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HOUSING DEVELOPMENT INCENTIVE PROGRAM
Application for Certified Housing Development Project and
Qualified Substantial Rehabilitation Expenditure
The Housing Development Incentive Program (HDIP) is designed to increase residential growth, expand diversity of housing stock, support economic development, and promote neighborhood
stabilization in designated Housing Development (HD) Zones in Gateway municipalities (Municipalities) by providing incentives to rehabilitate multi-unit properties for sale or lease
as market rate units. The program provides two incentives for developers: (1) a local option property tax exemption on all or part of the increased property value, the increment, resulting
from improvements, and (2) a state tax credit for Qualified Substantial Rehabilitation Expenses (QRSEs).
The Department of Housing and Community Development (DHCD) may (1) approve a locally negotiated Tax Increment Exemption Agreement between the Sponsor and Municipality under M.G.L. c.
59 section 5M of not less than 10% and not more than 100% of the increment on market rate units in a Certified Housing Development (HD) Project for no less than five years and no more
than 20 years, and (2) award to the Sponsor of the Certified HD Project a state Housing Development (HD) Tax Credit under M.G.L. chapter 62 section 6(q) and chapter 63 section 38BB,
not to exceed 10% of the cost of QSREs of the market rate units.
HD Tax Credits will only be awarded to Certified HD Projects with DHCD-approved HD Tax Increment Exemption Agreements. However, a Sponsor of a Certified HD Project may seek approval
for a local property Tax Increment Exemption Agreement without also applying for a HD Tax Credit.
QSREs for HD Tax Credits include hard and soft costs associated with the major redevelopment, repair and renovation of existing buildings and limited new construction (i.e., construction
of upper stories, expansion of the footprints of existing structures and demolition of a portion or all of an existing structure and redevelopment of the site). QSREs exclude property
acquisition and demolition, with the exception of interior demolition, and roof and wall demolition associated with adding additional stories to, or expanding the footprint of, the existing
building.
Please refer to the HDIP Guidelines for additional information on the HDIP and application requirements.
Application for Certified Housing Development Project and
Qualified Substantial Rehabilitation Expenditures
Following its approval of a HD Zone designation and HD Zone Plan, DHCD will accept applications for certification of housing development projects as HD Projects and for certification
of Qualified Substantial Rehabilitation Expenses (QSREs) pursuant to M.G.L. c. 40V and760 CMR 66.05. Only Certified HD Projects may participate in the HDIP and are eligible for the
local HD Tax Increment Exemption and HD Tax Credit.
Certification has three distinct stages - Preliminary Certification, Conditional Certification and Final Certification - and each stage requires submission of a separate application.
Applications for each stage must be submitted by the Sponsor. Applications are available on-line in word format (www.mass.gov; search key word HDIP). They must be supported by independent
and verifiable information and signed under the penalties of perjury by a person authorized to bind the Sponsor.
An application that provides all the information required under M.G.L. c. 40V and 760 CMR 66.05 will be considered complete. DHCD may request additional information to supplement an
incomplete application. DHCD may also request a meeting(s) with the Sponsor and Municipality at DHCD’s office or on-site in the Municipality to discuss a proposed housing development
project and application submission.
HOUSING DEVELOPMENT INCENTIVE PROGRAM
APPLICATION FOR PRELIMINARY CERTIFICATION: SITE AND BUILDING
1.PROJECT INFORMATION:
Name of HD Project: Residences at 83 Main St.
Address of HD Project:
City: Hyannis MA Zip: 02601
Has HD Zone and HD Zone Plan been submitted to DHCD? Yes
If yes, date submitted: 1/18/2018 Date Approved: 3/9/2018
Has Municipality entered into a HD Tax Increment Exemption Agreement with the Sponsor?
If yes, attach Agreement; otherwise attach vote of Municipality approving the Housing Development Tax Increment Exemption (HDTIE).Not as of this time.63 Main Street?
