How Community Development Financing Helped Preserve 181 Atlanta Apartments

For Daniel Alexander, co-founder and principal of The Domos Group, preserving housing is both a business strategy and a commitment to the communities where he lives and works. The Atlanta-based firm focuses on the preservation and acquisition of affordable and workforce housing and, over the last decade, has bought, repositioned and preserved the affordability of over 7,000 multifamily units across the Southeast, Midwest, Texas and California.

Domos saw that potential in an existing 181-apartment community in Atlanta’s Lakewood Heights neighborhood, which it acquired in 2023. Previously known as The Station at Richmond Hill, the property had character. Mature trees and attractive outdoor spaces gave the property an established neighborhood feel. However, the property also needed widespread improvements.

Alexander planned to restore the property and create a residential community that could remain financially sustainable while keeping housing affordable. “We believe that profitability and affordability can go hand in hand,” said Alexander. 

Making that vision possible would require experienced partners with a commitment to Atlanta, carefully coordinated financing, and substantial renovations.

Housing Preservation in Atlanta: A Community Worth Investing In

Domos recognized the opportunity to improve existing housing rather than begin a development from the ground up.

The property had years of deferred maintenance. Approximately 20 apartments were in such poor condition that they could not be offered to residents, and essential equipment, roads, security infrastructure, and maintenance facilities needed significant repair.

Alexander and his team wanted to address those needs while keeping the property’s affordable housing commitment in place. That commitment was that 80 percent of apartments would remain affordable at 60 percent of area median income (AMI).

Domos’ vision also extended to the property’s daily operations and shared spaces. Repairs, updated or added amenities, and engaged management would help establish the foundation for a stronger residential community.

So, the opportunity was clear, but the challenge was procuring adequate housing preservation financing to support the entire plan.

How Community Development Financing Supported Acquisition and Rehabilitation

With nearly 30 years of real estate experience, Alexander expanded from renovating distressed single-family homes to leading an Atlanta-based multifamily housing company focused on Low-Income Housing Tax Credit (LIHTC) properties and naturally occurring affordable housing.

He knew he had the skills to turn this property around, and acquiring it was the first step. But he and Domos also needed funding for improvements and enough time for the property to stabilize before it could qualify for permanent financing. All told, the total project amount was estimated at $22.5 million. 

So, Alexander looked for a group of partners who understood what was needed for the area and his commitment to affordability. 

Alongside equity from Domos, he secured a preferred equity investment from Preservation Station, a joint venture between the Atlanta Affordable Housing Fund LP and the Atlanta Neighborhood Development Loan Fund. 

The remainder of financing came from a partnership between Reinvestment Fund and Capital Impact Partners, two mission-driven community development financial institutions (CDFIs) that provide community development lending to communities and projects that traditional finance may not fully serve. Reinvestment Fund led the senior loan, and Capital Impact Partners provided half of it.

Either lender working alone would likely have provided only about half of the required financing. “That wouldn’t have been enough to provide funds needed to buy it and fix it up,” said Satria Santoso, a senior portfolio loan officer with Capital Impact Partners. 

The structure required coordination among the developer, lenders, and other investors. It also needed financing that would support the property during renovations, when some apartments were unavailable and rental income had not yet reached a steady level.

Everyone involved shared an interest in preserving the housing community and establishing a property capable of supporting permanent debt. Alexander said the financing partners understood the project’s timing and adjusted to changing circumstances during underwriting and closing. “The timing was great,” he said. “Everybody came to the table, and we got the deal closed on time.”

For Domos, these partnerships provided the resources needed to move from purchase to work on the property itself.

What $3 Million in Property Improvements Changed

All in all, Domos invested over $3 million to address the property’s physical and operational needs, and the results are easily seen.

The first priorities included essential safety repairs like updated fire alarms and sprinklers, emergency exits, interior and exterior lighting, and safe balconies and railings. Domos then moved into apartment renovations, equipment replacement, and improvements throughout the grounds.

One result was especially noticeable. Approximately 20 apartments that had previously been unavailable to residents were renovated and reopened as rentable units.

