Sustainably Transforming a Justice40 Neighborhood
Historic Northeast Lofts (HNEL) is a transformative mixed-income, mixed-use development led by Arnold Development Group on Kansas City's Independence Avenue corridor. Situated directly on the Zero Fare BRT Green Line, the project is designed to connect residents of a historically underserved Justice40 neighborhood to more than 40,000 service and light industrial jobs in Downtown KC and the East Bottoms employment district.
Phase 1 delivers 395 residential units — 83% of which are reserved as LIHTC-affordable at 30–80% of Area Median Income — alongside a public market, community center, nonprofit daycare, and federally qualified healthcare clinic. The development anchors a broader multi-phase vision totaling 4,458 units across the neighborhood, with 45% permanently affordable.
The project pairs aggressive affordability commitments with ADG's signature sustainability approach: campus-wide geothermal heating and cooling, a 10 MW rooftop solar array, and energy-efficient building design consistent with the firm's Passive House track record.
83% of Phase 1 apartments are reserved for households earning 30–80% of the Area Median Income through the Low-Income Housing Tax Credit (LIHTC) program. Across all phases, 45% of the 4,458 total units will be permanently affordable — one of the largest affordable commitments in Kansas City's recent development history.
Neighborhood-serving retail and fresh food market anchoring the ground floor, providing walkable access to groceries and local vendors.
Multi-purpose community gathering and programming space serving residents and the broader Historic Northeast neighborhood.
Early childhood education run by a local nonprofit, supporting working parents with affordable, on-site childcare options.
Federally Qualified Health Center operated by KC Care, providing primary care, behavioral health, and preventive services to residents.
HNEL is situated directly on the Zero Fare BRT Green Line, providing free, reliable transit connections to Downtown Kansas City's $3 billion central business district revitalization and the East Bottoms light industrial employment district — representing more than 40,000 combined service and manufacturing jobs. The walkable site places residents within reach of grocery stores, a public library, Walgreens, and international markets.
Arnold Development Group (ADG) is nationally recognized for its expertise in sustainable, mixed-income, and transit-oriented housing. Founded by Jonathan Arnold — a Cornell Architecture graduate with a Master's in Real Estate Development from Columbia — ADG brings 23+ years of experience structuring complex deals using LIHTC, Historic Tax Credits, Brownfield funding, TIF, and solar investment tax credits.
ADG delivered the $105 million, 276-unit Second & Delaware development in Kansas City — named the National Apartment Association's 2022 Best New Construction Community and certified to Passive House standards. The firm has collaborated with top Historic Tax Credit investors including the Cordish Company and Coastal Enterprises Inc. on acclaimed redevelopments in multiple states.
The Way Home connects builders, lenders, and funders to deliver affordable homes at the speed Kansas City needs.
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