Attach a request from the municipal CEO to certify your project as a Housing Development Incentive Program (HDIP) project.2. MAPS OF GIS QUALITY OR OTHER TO-SCALE MAPS OF THE FOLLOWING:
Location of HD ZoneHyannisIdentification of locus of building83 Main St. Hyannis Site plan showing lot lines, building footprint and general dimensionsMap identifying location of current
and proposed public construction in support of HD ProjectDESCRIPTION OF THE PROJECT: Narrative description of the current and proposed publicconstruction that will support the proposed
HDIPproject; including evidence of the need for the Substantial Rehabilitation. Provide interior and exterior photographs of the buildings.
The current site is a former office building consisting of mostly 2 story space with a walk-up attic and some single-level space. The property is being converted into 8 one bedroom
and 10 two-bedroomapartments. The current space will be selectivelydemolished and remodeled with an additional free standing four duplexes to the rear of the property
The units will be all electric separately meters.There is a paved parking area and bicycle rack provided. Water and trash pickup will be provided.
4. REHABILITATION PROJECT DATA
Date Building Constructed: 1941
Type & Condition of Structure: Wood Frame Good Condition
Evidence of Site Control: Survey – Site Plan
Estimated Cost of Substantial Rehabilitation: $3,000,000
Project Start Date (Est.): November 10, 2025
Proposed Uses(s): Rental Residential SF: 4,484
Floor Area before Rehabilitation:4484
Floor Area after Rehabilitation: 4,432
Total Number of Housing Units before Rehabilitation:1BR_0__ 2BR __0__ 3BR_0__ 4BR 0____
Total Number of Housing Units after Rehabilitation: 1BR-82BR-10
Total Number of Market Rate Units: 1BR-62BR- 10
Total Number of Market Rate Units for Rent: 1BR102BR
Total Number of Market Rate Units for Sale: 1BR02BR03BR 04BR 0
Project Start Date and Completion Date (Est.):start-11/2025. Completion - 07/2026
5.TERMS OF TAX INCENTIVES (If known at time of Preliminary Application)
HD Tax Increment Exemption Agreement:100% years 1-5 85% Years 6-15 60% Years 16-20%
HD Incentive Tax Credit (Requested) Amount $TBD Duration20 Years
6.APPLICANTS (signed under pain and penalties of perjury)
Name: Seashore Homes, Inc,
Address:P.O.Box 462
Dennis, MA 02638
Email:deb@seashorehomescapecod.com and dennis@seashorehomescapecod.com
Phone: (508)776-0872 and (774)487-8086
Signature: __________________________________Date: ____________________________
Name:Deborah A. Mason ___________________________________________________________________
Title:President_____________________________________________________________________
HOUSING DEVELOPMENT INCENTIVE PROGRAM
PRELIMINARY CERTIFICATION: SITE AND BUILDING
The Department of Housing and Community Development (DHCD) has reviewed your Application for Preliminary Certification for Site and Building of Housing Development under the Housing
Development Incentive Program (HDIP) and determined that the building(s) meet the definition of Certified Housing Development Project under M.G.L. c. 40V section 4(a)(i) – (iv) and (vi)
either in its present state or upon Substantial Rehabilitation. DHCD makes the following findings:
The proposed HD Project is located in a designated Housing Development Zone characterized by a need for multi-unit market rate housing development;
The proposed HD Project contains two or more housing units for sale or lease upon completion of the proposed rehabilitation;
The proposed HD Project contains no more than 16 market rate housing units;
The project HD Project contains at least 80% market rate housing units;
The project HD Project is a Substantial Rehabilitation of an existing property, as defined in the HDIP Guidelines;
Municipality has voted to grant a tax exemption;
CEO of the municipality has submitted a request that the project be approved by DHCD;
Signature __________________________________________ Date____________________
Name _Deborah A. Mason________________________________________________
Title __President Seashore Homes, Inc.________________________________________________
DHCD Contact Information:
Name: __________________________________________________________________________
E-Mail: ___________________________________________________________________________
Phone: ___________________________________________________________________________
HOUSING DEVELOPMENT INCENTIVE PROGRAM APPLICATION FOR CONDITIONAL CERTIFICATION REHABILITATION PLAN
1.PROJECT INFORMATION:
Name of HD Project: Residences at 83 Main St.
Address of HD Project:83 Main St.
