Brunswick, Maine, November 11, 2024—Twenty-four affordable homes in Orono have been preserved thanks to financing and an ownership transfer negotiated by the Genesis Community Loan Fund, the Housing Authority of the City of Old Town, and the U.S. Department of Agriculture. The outcome is a result of ongoing work across rural Maine to build partnerships and bring together resources to preserve and expand affordable housing.

The property, Main View Apartments at 95 Main Street in Orono, was constructed as a school in 1914 and converted into housing in 1988. It offers affordable housing to older residents.

Genesis has worked with the USDA for several years to assist with the transfer of privately owned affordable housing in Maine that tenants can rent affordably because their owners hold mortgages with the USDA Rural Development Section 515 program. But many of these properties, where there are more than 7,600 apartments, are at risk of leaving the program as owners age and mortgages mature. Leaving the program threatens the federal rental subsidy.

“Our success transferring these properties to nonprofit ownership keeps them affordable. Doing this reflects the commitment Genesis shares with other leaders across Maine who are working to protect affordable housing and ensure people’s long-term security in safe, affordable homes,” said Liza Fleming-Ives, Genesis executive director. “It’s essential to bring together resources and partners to preserve affordable housing, especially in rural communities where there are fewer rental housing options and where construction of new affordable housing has been limited.”

Genesis financing supported the housing authority’s purchase of the property and will make repairs and upgrades possible to improve the quality and accessibility of the homes for current and future residents.

The Maine Affordable Housing Tax Credit that Maine Governor Janet Mills signed into law in 2020 plays a pivotal role in enabling the transfer of USDA Rural Development properties to nonprofit ownership in Maine.

“This partnership will help older Mainers in Orono to comfortably and affordably stay in their homes, and ensure that these units remain affordable for Maine people for decades to come. It’s exactly the type of project that I had in mind when I signed the Maine Affordable Housing Tax Credit Program into law just four years ago,” said Governor Mills. “I applaud the Genesis Community Loan Fund, the Housing Authority of the City of Old Town, and the U.S. Department of Agriculture for making this important preservation project possible.”

The transaction in Orono demonstrates the ownership transfer model’s potential as a solution for preserving affordable rental housing in Maine.

“We are excited to bring this long-awaited project to fruition” said Laurie Miller, executive director of the Housing Authority of the City of Old Town. “Our goal has been to acquire this property, preserve its affordability, and address repairs and system upgrades. This marks our third acquisition of a USDA-subsidized property aimed at supporting residents who are at risk of losing affordable housing. With many nearby apartments being rented at significantly higher rates, maintaining affordability in this building is essential for the current tenants.”

Miller’s comments were reinforced by Lisa Tissari, a resident of 95 Main Street.

“I’m so relieved that the housing authority was able to purchase the property where I live,” Tissari said. “I had thought about the frightening possibility of unaffordable rent increases if ownership changed. I know from volunteering with organizations helping people who have been unhoused that that might have become our reality, and that was terrifying, especially since many of my elderly neighbors have health and mobility issues. Instead, this purchase has saved us from that fear and uncertainty, and it also creates a way for important delayed building repairs to be made.”

With this success, Genesis and its community partners continue to lead the way in addressing the looming crisis of federally subsidized affordable housing in rural areas.

About the Genesis Community Loan Fund
Genesis Community Loan Fund is a certified nonprofit Community Development Financial Institution (CDFI) dedicated to connecting communities in Maine and northern New England with the capital and expertise needed to overcome barriers to opportunity and prosperity. Genesis provides flexible loans, expert project guidance, and policy advocacy to create affordable housing, healthcare, childcare, and other essential community infrastructure. Learn more at www.genesisloanfund.org.

About the Housing Authority of the City of Old Town (HACOT)
The Housing Authority of the City of Old Town, founded in 1970, is dedicated to providing safe, affordable housing for low-income residents. Governed by a seven-member board, including two resident commissioners, the Authority manages 220 subsidized apartments, 8 market rate apartments, and 213 Housing Choice Vouchers. With a staff of 15, it also administers programs like Congregate Housing Services, Family Self-Sufficiency, a Homeownership Option for voucher holders, and a Comfortably Home program. Committed to keeping rents affordable and supporting self-sufficiency, the Authority continuously strives for excellence in housing services and seeks new opportunities to serve the community.

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