Associated Bank completed a $13 million construction/bridge loan and a tax-exempt bond loan of more than $41.6 million for development of Rise Madison, a Madison, Wisconsin affordable-housing project of the Wisconsin Housing Preservation Corp.
This 4% Low-Income Housing Tax Credit project will provide affordable housing for senior and family rentters. Associated Bank acted as lead bank and administrative agent in a unique financing collaboration.
The senior financing structure will take the form of tax-exempt bonds issued by WHEDA and held by both Associated and Johnson Financial Group, the state’s largest privately held family-owned bank.
The four-building project is located at 942-952, 957, 958 and 963 Rise Lane in Madison near the intersection of East Washington Avenue and North Fair Oaks Avenue. Units will be offered to tenants with income levels at or below 80% of the Dane County median income with restricted rent levels as tax credit units.
Two five-story elevator-equipped buildings will be marketed for families. A third three-story elevator building will have a total of 46 one- and two-bedroom units designed for senior living. The fourth building will consist of 12 two-story three-bedroom townhomes.
Older buildings on the site have been demolished and phased construction is underway. The first building will be completed in the first quarter of 2025 and the last in the third quarter of 2025.
Bryan Schreiter, a senior vice president with Associated Bank’s Commercial Real Estate Division, and Steve Sosnowski, Johnson Financial Group senior vice president, handled the loan arrangements and closing.
