Ohio company upgrading, renaming Eureka Gardens and three more projects.
Millennia Housing Development Ltd. applied to rehabilitate three additional low-income apartment complexes it manages in Jacksonville in addition to Eureka Gardens.
“We are still under contract to acquire them,” said Jeff Crossman, public affairs manager for Ohio-based The Millennia Companies.
“If all goes as planned, we hope to close by the end of June. Construction would start soon thereafter,” he said.
Crossman said he is not authorized to release the acquisition price.
City Council adopted a resolution in October that shows a $52.7 million acquisition price and a total development cost of $125.5 million for the four properties.
The resolution authorizes the Jacksonville Housing Finance Authority to issue up to $90 million in multifamily housing revenue bonds on behalf of the “Millennia Jacksonville Project.”
Crossman said the renovations will total about $40 million, or about $50,000 per unit. They total almost 770 apartments.
“When we acquire projects and we rehabilitate them, it is emblematic of the direction of the property,” he said.
Crossman said the company “rebadges” the property and undertakes significant renovation.
“They are new projects when we are done with them,” he said.
The U.S. Department of Housing and Urban Development approved Millennia to take over active site management of Global Ministries Inc.’s properties in Jacksonville.
Council research says the bonds will allow Millennia Jacksonville FL TC LP, created for the project, to buy and renovate the properties for rent to low-, moderate- and middle-income renters.
Proceeds from the sale of the bonds will be loaned to Millennia to finance the costs.
Millennia submitted building permit applications to renovate and rename:
• Eureka Gardens to Valencia Way at 1214 Labelle St. Upon completion, the complex will comprise about 400 one-, two- and three-bedroom units.
• Washington Heights to Calloway Cove Apartments at 4229 Moncrief Road W. It comprises 200 two- and three-bedroom units.
• Moncrief Village to The Weldon Apartments at 1650 Moncrief Village E. It is 94 one- and two-bedroom units.
• Southside Apartments to Palmetto Glen at 2301 Westmont St. The property comprises 74 two-bedroom units.
The Moncrief apartments are in Northwest Jacksonville; Eureka Gardens is in West Jacksonville; and the Southside Apartments are in South Jacksonville.
Building-permit applications list the owner as GMF Jacksonville Pool LLC, based in Cordova, Tennessee, while plans identify the owner as Millennia Housing Development Ltd. of Cleveland, Ohio.
NEI General Contracting Inc. of Ocoee is the contractor for all four.
Crossman said the rehabilitation, depending on the properties, can include new kitchens and bathrooms and “a lot of capital investment work.”
Some properties might get a new roof.
“All of the capital needs will get addressed as well as the interior units,” he said.
“Physically, the property is refreshed and restored and in conjunction with that, we are looking to change the culture of the properties for the better,” Crossman said.
The four complexes currently are owned by Global Ministries Foundation and are being managed by Millennia Housing Management Ltd. for GMF.
Daily Record news partner WJXT TV-4 reported in February 2017 that Global Ministries Foundation was under scrutiny since its reporting team exposed deplorable living conditions at the apartments that led to a city code enforcement raid that found crumbling staircases, gas leaks, mold and other problems.
As reported, the U.S. Department of Housing and Urban Development had the property reinspected and the conditions led to visits to the property by U.S. Sen. Marco Rubio and a meeting in Washington between city leaders and HUD officials.
WJXT TV-4 reported the troubled Eureka Gardens apartment complex and other subsidized housing properties were put under new management by Millennia.
Millennia Companies, founded in 1995, specializes in the acquisition, rehabilitation and management of affordable and market-rate properties.
“With Eureka Gardens, there has been a lot of activity in the news,” Crossman said.
“We want to see the positive stories of these properties. We want to see the stories of the families that live there and receive benefits and services that enhance their lives rather than talk about criminal activity,” he said.
Millennia has been overseeing the complexes since December 2016, according to the Jacksonville Housing Finance Authority. WJCT reported that bonds should be issued this spring to finance the rehabilitation.
Authority Finance Director Laura Stagner said the bonds are scheduled for the June 18 board meeting.
Once approved, the bonds would close soon after.
Millennia also manages and intends to buy Springfield Residential One and the Market Street apartments from GMF.
Those acquisitions are not part of the housing authority bonds.
Crossman said there are no immediate plans to renovate those properties but Millennia will look at that later.
Springfield Residential One, also known as Springfield Apartments, is a HUD-funded property with 51 one-, two- and three-bedroom apartments at 1407 Jefferson St.
Market Street Apartments comprise 17 studio, one- and three-bedroom units at 1205 N. Market St.