–photo courtesy of Baltimore County Government-
Baltimore County Executive Johnny Olszewski, in partnership with MCB Real Estate and the Urban Investment Group within Goldman Sachs Asset Management, today announced the preservation of 460 housing units of attainable housing at three multi-family properties in Baltimore County in Nottingham, Parkville and Sparrows Point for up to 40 years.
The largest attainable housing deal in Baltimore County history, this fulfills a priority of County Executive Olszewski to ensure that people of all socio-economic backgrounds have access to a home.
“Attainable housing is a top priority for our administration, and we are proud of the ways in which we continue to develop and secure new ways for hardworking families to access quality housing options in every community across Baltimore County,” said Baltimore County Executive Johnny Olszewski.
“I am thankful for our partners at MCB Real Estate and the Goldman Sachs Urban Investment Group for their investment in our residents, and believe that this innovative, market-based approach to housing attainability – resulting in the largest attainable housing deal in Baltimore County’s history – will be a model for Baltimore County, the State, and our country to follow for years to come.”
Under the terms of the deal, MCB will preserve over half of the 918 total units in three multi-family communities in Nottingham, Parkville and Sparrows Point at affordable rates for up to 40 years, helping provide safe and modern units for working families while also protecting residents for decades.
MCB is a privately-held institutional investment management firm headquartered in Baltimore.
“MCB is proud to partner with Baltimore County and Goldman Sachs’ Urban Investment Group in this high-impact investment that will increase housing options for economically vulnerable families,” said P. David Bramble, Managing Partner of MCB. “This investment exemplifies MCB’s mission to spark greater investment in underserved areas to help these communities thrive.
MCB acquired the 258-unit Springs Townhomes in Parkville, the 459-unit BLVD at White Springs Apartments in Nottingham, and the 201-unit Beacon Pointe Apartments and Townhomes in Sparrows Point in July of 2022. Under the terms of the deal announced today, MCB will:
• Preserve 350 units, in a variety of bedroom sizes, at rates that are at 80 percent or below Area Median Income (AMI) for up to 40 years;
• Preserve 110 units, in a variety of bedroom sizes, at rates that are at 60 percent or below AMI for up to 40 years; and
• Undertake an extensive renovation plan intended to improve the quality of life for the residents while preserving affordability.
To support these efforts, MCB will initially receive a 20-year PILOT (Payment In Lieu Of Taxes) on all 918 units for annual real estate taxes and a deferred loan of approximately $6 million, with the possibility of an additional 20-year extension.
The loan will be executed through the County’s new Housing Opportunities Fund, which is designed to incentivize the ongoing development, rehabilitation, and preservation of affordable, accessible, and attainable housing across the county. The Fund includes federal dollars from the American Rescue Plan Act.
“Today’s announcement is an inspiring example of how local jurisdictions can innovate with the private sector to find creative ways to protect existing attainable housing and ensure that hundreds of County families will have a secure place to call home for a generation,” said Director of Housing and Community Development Terry Hickey.
This deal is also expected to rapidly accelerate Baltimore County’s progress in meeting attainable housing goals as it is approximately halfway to the target of 1,000 units by private developers by 2028. This agreement represents an 11 percent increase towards meeting that obligation.
This agreement is the latest effort from the Olszewski administration to improve access to quality housing in Baltimore County. Since taking office, the Olszewski Administration has:
• Secured passage of the HOME Act, ending housing discrimination by source of income — after years of unsuccessful attempts — and helped pave the way for similar statewide legislation in 2020;
• Created Department of Housing and Community Development to centralize Baltimore County’s housing efforts, eliminate overlapping functions, and streamline planning for key outcomes that are previously dispersed across multiple departments.
• Passed a package of foundational housing reforms proposed by the Olszewski administration to:
• Establish a dedicated and permanent Baltimore County Housing Opportunities Fund for reoccurring investment to support the ongoing development, rehabilitation, and preservation of affordable, accessible, and attainable housing;
• Create Baltimore County’s first-ever process to designate properties as “vacant,” serving as the foundation for future efforts to convert blighted and abandoned properties into housing, including homeownership opportunities;
• Update the County’s regulations to expand family-member use of accessory apartments (accessory dwelling units or “ADUs”) to increase opportunities to keep families together and allow older adults more opportunities to age in place; and
• Modernize new townhome construction to create additional housing opportunities aimed at residents who may be priced out of the current housing market; as well as a separate bill to
• Strengthen rental housing registration and inspections processes to improve housing quality in Baltimore County
The proposed terms of the loan agreements have been approved by the County Council and the PILOT terms will be submitted to the Council via Resolution in the coming months. MCB has already begun renovations on the properties.