Dublin will loan $800,000 to National Church Residences for a senior housing development that will be built on the city's south side.

Dublin will loan $800,000 to National Church Residences for a senior housing development that will be built on the city's south side.

Dublin City Council on May 23 approved an $800,000 loan for the construction of Avondale Woods, a 100-unit senior housing development. The loan, which carried a 3-percent interest rate, was awarded, along with funding assistance from two other federal and state agencies.

The Ohio Housing Finance Agency last week approved $2.25 million in low-interest financing for the development that will bring affordable housing for Dublin seniors.

The development received $750,000 from the Housing Development Assistance Program and a $1.5 million Housing Development Loan.

The Ohio Housing Finance Agency is a quasi-public agency that uses federal and state resources to provide affordable housing, according to information from OHFA.

Avondale Woods is expected to cost $11.3 million, and construction should start in the summer. Per the loan agreement with the city, the senior housing must be completed within 18 months.

According to a letter from NCR, some units will be reserved for residents ages 62 and older, and others will be for people ages 55 and older.

"There are 19 market-rate (unrestricted) units and one employee unit," the letter states. "Of the 80 tax-credit units, seven are restricted to residents making no more than 35 percent of the area median income, 40 units restricted at 50 percent (of the area median income) and 33 units restricted to residents making no more than 60 percent of the (area median income). The 19 market units are restricted to seniors 55 and over but have no income or rent restriction."

The development will include apartments for low- to median-income seniors, cottage-style buildings, a community center and adult day care.

According to the letter, monthly rent for the one- and two-bedroom apartments would range from $667 to $925.

The development has received strong support from council members, who have said affordable senior housing is lacking in Dublin.

"This is the only low-income or senior housing in our community," council member John Reiner has said. "We need this."

A groundbreaking ceremony for the development tentatively is scheduled for June 17.

"With regard to timeline, we expect to begin construction next month and be 100-percent complete by the end of 2012," the letter stated. "The first cottage units should be available for occupancy next summer. I would expect we would start advertising and taking early applications for those units next April or May."

NCR is an Upper Arlington-based nonprofit group that "is the nation's largest not-for-profit developer and manager of affordable senior housing and services," according to its website.