ROCHESTER ECONOMIC DEVELOPMENT

Elm Grove Companies Breaks Ground on $20M Workforce Housing Project in Rochester

Oct 4, 2024

New Hampshire real estate development firm Elm Grove Companies has officially broken ground on The Rapids on Cocheco, a 52-unit workforce housing community located at 29 Wadleigh Rd. in Rochester, NH. This marks the company’s ninth venture into affordable housing, adding to its portfolio of 430 apartments (both completed and under construction) across the state.

Utilizing a relatively new income-averaging program under the federal Low-Income Housing Tax Credit (LIHTC) rules, these units will provide homes to families earning between 20% and 80% of the Area Median Income (AMI).

The federal LIHTC program is a crucial public-private financing tool, encouraging developers and investors to create affordable multi-family housing for low- and moderate-income families. It uses tax credits to leverage private equity investment. The Rapids on Cocheco is financed through the allocation of LIHTC by New Hampshire Housing, with credits purchased by TD Bank through Redstone Equity Partners, and tax-exempt bonds issued by NH Housing. Additional capital subsidies and risk share enhancements to the tax-exempt bonds were provided by NH Housing and the Department of Housing and Urban Development.

“The market has continued to create a desperate need for affordable housing solutions for New Hampshire’s workforce,” said Matt Menning, Principal and Head of Operations at Elm Grove Companies. “This is our ninth project in the space, and we are proud to be leading the industry in creating new housing opportunities for our local communities. The teams at Redstone Equity Partners, TD Bank, and NH Housing have been true partners in bringing this project to life.”

The project will be energy efficient, built to Energy Star standards, and incorporating Passive House concepts, including rooftop solar arrays. Amenities will include a playground, patio, dog park, picnic area, controlled access, community room, laundry facilities, and wireless internet service.

With a total projected cost exceeding $20 million, the development covers construction, land, financing, and other soft costs. The project team includes lead architect Burnell Johnson Architects, general contractor Milestone Construction, and legal representation from Ken Viscarello’s Affordable Housing Group at Sheehan Phinney.


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