City: Hyannis Zip: 02601 HD Zone Location: HD Zone
Date HD Zone and Zone Plan approved by DHCD: 1/18/2018
Attach HD Tax Increment Exemption Agreement executed between Municipality and Sponsor
Term of HD project Certification:TBD
2. PROJECT SUMMARY: Include updated attachment of Pre-application if information has changed. Demonstrate need and demand for multi-family market rate housing with a market study prepared
by a qualified professional acceptable to DHCD. Describe how pricing for market rate unit was calculated.
See attached appraisal
3. PROJECT DESCRIPTION: Updated
Development Plan: Remodel existing building into (8) 1bedroom units and (10) 2 bedroom
Construction Plans and Specifications (please attach)
Existing Use(s): OfficeResidential S. F.: 4484 Retail S.F.:0
Proposed Uses(s): Residential S. F.:4,432
Floor Area before Rehab:4484
Floor Area after Rehab: 4,432
Total Number of Units before Rehab: 1BR 02BR0 3BR04BR 0
Total Number of Units after Rehab: : 1BR82BR 2 3BR 04BR 0
Total Number of Market Rate Units for Sale/Rent: :1BR82BR 103BR 04BR 0
Zoning: MS
Site Control (attach details):
Environmental Information – attach
Relocation Plan, if necessary – attach
Amenities and services: N/A
Affirmative Fair Housing Marketing Plan – attach
Construction Costs Estimates prepared by qualified third party – attach
Residential Marketing & Management Strategies – attach
Identification of all funding sources committed: Seashore Homes, Inc.,
4.MUNICIPAL INCENTIVES:
HD-TIE Agreement Terms: TBD
HD Incentive Tax Credit Terms: TBD
5. DEVELOPMENT TEAM:
Owner Seashore Homes, Inc.
Developer Seashore Homes, Inc.
General Partner N/A
Development Consultant N/A
ArchitectStreibert Associates
Contractor Seashore Homes, Inc.
Construction Manager Dennis Mason
Management Agent Deborah Mason
Attorneys (real estate & tax) Bernard Kilroy
Syndicator – attach commitment letter N/A
Guarantor Seashore Homes, Inc.
Service Provider N/A
Otherrole N/A
Others N/ADEVELOPER EXPERIENCE AND CAPACITY: Describe relevant background and/or experience that demonstrate the capacity of the development team to successfully carry out the proposed
project.
Seashore Homes, Inc. under the construction management of Dennis Mason completed
235 Barnstable Road, Hyannis, MA 02601 14 (!-2) bedroom units
50 Yarmouth Road, Hyannis, MA 02601 8 (!) bedroom units and 4 (2) bedroom 1.5 bath townhouse style units
63 Main Street, Hyannis, MA 02601 8 (!) bedroom units and office space
39 Pearl St., Hyannis MA - 5 duplex units for a total of ten 2 bedroom 1.5 bath townhouse style units completed 2022
17 High School Rd., Hyannis MA – 4 duplex units for a total of 8 -2 bedroom 1.5 bath townhouse style units completed in 2021.
185 Ridgewood, Hyannis MA - 2 fourplex units for a total of 8 -2 bedroom 1.5 bath townhouse style units completed in 2019.STRATEGIC IMPORTANCE: Describe how the proposed project will
contribute to the revitalization/redevelopment of the HD Zone, i.e. contribute to a change in the market dynamics, economic status, and physical appearance of the neighborhood.
The project will offer much needed market rate housing in the downtown Hyannis area. The location is within close proximity to Cape Cod Hospital, the Hyannis waterfront, retail and
dining. The building is maintaining its present appearance with no change to the color, trim and windows keeping in character to the Hyannis Waterfront Historic District. As well,
with the downtown Hyannis location and all electric utilities it will create a low carbon footprint.
6. DESIGN: Describe how the project design addresses its neighborhood context. Attach copies of site plan, floor plans, elevations, and/or specifications that will clearly indicate
the scope of work to be undertaken and the types of materials to be used. Describe environmental and energy efficient design..
The project design is established by the existing building.
The building will be all electric equipped with high efficiency units for the plumbing fixtures and HVAC
And will be energy efficient.