Crews repaired the gates, repaved roads, replaced missing air-conditioning equipment, and improved security. The playground was repaired, and a pet park and grilling area were added. Domos also introduced Wi-Fi and restored amenities that residents could use.

Some of the work was less visible but essential. Domos repaired the property’s trash compactor and rebuilt an unusable space into a functioning maintenance shop.

Beyond making physical repairs, Domos supports after-school, summer, and community programs for the people who live there.

These improvements helped the developer restore the full property and create an appealing and welcoming space for its residents and the surrounding community. 

How Housing Preservation Financing Supported Stabilization and Refinancing

Finishing the major repairs marked an important turning point. Domos could now focus on making Towne at Lakewood Heights a stable, well-run community that could qualify for longer-term financing.

By late 2024, the developer had completed most of the major improvements, with some work continuing into early 2025. Domos continued leasing apartments and strengthening day-to-day management, while continuing to keep the homes affordable, leading to approximately 94 percent occupancy, up from 60 to 70 percent at acquisition. 

That progress allowed Domos to refinance the property sooner than expected. In July 2025, about a year ahead of schedule, Domos secured a permanent, five-year Freddie Mac loan. The new loan also repaid the original senior lenders before their loans came due. “We actually got paid off before maturity, which doesn’t always happen,” Santoso said.

For the organizations that helped fund the project, the early refinancing was a clear sign of success. It showed that Domos had moved the property beyond the purchase and renovation stage and into longer-term financing.

Towne at Lakewood Heights shows investors and funders how their capital can help preserve affordable homes, improve living conditions, and provide a clear path to repayment. For real estate developers, refinancing a stabilized property can mark the transition from acquisition and improvement to sustained operations. 

Beyond Mission-Driven Real Estate Financing: Partnerships That Last

Alexander said Capital Impact Partners brought a responsive team that respected Domos’ experience and gave the developer room to make decisions. 

The Capital Impact team could also connect Domos with professional resources when questions arose about development matters and operating costs during the property’s improvement and stabilization process. 

Capital Impact Partners brought experience in mission-driven real estate financing and an understanding of Domos’ goals. The team understood what he was doing and why it mattered. “They were very focused on the impact piece: non-displacement, not pushing up the rents in any aggressive way,” Alexander said.

But there was another relationship that broadened Domos’ network of community-based developers.

Alexander participated in Growing Housing Developers, a national initiative funded by Wells Fargo and implemented by Capital Impact Partners, Reinvestment Fund, and Low Income Investment Fund.

The program provides experienced housing developers with capital, grants, capacity building, mentorship, and industry connections to help them grow their businesses and expand the supply of affordable housing.

For Alexander, the relationships were a particularly valuable part of the experience.

“It has expanded my network of impact, my resources,” he said. “Now I feel like there is a family or a tribe of impact-minded people out there that I’ve been connected to. When I find projects that have this impact need, I have a host of people that I can call that are seeking these types of projects.”

Through the program, he connected with other developers and firms working on projects with similar goals. Those relationships give Domos additional people and resources to consult as it continues its mission of preserving and acquiring affordable and workforce housing.

Preserving Housing While Building a Stronger Property

Towne at Lakewood Heights demonstrates what happens when an experienced developer like Domos and like-minded capital partners like Capital Impact Partners take a community-focused approach to an existing housing community.

The 181-apartment property received over $3 million in improvements. About 20 apartments reopened for residents, affordability remained a priority, and Domos was able to secure permanent financing approximately one year earlier than expected.

The project also shows the value of partnerships that last beyond a single project. Domos brought the experience and a clear plan to preserve the apartments as affordable homes. Its funding partners provided the community development financing needed to move the project forward. Additional relationships offered resources and connections that could continue to support Domos after the work was complete. 

Through this collaboration, an existing Atlanta housing community became a stronger one, with improved apartments, restored amenities, and a financial foundation for its next chapter.

“We have definitely provided a place for people to live and raise a family now. We didn’t do that by forcing people to pay high rents,” Alexander said.