First Financial Bank Supports Conversion of Historical School into Affordable Senior Housing

Rhea-AI Summary

First Financial Bank invests $5.5 million in the Landmark at Abilene senior housing project, converting a historic school into 29 affordable housing units for seniors. The project aims to revitalize the community with amenities like a community room, dog park, and theater room, set for completion by spring 2025.

Insights

Market Research Analyst

The $5.5 million investment by First Financial Bank into the Landmark at Abilene senior housing project signifies a strategic commitment to community development and social responsibility. From a market research perspective, this move can enhance the bank's brand image and customer loyalty, particularly within the local market. It is important to note that investments in affordable housing often receive positive public perception and can lead to increased goodwill among existing and potential customers.

Moreover, such community-centric investments can also have indirect positive effects on local economies by stimulating construction and service jobs. This could potentially increase the bank's business opportunities within the region as the demand for banking services may rise in tandem with local economic growth. However, it is also crucial to assess the opportunity cost of this investment, considering alternative investment opportunities that could offer higher financial returns.

Financial Analyst

The financial implications of First Financial Bank's investment in affordable senior housing are multifaceted. While the immediate financial return on such social investments is not as high as other commercial ventures, the long-term benefits include potential tax incentives and a strengthened relationship with local government and regulatory bodies. The use of tax-credit funding from the Texas Department of Housing & Community Affairs (TDHCA) indicates a strategic approach to minimize investment risks and capitalize on government incentives for affordable housing projects.

Investors should consider the impact of this investment on the bank's financial statements. While the initial outlay may affect short-term liquidity, the project could contribute to a diversified asset portfolio and may enhance the bank's credit profile by demonstrating a commitment to community development, which is increasingly valued by socially conscious investors.

Urban Development Expert

The renovation of a historic site into affordable housing units for seniors addresses critical urban development challenges such as the preservation of cultural heritage and the need for age-specific housing. By investing in the Landmark at Abilene project, First Financial Bank is actively participating in urban revitalization, which can have lasting positive impacts on the community's social fabric.

Adaptive reuse of the former Travis Elementary School into housing units is a sustainable approach that prevents urban sprawl and preserves historical architecture. The inclusion of amenities like a dog park and walking trail aligns with contemporary urban planning principles that prioritize green spaces and community engagement. This project can serve as a model for similar initiatives and may encourage other financial institutions to consider the long-term social and cultural benefits of such investments.

ABILENE, Texas, Feb. 13, 2024 /PRNewswire/ -- First Financial Bank has announced a $5.5 million investment to support the Landmark at Abilene senior housing project. The historic renovation of the former Travis Elementary School at 1101 S. 9th Street will involve converting and expanding the building into 29 affordable housing units for senior citizens.

The original schoolhouse on that lot was built in 1903 and was known as South Ward. It later became known as Travis Elementary and was rebuilt in 1922 by renowned architect David S. Castle. The school closed its doors in 1985.

Landmark at Abilene will occupy nearly a full block in the Original Town South neighborhood, with plans to redevelop the entire site. The restored property will include amenities such as a community room, dog park, picnic area, theater room, walking trail, and a courtyard for the residents. Construction is expected to be completed by spring of 2025.

"First Financial is proud to support this important project for Abilene," said F. Scott Dueser, President and CEO of First Financial Bankshares, Inc. "This historic rehabilitation will provide more access to quality affordable housing for senior citizens, while also restoring a cherished piece of Abilene history. It's an honor to help bring this positive addition to our community."

The project is being led by Overland Property Group (OPG), a developer with extensive experience constructing affordable housing, senior housing, and historical renovations. The project is made possible by tax-credit funding from Texas Department of Housing & Community Affairs (TDHCA) and partnerships with the Midwest Housing Equity Group and First Financial Bank.

About First Financial Bank, N.A.
First Financial Bank, N.A. is a wholly-owned subsidiary of First Financial Bankshares, Inc. (NASDAQ: FFIN). Headquartered in Abilene, Texas, First Financial Bankshares is a financial holding company that through its wholly-owned subsidiary, First Financial Bank, N.A., operates multiple banking regions with 79 locations in Texas, including Abilene, Acton, Albany, Aledo, Alvarado, Beaumont, Boyd, Bridgeport, Brock, Bryan, Burleson, College Station, Cisco, Cleburne, Clyde, Conroe, Cut and Shoot, Decatur, Eastland, El Campo, Fort Worth, Fulshear, Glen Rose, Granbury, Grapevine, Hereford, Huntsville, Lumberton, Keller, Kingwood, Magnolia, Mauriceville, Merkel, Midlothian, Mineral Wells, Montgomery, Moran, New Waverly, Newton, Odessa, Orange, Palacios, Port Arthur, Ranger, Rising Star, Roby, San Angelo, Southlake, Spring, Stephenville, Sweetwater, Tomball, Trent, Trophy Club, Vidor, Waxahachie, Weatherford, Willis, and Willow Park. The Company also operates First Financial Trust & Asset Management Company, N.A., with nine locations and First Technology Services, Inc., a technology operating company. The Company is listed on The NASDAQ Global Select Market under the trading symbol FFIN. For more information about First Financial, please visit our website at http://www.ffin.com.

View original content:https://www.prnewswire.com/news-releases/first-financial-bank-supports-conversion-of-historical-school-into-affordable-senior-housing-302060911.html

SOURCE First Financial Bankshares, Inc.

FAQ

What is the amount of investment First Financial Bank announced for the Landmark at Abilene project?

First Financial Bank announced a $5.5 million investment for the Landmark at Abilene senior housing project.

How many affordable housing units will be created in the Landmark at Abilene project?

The Landmark at Abilene project will convert and expand the building into 29 affordable housing units for senior citizens.

When is the construction of the Landmark at Abilene project expected to be completed?

Construction of the Landmark at Abilene project is expected to be completed by spring of 2025.

Who is leading the Landmark at Abilene project?

The Landmark at Abilene project is being led by Overland Property Group (OPG), a developer with experience in affordable housing and historical renovations.

What funding sources are making the Landmark at Abilene project possible?

The Landmark at Abilene project is made possible by tax-credit funding from Texas Department of Housing & Community Affairs (TDHCA) and partnerships with Midwest Housing Equity Group and First Financial Bank.