7. PROJECT SCHEDULE: (Milestones) Attach project timeline.
Application Date:07/01/2025
Construction Loan Closing:11/07/2025
Construction Start:11//2025
50% Construction completion:02/01/2026
Construction Completion:07/30/2026
First Certificate of Occupancy:
Last Certificate of Occupancy:
Permanent Loan closing:
Other tasks:
8. SITE CONTROL: Verify form of site control, i.e., P & S, option agreement, deed, lease, etc.
P&S
9. PROJECT FINANCING:
A. Number of Units/Commercial Square Feet
Project Cost
Cost/Unit
Cost/Sq. Ft.
Sources:
Amount:Developer Equity
$1,000,000HD Tax Credit Equity
TBDOther Tax Credit Equity (describe)
TBD1st Mortgage
$3,000,000Syndication Bridge Loan
N/AConstruction Loan
$3,000,000Permanent Loan
$3,000,000Sale of Units
N/AOther
N/A
Total Sources:
Uses:Acquisition
$1,000,000Direct Construction Budget
$3,000,000General Development Costs
In construction budgetDeveloper Overhead & Fee
N/AReserves
TBDOther
N/A
Total Uses
Total Development Cost
$4,000,000
* Provide documentation of all funding commitments.
C. Projected Rents/Sales:
Rental Units:
# of Units:
Square Feet:
Projected Monthly Rents 1 Bedroom
8
544
$18002 Bedrooms
10
816
$23003 Bedrooms
$4 or more Bedrooms
$Commercial Space
For Sale Units:
Projected Prices1 Bedroom
$2 Bedroom
$3 Bedroom
$4 Bedroom
$
Commercial Space
D. Detailed Development Pro-forma and Operating Pro-forma. Applicants may use their
own format or use the Commonwealth’s One Stop Application Section 1-4 and submit it with the application. The One Stop application is available at www.onestopapp.com.
*Applicants must demonstrate that the proposed project is financially feasible. Applicants must submit verifiable documentation of financing commitments from construction and permanent
lenders, as well as from tax credit syndicators or investors.
Price of HDIP Tax Credit: DHCD anticipates making HDIP credit reservations to project capable of securing a net raise greater than $0.84 on the dollar. Sponsors seeking HDIP credits
for their project should contact Rebecca Frawley Wachtel, HOME Director, 617-573-1185 or Rebecca.Frawley@state.ma.us.
HDIP Program will allow a maximum developer fee and overhead equal to 5% of acquisition plus: 1. 15% of the first $3,000,000 in total development costs less acquisition, developer fees
and overhead, consultant fees, syndication fees, and reserves; 2. 12.5% of the next $2,000,000 of rehabilitation costs; and 3. 10% of the remaining rehabilitation costs.
The Debt Service Coverage/Cash Flow must be acceptable by current industry standards and acceptable to DHCD.
Checklist for Exhibits to Conditional Certification Application
One Stop Application Sections 1-4
Exhibit 1:Site InformationHD Zone site mapHD Project site mapPhotographs of the siteDirections to the site
Exhibit 2: Environmental InformationChapter 21E AssessmentLead paint/asbestos inspection/abatementSustainable Development Principles
Exhibit 3: Evidence of Zoning
Exhibit 4: Evidence of Site Control
Exhibit 5: Evidence of Local Support
A request signed by the Municipality’s chief elected officer that the proposed HD Project be certified by DHCD.
A formal written determination by the Municipality that the proposed HD Project:
Is consistent with and can reasonably be expected to benefit significantly from the Municipality’s plans relative to the HD Tax Increment Exemption;
Together with other projects previously certified and located in the same HD Zone, shall not overburden the Municipality’s supporting resources; and
Together with the municipal resources committed to the HD Project, shall, if certified, have a reasonable chance of increasing residential growth, increasing diversity of housing supply,
supporting economic development, and promoting stabilization in the HD Zone, as advanced in the HD Zone Plan.
