The Washington Business Journal, Monday, November 28, 2005
Affordable Housing Gets Even More Affordable

by Joe Coombs

Wesley Housing Development may have a new model for beefing up the region's affordable housing stock.

Make it all affordable.

The Alexandria-based developer has purchased the 216-unit Madison Ridge Apartments complex in Centreville for $34.5 million and will convert 118 of the units to condominiums. The remaining 98 units will remain as rental properties. The entire complex will be devoted to affordable housing for families who earn between 60 to 75 percent of Fairfax County's median household income of $88,133.

One-bedroom condominiums will start at $225,000 and two-bedroom units will start at $285,000. Renovations to the condos will include new carpeting, washers and dryers, and upgraded kitchens with new fixtures and appliances.

The work should be finished by the end of 2007, says Al Smuzynski, President and CEO of Wesley Housing. Wesley Housing will spend about $25,000 on each of the 118 condos for renovations.

"This really is the best of both worlds," says Smuzynski, of the combination owner/rental property. "We're looking at about a year's worth of renovations, but we'd like to get it done even quicker."

Wesley Housing officials say that 20 current residents of Madison Ridge have already expressed interest in buying their units. Wachovia was the project's largest financier and provided $26.5 million toward the purchase of Madison Ridge. Wesley Housing also borrowed $8.6 million from a pair of housing funds administered by Fairfax County.