The Blytheville Housing Authority board will soon start looking into obtaining a loan that would allow the housing organization to make some major improvements on all of its properties.
The board approved a resolution Tuesday giving Executive Director Sue Alexander the green light to look into the feasibility of taking out a loan through the capital fund financing program, in cooperation with Housing and Urban Development.
According to Alexander, HUD agent David Farmer strongly suggested looking into obtaining the loan that would allow the organization to upgrade its units and other facilities. According to early estimates, the BHA could be eligible for roughly a $1,448,000 loan, which would be paid back over the next 17 years with an indicated interest rate at 4.17 percent. Alexander told the board this figure was based on the $364,000 in capital funds received last year.
All closing costs and other necessary expenses would come out of the loan upfront, leaving the BHA with an estimated $1,283,000 to spend on renovations. Alexander said in terms of paying back the loan, 25-33 percent of the yearly capital funds will be obligated to pay on the loan over the next 17 years.
The board also discussed the current construction project being done at the Clear Lake Apartments. Renovations are well under way, with the contractors being nearly finished with all of the empty apartments. Workers will soon be starting on the complex's occupied units. Residents are also being given the option of moving into an already completed unit, though Alexander said many are choosing to stay where they now live.
A timeline for completion for the entire project was not discussed, but contractors are making good time according to board members.
cpinkard@blythevillecourier.com