Exhibit 6: Market Study
Exhibit 7: Marketing Plan
Exhibit 8: Affirmative Fair Housing Marketing Plan
Exhibit 9: Construction Plans and Specifications
Exhibit 10: Relocation Plan, if applicable
Exhibit 11: Energy/Green Improvements
Exhibit 12: Accessibility Compliance
Exhibit 13: Soil Report/Structural report
Exhibit 14: Construction Financing
Exhibit 15: Permanent Financing
Exhibit 16: Equity Financing Commitments
Exhibit 17: Other Funding Commitments
Exhibit 18: Developer Profile
Exhibit 19: Architect’s Resume
Exhibit 20: General Contractor’s Profile
Exhibit 21: Management Agent Profile
Exhibit 22: Applicant(s) Personal Financial Statement
Exhibit 23: General Contractor’s Financial Capacity
Exhibit 24: Executed Tax Increment Exemption Agreement with Municipality
HOUSING DEVELOPMENT INCENTIVE PROGRAM
CONDITIONAL APPROVAL
OF
HOUSING DEVELOPMENT PROJECT
&
QUALIFIED SUBSTANTIAL REHABILITATION EXPENDITURES
DHCD has reviewed the conditional application for the __________________________________
Housing Development Project and has determined that if the project is completed as proposed it
will meet the standards for a Certified Housing Development Project and the Qualified Substantial Expenditures. Therefore, DHCD is granting __________________________________________
a
conditional approval of:
□ The executed Housing Development Tax Increment Exemption Agreement;
□ The Certificate of Eligibility for a Housing Development Tax Credit to the Sponsor in
the amount of:
$___________________ for Year 1
$___________________for Year 2
$___________________ for Year 3
$___________________for Year 4
$___________________ for Year 5
At this time, the first year in which the credit will be used is expected to be______________.
Signature: ___________________________________________________________________
Name & Title: ________________________________________________________________
Date: _______________________________________________________________________
Additional Contact Information:
Name: ____________________________________________________________________
Email _____________________________________________________________________
Phone: _____________________________________________________________________.
HOUSING DEVELOPMENT INCENTIVE PROGRAM
HOUSING DEVELOPMENT PROJECT ANDQUALIFIED SUBSTANTIAL REHABILITATION EXPENSES
REQUEST FOR FINAL CERTIFICATION
Project Name: _Residences at 83 Main St.
Property Address: _83 Main St. Hyannis MA
Owners Name: Seashore Homes, Inc.
Street: 10 Embassy Lane
City: Yarmouthport MA 02675
If owner is a limited partnership or Limited Liability Corporation (LLC), provide the name of the entity and the name of the person who signs on behalf of the General Partner (GP) of
the limited partnership or the managing member of the LLC:
__________________________________________________________________________
Date upon which the building was placed into service (all Certificates of Occupancy Issued):
__________________________________________________________________________Submit:Evidence that at least 80% of the market rate residential units have been leased or sold.Cost Certification
of the HDIP Project prepared by a Certified Public Accountant in a form required by the Department, including certification of the amount of the Qualified Substantial Rehabilitation
Expenses (QSREs).
Representative photographs of the completed work ,both exterior and interior views;
A certification by the Sponsor that the rehabilitation work has been completed substantially in accordance with the construction plans and specifications that DHCD reviewed in approving
the Application for Conditional Certification;
Certificates of occupancy for the entire housing development project;
Spreadsheet comparing the sale or rental price projected in the conditional application and the actual sale price/rent.
Evidence that units were marketed in a way consistent with sponsor’s representations in the application for Conditional Certification and the Affirmative Fair Housing Marketing Plan
approved by DHCD.
Certificate by Municipality regarding the HD Project’s assistance in achieving the Municipality’s HD Zone Plan goals.
HOUSING DEVELOPMENT INCENTIVE PROGRAM
CERTIFICATE OF COMPLETED WORK
FOR
HOUSING DEVELOPMENT PROJECT
&
QUALIFIED SUBSTANTIAL REHABILITATION EXPENDITURES
DHCD has reviewed your request for Certificate of Completed Work and has determined that
the project is completed and meets the standards required for the HDIP Certified project.
The ___________________________________________ is a Certified Housing Development
Project for _______________years with approved Qualified Substantial Rehabilitation Expenditures
in the amount of $_______________________________________________________________.
The owner may utilize both following incentive(s) under HDIP:
The HD Tax Increment Exemption Agreement executed by the owner and the municipalityis approved by DHCD at an annual rate of _________________ for _______________years.
The HD project is eligible for Housing Development Tax Credits at $____________________per year and for______years, beginning January 1, 20_____.
Signature: _______________________________________________Date________________
Name & Title: _______________________________________________________________