occupied.<\/p>\n
Most residents will temporarily move into vacant apartments elsewhere in the building. A small number have been relocated to a nearby hotel while the first floors undergo more extensive work.<\/p>\n
The development team hired a professional moving company to pack, move and unpack residents\u2019 belongings. Once the initial plumbing work is complete, Koehler expects most individual apartment renovations to take approximately 30 to 35 days.<\/p>\n
The work will bring some issues. Koehler said residents have been briefed about temporary water shutoffs and other disruptions during construction.<\/p>\n
\u201cI never, ever want to paint this rosy picture where there\u2019s not going to be inconveniences,\u201d she said.<\/p>\n
Residents attended a meeting about the renovation before the financing closed. Some have lived in the building since the company\u2019s initial preservation effort in 2009.<\/p>\n
Koehler said residents will not face rent increases because of the improvements, and affordability restrictions have been extended for another 50 years.<\/p>\n
Preserving the building as affordable housing was the reason Sage Partners first became involved.<\/p>\n
Originally developed by the Knights of Columbus, the property was approaching the expiration of its affordability restrictions when a Sage affiliate acquired it in 2009.<\/p>\n
At the time, Koehler said, the building\u2019s location made it an attractive candidate for market-rate redevelopment. She believes the acquisition prevented the displacement of seniors who would have struggled to find comparable housing downtown.<\/p>\n
\u201cIt would have gone market rate and all of these seniors would have been displaced,\u201d she said. \u201cSome may have been homeless.\u201d<\/p>\n
But the Great Recession limited the financing available for improvements. Koehler said the company had to settle for a much smaller rehabilitation budget than it wanted.<\/p>\n
The latest transaction includes approximately $51.1 million in recorded acquisition consideration. The broader $103.4 million project financing package includes $27 million in bonds issued through the Housing Finance Authority of Pinellas County, federal housing tax-credit equity, private lending and city and state assistance.<\/p>\n
County commissioners approved the bond authorization in May. The bonds do not create a financial obligation for Pinellas County.<\/p>\n
Koehler said assembling the financing took years, with rising interest rates, construction costs and labor shortages complicating the effort.<\/p>\n
She was reluctant to scale back the work, particularly after spending nearly two decades managing the property and seeing what residents needed.<\/p>\n
\u201cI did not want to cut scope,\u201d she said. \u201cWe\u2019re just going to keep sticking with this till we figure this out.\u201d<\/p>\n
The building will also look different when the work is finished. Plans call for a white exterior, dark-framed windows and large Skye Isle signage. Koehler said the team wants to commission a mural by a local artist.<\/p>\n
Inside, residents will have a coffee bar, cybercafe and renovated common areas. Even the mailboxes are being moved into a more prominent space, reflecting Koehler\u2019s observation that checking the mail is an important part of many residents\u2019 daily routines.<\/p>\n
Koehler said the company looked at amenities in high-end apartment buildings for ideas, adapting them for older residents whose incomes would put those buildings far out of reach.<\/p>\n
For her, the financing is important because of what it will allow the property to become.<\/p>\n
\u201cWe wanted to basically transform the building for our seniors,\u201d Koehler said.<\/p>\n","protected":false},"excerpt":{"rendered":"A $103.4 million financing package has closed for the purchase and renovation of a downtown St. Petersburg apartment…\n","protected":false},"author":2,"featured_media":423652,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[202,204,203,199,201,200],"class_list":["post-423651","post","type-post","status-publish","format-standard","has-post-thumbnail","category-st-petersburg","tag-st-pete","tag-st-pete-headlines","tag-st-pete-news","tag-st-petersburg","tag-st-petersburg-headlines","tag-st-petersburg-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/posts\/423651","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/comments?post=423651"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/posts\/423651\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/media\/423652"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/media?parent=423651"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/categories?post=423651"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/tags?post=423651"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}