KeyBank Finances Affordable Housing Development in Oceanside, California

News Summary

KeyBank has secured financing for the El Camino Real Apartments in Oceanside, California, which will provide 111 affordable housing units for families. The project aims to address the housing shortage and includes supportive services for residents. The City Council has unanimously approved this initiative, highlighting its importance for the community by integrating essential amenities and housing options for low-income families.

KeyBank Finances Affordable Housing Development in Oceanside, California

KeyBank has taken a major step towards addressing the housing shortage in Oceanside, California, by securing financing for a new affordable housing project. The development, named the El Camino Real Apartments, will offer 111 affordable units tailored for families earning between 30% and 80% of the area’s median income (AMI).

Project Details

Located at 2136 S. El Camino Real, the project is designed to include a mix of two- and three-bedroom apartments. It aims to provide much-needed housing options for low- to moderate-income families in the region. According to reports, the San Diego County area median income for 2024 is $119,500, thus setting the qualification thresholds for low-income families.

Financial Backing

KeyBank Community Development Lending and Investment (CDLI) is providing substantial financial support for this initiative, consisting of a $32 million tax-exempt construction loan and a $15 million taxable construction loan. Additionally, a $27.8 million permanent loan will be placed with one of KeyBank Commercial Mortgage Group’s (CMG) institutional investors, which further ensures the project’s long-term viability.

Supplementary funding includes a $32 million construction loan from the California Municipal Finance Authority through a multifamily housing private-activity bond issuance. Also noteworthy is the $16 million in federal low-income housing tax credit equity obtained from WNC, along with $12.9 million in certificated credits provided by the City of Oceanside state housing tax credit program, facilitated by Monarch Private Capital.

Developer Involvement

The construction of the El Camino Real Apartments is being undertaken by Mirka Investments, a firm recognized for its commitment to developing affordable housing across California. The total estimated construction cost for this development is approximately $56 million, averaging about $500,000 per unit. The project is not solely focused on affordability; it also includes housing provisions for individuals with developmental disabilities, reserving 30 units specifically for this population.

Community Amenities

Prospective residents can look forward to various amenities within the development, including a leasing office and about 6,500 square feet of common space. This space will host outdoor recreational areas and central laundry rooms on each floor, creating an inviting community environment.

In addition, supportive services will be provided by Mission Neighborhood Centers, an organization dedicated to offering educational programs, workforce development, homelessness prevention, and various social services. This focus on support enhances the living experience for families and individuals residing in the community.

Civic Support

The project has received unanimous approval from the City of Oceanside City Council, reflecting their positive expectations regarding its design and community impact. The approval aligns with the city’s goal of fostering a walkable community that integrates essential amenities and efficient transportation options.

Conclusion

The El Camino Real Apartments stand as a promising solution to the growing issue of affordable housing in Oceanside. With its strategic location, comprehensive funding, and community-focused design, this development not only aims to provide essential housing but also fosters a supportive environment for families in need. As construction progresses, the community eagerly anticipates the benefits this project will bring.

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Additional Resources

• Housing Finance: KeyBank Financing Announcement
• REBusiness Online: KeyBank Provides $47M Financing
• CSR Wire: KeyBank Financing for Multifamily Housing
• Wikipedia: Affordable Housing
• Encyclopedia Britannica: Housing