Dealmaker: KeyBank Provides $47M for California Affordable Housing

(Illustration courtesy of KeyBank)

KeyBank Community Development Lending and Investment, Cleveland, provided a $32 million tax-exempt construction loan and a $15 million taxable construction loan to finance El Camino Commons, an affordable multifamily property in Oceanside, Calif.

When constructed, El Camino Real Apartments will be a four-story residential building with 111 units consisting of two and three-bedroom apartments for families earning between 30% and 80% of area median income. The property will include a community area within a 6,500-square-foot common space and supportive services will be provided by Mission Neighborhood Centers, which offers educational programs, workforce development, homelessness prevention and social services.

The sponsor, MirKa Investments, San Diego, is a real estate development firm known for affordable multifamily rental communities as well as assisting underserved and diverse portions of the population, including financially struggling families, veterans, seniors, formerly homeless and developmentally disabled individuals.

The project received an additional $32 million construction loan from the California Municipal Finance Authority through a Multifamily Housing Private Activity Bond issuance, $12.9 million in certificated credits from the City of Oceanside State Housing Tax Credit program via Monarch Private Capital, and $16 million in Federal Low-Income Housing Tax Credit equity from WNC.

Matthew Haas of KeyBank CDLI’s Western Regional team structured the financing. Hector Zuniga of KeyBank CMG arranged the permanent financing.