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 Secures Financing for Affordable Housing Development in Oceanside
KeyBank has successfully secured financing for a new affordable housing development in Oceanside, California, aiming to provide essential living options for families in need. Known as the El Camino Real Apartments, this project is set to include 111 residential units, specifically targeting families with incomes ranging between 30% and 80% of the area median income (AMI).
Location and Development Details
The proposed housing development is located at 2136 S. El Camino Real in Oceanside. The structure will feature a mix of two and three-bedroom apartments to accommodate various family sizes. In terms of financing, KeyBank’s Community Development Lending and Investment (CDLI) is providing a significant $32 million tax-exempt construction loan alongside a $15 million taxable construction loan for the initiative.
Furthermore, a $27.8 million permanent loan has been arranged through one of KeyBank’s Commercial Mortgage Group’s (CMG) institutional investors. Additional financing support has come from the California Municipal Finance Authority, which contributed another $32 million through a multifamily housing private-activity bond issuance.
Construction and Features
The construction is currently being carried out by Mirka Investments, a firm well-known for its dedication to developing affordable housing across California. The property will not only include residential units but also feature a leasing office and approximately 6,500 square feet of common areas. These spaces will offer outdoor recreational areas and laundry rooms centrally located on each floor.
Community Support Services
Mission Neighborhood Centers will provide supportive services designed to enhance the quality of life for residents. These services include educational programs, workforce development initiatives, homelessness prevention efforts, and a comprehensive array of social services, ensuring that families have access to resources that can assist them in improving their living conditions.
Financial Highlights
In total, the estimated construction cost for the El Camino Real Apartments is around $56 million, translating to approximately $500,000 per unit. The development notably includes provisions for residents with developmental disabilities, allocating 30 of the units specifically for this purpose.
The financing plan for the project was structured by Matthew Haas from KeyBank’s CDLI, while Hector Zuniga arranged the permanent financing with KeyBank’s CMG. This collaborative effort, alongside other financial backing, marks a significant step towards addressing the housing shortage in the region.
Project Approval and Community Impact
The City of Oceanside City Council approved the project financing unanimously, expressing an expectation for a walkable community design that integrates well with the surrounding area. With excellent transportation access and proximity to key community amenities, including schools, the El Camino Real Apartments aim to serve as a model for future affordable housing developments.
In 2024, San Diego County reported that the area median income was approximately $119,500, setting the qualification thresholds for low-income families. This project stands poised to make a tangible impact on families struggling with housing affordability, contributing significantly to the community of Oceanside.
As the construction progresses and the community eagerly anticipates the completion of the El Camino Real Apartments, it reflects a crucial move towards inclusive living solutions in one of California’s growing cities.
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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
