A groundbreaking ceremony was held July 15 for Carmany Place Apartments—an affordable housing project in South Annville Township.

Read More: South Annville Township supervisors approve Carmany Place development

Wisconsin firm Völker Development and Lebanon-based Arthur Funk & Sons Inc. are working together on the estimated $18.6 million project. The 48-unit complex is being constructed on a nearly 5-acre tract along Mount Pleasant Road. Matthew Padron, Völker Development managing director of development, said the land is zoned for high density development.

Carmany Place Apartments will feature three two-story walk-up apartment buildings and a one-story clubhouse. The apartment buildings will contain a total of 30 two-bedroom and 18 three-bedroom units; each with an in-unit washer and dryer, dishwasher and private balcony or patio. The clubhouse will contain a community room with kitchenette, a fitness center, property management and maintenance offices and an office for supportive services. The apartment community will also offer a playground, a pergola-covered picnic area and a walking trail that will connect with the walking trail in an adjacent development.

Padron said financing is primarily through a federal tax program for low-income housing, and additional funding is through the Pennsylvania Housing Financing Authority and Lebanon County. Since the financing is already in place, all three apartment buildings will be constructed at one time. He anticipates construction to wrap-up next summer with leasing to begin in spring.

Padron said rents will range from $299 to $1,559 per month based on household income and apartment size. Most units will rent for $984 to $1,264 per month. He said Völker Management, which is affiliated with Völker Development, will be the onsite property manager. “Although we have our own in-house property management division, we do work with third party management companies when appropriate,” he said.

The project is named for retired physician Dr. Thomas Carmany, the former owner of the property. “It never crossed my mind that the project would be named for me, and I’m honored,” he said.

Dr. Carmany explained that the property, which totals 7.9-acres contains his home and gardens, which he now rents. (LebTown featured Carmany’s garden in 2020.)

The house is a farmhouse that’s about 171 years-old. Former owners of the property were the late Clark and Edna Carmean. Clark Carmean served as Dean of Admissions and professor of music at Lebanon Valley College, and Edna Carmean was an author of several books, including “The Blue Eyed Six”, a novel about the six blue-eyed Lebanon County men who became notorious for the murder of 19th century murder of Joseph Raber.

Carmany said Edna Carmean wrote the book while she lived on the property.

The couple owned the property from 1940 to 1990, when they deeded the home to Lebanon Valley College, said Carmany, who purchased the home from LVC.

“In the past year or two I’ve been thinking about what to do with the property. I had been approached by a developer who wanted to buy the land. A friend told me about an affordable housing project in Fredericksburg. I went to see it and I saw what I liked,” Carmany explained. (Arthur Funk & Sons was the contractor for Beach Run Apartments, Fredericksburg.)

Read More: Ribbon-cutting held for new affordable housing community

Before moving to Annville, Carmany practiced in Gallup, NM, and was involved with the Big Brothers Big Sisters program.

“My ‘little brother’ Eddie is now 40 years old. His mom was a widow who raised four young boys. They didn’t have stable housing, so they moved from place to place. I saw the family’s struggle first-hand. As a physician I had also come across other families that didn’t have stable housing and understood the impact that can have on their lives and their health,” Carmany said. “I decided if I was going to sell the land (in South Annville Township), it should do something for the community.”

According to the 2023 Housing Needs Assessment report from Bowen National Research, over 15,000 individuals live in poverty in Lebanon County. The report states, “As a result, affordable housing options primarily for households earning below $68,000 annually should continue to be a consideration for future housing developments in the county.”

Read More: New study highlights countywide housing problems, provides potential solutions

Ken Funk, president Arthur Funk & Sons, said Carmany Place is a “meaningful project.”

“We get to do a lot of projects, but this one is different—it will bring much-needed affordable housing to the area. Lebanon County has a significant shortage of affordable housing,” he said. “Our company’s tagline is ‘Connect. Collaborate, Construct.’—we’re all about making connections and collaborating with people to find solutions.”

And this project is an example of just that. Connection and collaboration are key elements of Carmany Place Apartments, according to project participants.

Funk said Dr. Carmany was acquainted with his brother Bob, the company’s past president and director of special projects, and Carmany visited the Beach Run site. Arthur Funk & Sons had previously worked with Matthew Padron, Völker Development managing director of development, when he had been employed at HDC MidAtlantic. Funk said HDC provided funding for the Beach Run project.

Since Carmany plans to be a neighbor of the apartment community, he said he will have an “opportunity to see what’s happening with the project.”

“It’s a good opportunity to see what stable housing can do for people and their health,” Carmany said.

Padron said there has been a lot of support for the project by South Annville Township, Lebanon County, and the Lebanon Valley Chamber of Commerce.

Although Völker Development has been reshaping communities through affordable housing for 20 years, it’s the firm’s first project in Pennsylvania.

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Rochelle A. Shenk is a writer with over two decades experience. Her work appears in regional business publications and lifestyle magazines as well as area newspapers. She writes about business and municipal sectors as well as arts and entertainment, human interest features, and travel and tourism. Rochelle...