AMCAL Press Release

$6 Million in TCAC Funds Awarded to AMCAL to Build 46-Unit Sunrise

(Dec 2010)

AGOURA HILLS, CALIF. (DECEMBER 1, 2010) – On Monday, December 13, AMCAL Multi-Housing Inc., one of California’s leading builders of workforce housing, will celebrate the groundbreaking of Sunrise, a 46-unit senior workforce apartment development. The event begins at 11:30 with opening remarks from Maurice Ramirez, AMCAL Vice President of Operations & Development. Speakers will include Los Angeles City Councilmember Jan Perry, AMCAL CEO Percival Vaz and AMCAL President Arjun Nagarkatti.

Replacing an underutilized site on a commercial corridor in South Los Angeles, Sunrise will feature a community room with kitchenette and lounge, centralized laundry facilities, landscaped common area with barbeque grills and outdoor seating.

“As the cost of living continues to soar, it is especially important to provide an affordable housing option for senior citizens who are on fixed incomes,” said Percy Vaz, CEO of AMCAL. “Sunrise gives seniors an option that not only offers a high-quality residence, but also a convenient location, great amenities and a variety of free social services to enhance their lives.”

A 100 percent affordable building, Sunrise will feature one- and two-bedroom units, and will be offered to seniors whose household income ranges between 30 percent and 60 percent of the Area Median Income.

Conveniently located near South Park and Junipero Serra Library, Sunrise is situated near a grocery store and medical offices. Like all AMCAL developments, LifeSTEPS will provide complimentary social services for residents including computer training, education, legal referrals, tax preparation referrals, and health and nutrition programs.

Sunrise will be a LEED Silver certified development, implementing many green building practices, including water conservation, waste reduction and improved indoor air quality. Drought tolerant and native plants will be used in the community’s landscaping to conserve water, while high-efficiency and low flow toilets and faucets will be installed in each apartment. To reduce waste, unused construction material will be recycled. Locally-produced products will also be used where possible to reduce energy and pollution from transportation. To improve indoor air quality, AMCAL will use interior paint with no volatile organic compounds (VOCs) which affect smog and ground-level ozone pollution, and install the Carpet and Rug Institute’s Green Label low-VOC carpet and pad, which help to reduce emissions while contributing to the growing use of recycled content for building materials.

Sunrise is financed with an allocation of $6 million in nine percent Low-Income Housing Tax Credits from the California Tax Credit Allocation Committee (TCAC), which administers two low-income housing tax credit programs – a federal program and a state program. Both programs were authorized to encourage private investment in affordable rental housing for households meeting certain income requirements.

With assistance from Perry, AMCAL was able to secure funding from the Community Redevelopment Agency of Los Angeles and the Los Angeles Housing Department. Combined with funding from the California Department of Housing and Community Development Infill Infrastructure Grant, and the Housing Authority of the County of Los Angeles, AMCAL received a total of $6.5 million to build Sunrise. Equity is provided by Hudson Housing Capital, and the construction and permanent financing lender is Citibank, N.A.

“Our success in receiving these awards stems from our ability to receive adequate soft funding, which made our applications competitive and demonstrated a readiness to proceed with the development,” said Vaz. “We have also been able to secure equity investors and permanent lenders enabling us to move forward, whereas with the economy and the reduction in equity pricing, other developers without strong backgrounds and investor relationships have had to give up their allocations.”

Sunrise is scheduled for completion in Spring 2012. AMCAL General Contractors is the general contractor.

In addition to multiple apartment developments for low-income families and seniors, AMCAL is currently under construction on six new tax-credit developments that were awarded in 2009 and three tax-credit developments awarded in 2008. These developments include Mosaic, a mixed-use workforce development in Los Angeles; Mirandela, Rancho Palos Verdes’ first workforce housing development; and Montecito Terraces, a Los Angeles development that received American Recovery and Reinvestment Act federal stimulus funds. Tax-credit investors include Bank of America Merrill Lynch, JP Morgan Chase, Hudson Housing Capital and Union Bank of California.

In 2009, AMCAL completed new workforce housing communities in San Diego, Oakland, Eastern Los Angeles and Palmdale. Since 1995, AMCAL has completed 33 communities with 3,139 units, valued at $576 million dollars.

ABOUT AMCAL MULTI-HOUSING, INC.

Based in Agoura Hills, CA, AMCAL Multi-Housing, Inc. has developed quality housing throughout California since 1978. In recent years, AMCAL has focused on the workforce housing sector, including family and senior apartments, as well as for-sale housing in emerging urban neighborhoods. Nationally recognized for its expertise in workforce housing, AMCAL has received honors from leading magazines and associations including Multifamily Executive for Editors’ Choice and Project of the Year – Best Mixed-Income, as well as NAHB for Innovation in Workforce Housing. The value of AMCAL developments currently under construction exceeds $136 million. Since 2003, AMCAL has been awarded over $350 million in low-income housing tax credits. Since 1995, AMCAL and AMCAL General Contractors have built 33 workforce housing developments, representing over 3000 units. As a third party general contractor, AMCAL General Contractors can provide developers with the resources and leadership they need to build homes on time and within budget. For more information on AMCAL, please visit www.amcalhousing.com.

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Contact: Joyce Malicse
Nelson & Gilmore
310.376.0296, ext. 23
jmalicse@nelsongilmore.com

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