A Spring Valley, New York-based firm that owns and manages Section 8 properties in 19 states across the country has purchased the Alexander-Harvey Homes complex in north Baton Rouge for $9.55 million.
“The big thing is that we have renewed the contract with (the U.S. Department of Housing and Urban Development) as part of the transition for another 20 years,” says Sam Horowitz, a partner with Capital Realty Group, Alexander-Harvey Homes’ new owner. “So this property will remain a good source of affordable housing in the community for at least another 20 years.”
Alexander-Harvey Homes is located at 5222 Hollywood St., just east of the intersection of North Foster Drive. The property contains 200 one-bedroom apartments spread across 50 buildings, and it’s located on nearly 28 acres of land.
“We are planning some upgrades over the coming years,” says Horowitz. “We’re assessing the buildings’ needs, and we’ll be spending some money on upgrades in the near future.”
Capital Realty Group owns and manages about 7,000 Section 8 units across the country, Horowitz says. Among its holdings are developments in Lake Charles and Lafayette, but this is the company’s first acquisition in the Capital Region. Horowitz says Alexander-Harvey Homes, which is fully occupied and is geared toward elderly and disabled tenants, was an attractive purchase because it falls into the company’s speciality.
“The opportunity just came up, and we’re very excited to own and manage it,” he says.
Section 8 properties offer rental assistance to qualifying tenants through a HUD voucher system, by which the federal government pays a share or all of the monthly rent directly to the property owner.
According to sales document filed with the East Baton Rouge Parish Clerk of Court, the seller was Development Corp.-Baton Rouge-SCLC Inc., a not-for-profit corporation whose president is civil rights activist and minister Joseph E. Lowery. The corporation is affiliated with the Southern Christian Leadership Conference civil rights organization, which is based in Atlanta and was formed in 1957 by Lowery, Dr. Martin Luther King Jr., Ralph David Abernathy and others.
—Steve Sanoski
