MassDevelopment has issued $45 million in tax-exempt bonds on behalf of BC Leefort Terrace LLC, an affiliate of Beacon Communities, which will use proceeds to redevelop the circa-1958 Leefort Terrace housing development in Salem, MA.
The tax-exempt bonds were purchased by Citizens and Eastern Bank. The Commonwealth of Massachusetts also approved Low-Income Housing Tax Credits providing approximately $29.2 million in equity.
Leefort Terrace was built with 50 garden-style one-bedroom units across eight buildings. The redevelopment will contain 124 units of affordable rental housing, ranging from one to three bedrooms.
“Gateway cities like Salem are made stronger and more vibrant when we invest in quality affordable housing such as this,” said MassDevelopment deputy director and senior EVP Marcos Marrero.
Construction began in June and is expected to be completed May 2026. Current Leefort Terrace residents will temporarily relocate off-site during construction and will have the right to return to the redeveloped facility.