AMCAL Newsletter

May 2011 AMCAL Times Vol. 8, No. 2

Mirandela grand opening

RANCHO PALOS VERDES – Councilmen Brian Campbell and Stefan Wolowicz hosted the grand opening for “Mirandela,” the coastal city’s first ever large workforce housing apartment in March. The total development time, from entitlements to occupancy, was a quick 2½ years. The City issued an RFP in 2009 after several developers had failed to produce a feasible development during the previous decade.

“Everybody should take pride in this – the community, residents, the neighbors, the people who were involved in it,” Wolowicz said.

The 34-unit senior apartment is on a hill that overlooks the Los Angeles basin, and the Mediterranean architecture was designed by a prominent local architect, Withee Malcolm of Torrance.

“I understand how important it is to have housing like this in a community,” Campbell said. “I love to see this sort of development that’s well-thought out, well-planned and well-executed, that allows our community to stay together, as they can live their lives, raise their families and stay close to their friends and children when they get older.”

Mirandela includes a rear yard with a trellis with barbecues and picnic tables and a gazebo. Units are reserved for households with 30-60% AMI. The site is located near Highridge Park, Palos Verdes Medical Center, PVPTA and MTA bus lines, pharmacies and markets.

Project value is $12,969,000. Bank of America provided the tax-credit equity ($5,309,000), construction loan ($2,888,000), and permanent loan ($689,000). The City RDA contributed $6,790,000.

Construction cost was an efficient $176,000 per unit, and AMCAL General Contractors completed the development on time and within budget despite a difficult hillside location and deep layer of fill. Many in the community were concerned about affordable housing in the upscale community, but the Council approved the developed based on an attractive design and AMCAL’s track record of efficient construction and proactive property management.

Non-profit partner is Las Palmas Foundation. LifeSTEPs provides supportive services for residents.

Mercado groundbreaking

PERRIS – The groundbreaking for the Mercado family apartments is the first step in a dynamic revitalization of the city’s D Street area. AMCAL was selected via a competitive RFP to build the first phase of Perris’ Downtown Master Plan. In just 2½ years, entitlement, construction and occupancy of the 60-unit family apartment is scheduled to be completed.

“We are truly grateful to be here today,” AMCAL CEO Percy Vaz said. “This is a dynamic City with dynamic leadership. When this project is completed, it will offer state-of-the-art amenities in a safe and comfortable environment.”

State Sen. Bill Emmerson, Mayor Daryl Busch and Councilman Al Landers attended. Mercado is designed to achieve LEED Platinum designation.

Mercado received an allocation of $7,286,000 in 9% tax credits in 2010, which is AMCAL’s 40th tax credit award since 1996. The RDA provided $6,800,000 in funding. Mercado is AMCAL’s 3rd development in Riverside County, following “Casa Grande” farmworker apartments and “Casa La Paz” family apartments in Coachella.

Mercado is located near a Riverside County bus stop, future MetroLink station, Mercado Park, a medical clinic, and a market. Sustainable design elements include solar panels on the carports, and amenities include a pool and community room with computer lab and media room. Public improvements include a newly constructed D Street with sidewalks and street lamps, and storm drain system with modular wetlands.

Withee Malcolm (Torrance) designed a Spanish/Mediterranean building with a sidewalk arcade along the D Street frontage. Non-profit partner is Las Palmas Foundation (Encinitas). LifeSTEPs will provide supportive services for residents.

Financial partners include Union Bank for equity ($6,412,000), Chase for construction loan ($6,887,000), and California Community Reinvestment Corp. for permanent loan ($1,758,000).

Summer Hill grand opening

FRESNO – Councilman Oliver Baines and RDA Executive Director Marlene Murphy hosted the grand opening on Feb. 16 for “Summer Hill Place”. The 50-unit family apartment is AMCAL’s 4th development in the San Joaquin Valley and 2nd in Fresno, which has one of the highest poverty rates in California.

The City awarded an RFP to AMCAL after the site had languished for many years with failed development proposals. AMCAL immediately won tax-credits and completed construction quickly in 13 months.

Project value is $8,740,000. Boston Capital provided the construction loan ($5,056,000), and permanent loan ($1,500,000). The City RDA contributed $2,000,000. Mercado received an allocation of $7,300,000 in 9% tax credits in 2009. R.L. Davidson (Fresno) is the architect

Summer Hill is located near a Fresno Area Express bus stop, Ball Park, Lincoln and King Schools, medical clinic, and a market. Amenities include a community room with computer lab and media room and two tot lots.

Details

Company News

New Hires

Craig Adelman was hired as Vice President of Northern California. Adelman has vast experience in multi-family housing, along with public sector experience at the City of San Francisco Mayor's office as Deputy Director of Housing. Prior to that, he was a Vice President with A.F. Evans, a development firm in Oakland.

Adelman is responsible for business development in Northern California in AMCAL's new office in the San Francisco Bay Area.

Adora Alicante - Project Accountant.

Conferences

PASADENA - CEO Percival Vaz will moderate a panel at the ULI Transit-Oriented Development Summit on Jun. 2.

LOS ANGELES - Executive VP Maurice Ramirez will host a tour on transit-oriented development for the Southern California Leadership Network at AMCAL's "Avenue 26 Master Plan," on Jun. 24. The award-winning development has 534 condominiums and affordable apartments and retail next to the Gold Line Station in Lincoln Heights.

SACRAMENTO - President Arjun Nagarkatti and V.P. Craig Adelman attended the Housing California conference on Apr. 27-28, which advocates for homeless and affordable housing.

SAN JOSE - V.P. Craig Adelman, who covers the Northern California market, and Director of Development Craig Smith, who covers the Central California market, attended California Redevelopment Assn. conference on Mar. 29-30.

AMCAL has completed or is constructing or renovating new affordable housing throughout the state, including Los Angeles, Orange Co., San Diego, Oakland, Riverside and San Bernardino Counties, Bakersfield and Fresno.

ANAHEIM - Vice President of Development Mario Turner and Acquisitions Manager Mark Morgan attended the ULI "The Future Is NOW: Housing Solutions for the Recovery" conference on Mar. 23.

Media

Builder News "Affordable Financing: More Opportunities, Competition" (Feb. 2011):
CEO Percival Vaz discussed that investment in affordable housing is less risky than market-rate in the current market, partly because of great demand and consistent public subsidy.

The debt usually has an interest rate that is below market-rate, which helps to meet the public policy goal of producing lower rents for low-income households.

Back to Newsletters