Next Phase of D.C.’s Barry Farm Redevelopment Lands $99M Financing Package

The latest multifamily project at Washington, D.C.’s 34-acre Barry Farm redevelopment has landed a construction financing package just in time for Christmas.

The D.C. Housing Authority, and development partner Preservation for Affordable Housing (POAH), secured $98.5 million toward the first phase of Hillsdale Flats, a 90-unit, fully affordable apartment complex at the Barry Farm-Hillsdale community in Southeast D.C. The D.C. Housing Finance Agency (DCHFA) issued tax-exempt bonds and underwrote Low Income Housing Tax Credit (LIHTC) equity to fund the construction.

The Office of the Deputy Mayor for Planning and Economic Development also provided non-controlling interest loans for the pre-development and infrastructure costs, alongside financing support from J.P. Morgan Chase and Fannie Mae and equity investments from the National Equity Fund. 

“With the Hillsdale Flats, we are continuing to deliver safe, beautiful and affordable housing that the community deserves and that our Barry Farm families have asked for,” D.C. Mayor Muriel Bowser said in a statement. “I made a promise to [former D.C. Mayor Marion Barry] that we would use our city’s resources to do more for Ward 8 than any prior mayor was able to do — and I’m proud that, together, we’re keeping that promise and we’re certainly keeping it at Barry Farm-Hillsdale.”

Barry Farm is a historically Black neighborhood in Southeast D.C., founded in 1867 in the aftermath of the Civil War to provide formerly enslaved Black Americans with opportunities to own land. Yet the community had fallen into disrepair by the 21st century, and its redevelopment kicked off in 2022 after years of planning and delays. 

The first phase of Hillsdale Flats — expected to begin construction in January — will include nine three-story buildings restricted to households earning up to 80 percent of the area median income. Forty-two of the units are also earmarked for former Barry Farm residents previously displaced to make way for the area’s redevelopment. The entirety of Barry Farm is planned to include at least 900 affordable rental and for-sale housing units, including 380 units that will replace previous housing, plus commercial space. 

“This phase is pivotal to delivering family-sized homes that truly meet the needs of households in our community,” Maia Shanklin Roberts, POAH vice president of development, said in a statement. “The Barry Farm–Hillsdale redevelopment is more than housing; it’s a catalyst for inclusive growth and long-term opportunity in Ward 8 and across the District. To date, the project has directed over $64 million to certified business enterprises, fueling local job creation, empowering small businesses, and driving sustainable economic development.”

The Hillsdale Flats financing package comes about a year and a half after the DCHFA issued $61.1 million in tax-exempt bonds and underwrote $52 million in LIHTC equity toward The Edmonson, a 139-unit affordable complex at Barry Farm. Construction on The Edmonson broke ground in late 2024, and is expected to finish in late 2026.

Nick Trombola can be reached at ntrombola@commercialobserver.com.