Groundbreaking for city's newest affordable housing complex set for Wednesday

A rendering of what The Rapids on Cocheco will look like when completed (Courtesy image/Elm Grove)

ROCHESTER - Construction is under way for a 52-unit affordable housing complex on Wadleigh Road in Rochester.

The Rapids on Cocheco is being built by Elm Grove Companies on a parcel behind the Anchorage Inn.

The rents will be governed by an income-averaging program under the federal Low-Income Housing Tax Credit rules. These units will provide homes to families earning between 20 percent and 80 percent of the area median income.

The federal program is a crucial public-private financing tool, encouraging developers and investors to create affordable multi-family housing for low- and moderate-income families, according to a statement from the City of Rochester.

The program uses tax credits to draw private equity investment. The Rapids on Cocheco is financed through the allocation of LIHTC by New Hampshire Housing, with credits purchased by TD Bank through Redstone Equity Partners, and tax-exempt bonds issued by NH Housing. Additional capital subsidies and risk share enhancements to the tax-exempt bonds were provided by NH Housing and the Department of Housing and Urban Development.

"The market has continued to create a desperate need for affordable housing solutions for New Hampshire's workforce," said Matt Menning, principal and head of operations at Elm Grove Companies. "This is our ninth project in the space, and we are proud to be leading the industry in creating new housing opportunities for our local communities. The teams at Redstone Equity Partners, TD Bank, and NH Housing have been true partners in bringing this project to life."

The project will be energy efficient, built to Energy Star standards, and incorporating Passive House concepts, including rooftop solar arrays. Amenities will include a playground, patio, dog park, picnic area, controlled access, community room, laundry facilities, and wireless internet service.

With a total projected cost exceeding $20 million, the development covers construction, land, financing, and other costs. The project team includes lead architect Burnell Johnson Architects, general contractor Milestone Construction, and legal representation from Ken Viscarello's Affordable Housing Group at Sheehan Phinney.

A groundbreaking ceremony is set for 10 a.m. on Wedneday.