Boston Mayor Michelle Wu joined representatives from Lavi Investment LLC, First Citizens Bank and residents to announce that the City of Boston has acquired and preserved 16 income-restricted apartments at The Hillcrest located at 237 Cummins Highway in Roslindale last week.

The preservation of the Hillcrest, supported by the City’s Acquisition Opportunity Program (AOP) and the Boston Acquisition Fund (BAF), ensures that residents will remain in their community without being displaced. Mayor Wu also announced that First Citizens Bank announced that it is contributing $1 million to the Boston Acquisition Fund, a public-private loan fund designed to acquire affordable housing and protect residents from displacement. First Citizens Bank’s major contribution increases the fund from $13 million to $14 million. This announcement builds on Mayor Wu’s efforts to make Boston a home for everyone and the administration’s ongoing efforts to make Boston more affordable and keep residents and families in their homes across neighborhoods.

“As Boston continues to take every action to drive down housing costs, we are grateful for this collaboration,” said Mayor Michelle Wu. “Preserving the Hillcrest in Roslindale shows what’s possible when public and private partners work together to ensure our neighborhoods remain strong, stable and secure for residents. I’m grateful to Lavi Investment for taking ownership of the Hillcrest and to First Citizens Bank for contributing $1 million to our Acquisition Fund, which will bolster our efforts to make Boston a home for everyone.”

The Hillcrest had not changed ownership in over thirty years, and rent has remained well below market. When the property was listed for sale, rent was approximately 35 percent below the neighborhood average and had the potential for significant rent increases. Since entering the speculative market, the City and community partners have worked to take these homes off the speculative market and ensure the units are affordable for long-time residents.

“Whenever a building goes up for sale, longtime tenants can face real uncertainty about their future,” said Sheila A. Dillon, Chief of Housing. “By taking 237 Cummins Highway out of the speculative market, we are ensuring that the people who call this building home can remain in their community without fear of sudden rent increases or displacement.”

In order to take these apartments off the speculative market and secure long-term affordability, Lavi Investment, an organization dedicated to acquiring and stabilizing naturally occurring affordable housing, received an award from the City’s Acquisition Opportunity Program. The Massachusetts Housing Investment Corporation also provided a $3.8 million below-market senior loan through the Boston Acquisition Fund, and the Boston Housing Authority awarded an operating subsidy to ensure that tenants’ current below-market rents remain unchanged.

“I am extremely proud of this acquisition, as it ensures the preservation of affordable rents for the families currently residing in the building and for future families who need it most,” said Adler Bernadin, Founder of Lavi Investments.

"With the housing crisis continuing to challenge families across Boston, I am grateful that we are stepping up with real solutions that keep our neighbors housed,” said Boston City Councilor Enrique Pepén. “This preservation shows what is possible when the City and our partners work together with urgency and purpose.”

"Thank you to Mayor Wu and the City of Boston for making this important and much needed announcement in my District today,” said State Representative Rob Consalvo. “With this acquisition, the City is continuing to prioritize preserving and protecting affordable housing in Boston and will ensure that these neighborhood residents can stay in their homes now and for years to come.”

“With the increasing need for affordable housing across the commonwealth and nation, I am proud to live in and represent a city that is committed to meeting the needs of everyday people,” said State Senator Michael Rush.

Launched last year by Mayor Wu and the Mayor’s Office of Housing, the Boston Acquisition Fund (BAF) is an innovative public-private loan fund that addresses the City’s housing affordability crisis, an important part in making Boston a home for everyone. The fund’s primary goals are to stabilize housing for at-risk individuals and families, permanently remove naturally occurring affordable housing from the speculative market, and promote the growth of new, local, and diverse development teams. This fund will also strengthen the Acquisition Opportunity Program by offering sustainable financing through a revolving loan model. When developers identify buildings for sale, BAF will provide low-interest loans, complemented by City grants and lender financing, to support these acquisitions.

“First Citizens Bank is thrilled to support the Boston Acquisition Fund in its efforts to attain and preserve affordable housing units across the city,” said Fiona Hsu, Head of Community Development Finance for First Citizens. “Our contribution underscores our commitment to build lasting financial security and stability in the communities where we live and serve.”

The Acquisition Opportunity Program (AOP) helps protect Boston’s rental housing from market pressures while creating and preserving affordable homes. Through the program, the Mayor’s Office of Housing provides loans to responsible developers to acquire occupied multi-family buildings. AOP ensures tenants’ apartments remain affordable over time, funds developments with more income-restricted units, and helps fight displacement caused by rising rents and gentrification. The program also gives mission-driven developers a competitive edge in a fast-moving housing market by pre-qualifying them for funding, helping them secure properties that might otherwise be lost to private investors.