New Generation Fund Provides First-In Financing for Green Affordable Development in Hollywood
Enterprise and Meta Housing Corporation Bring Mixed-Use Development to the Community
LOS ANGELES, May 5, 2011 /PRNewswire/ -- Enterprise Community Loan Fund is pleased to announce a $7.8 million acquisition bridge loan to Meta Housing Corporation, Inc. for the acquisition of a 1.1 acre site located at 5555 Hollywood Blvd. Pending permanent financing, the vacant site will soon be home to more than 100 seniors with low-incomes and will provide 6,000 square feet of retail space for local merchants. Meta Housing will also develop the five-story building to be LEED Silver compliant.
"This is a remarkable location, close to transportation, grocery stores and other needed services that will enhance the quality of life for the seniors who will soon call this property home," said Jeff Schaffer, vice president and Southern California market leader, Enterprise Community Partners. "We are excited that through Enterprise's New Generation Fund, we will be able to help some of our most vulnerable citizens. We look forward to making more investments like this through the Fund."
The New Generation Fund is a $75 million revolving loan facility with $62 million available to nonprofit and for-profit affordable housing developers in Los Angeles. Launched in 2008, the fund has invested $32.2 million within the city limits and is either helping to preserve or create nearly 700 affordable apartments. Qualified nonprofit developers can request up to 120 percent of loan-to-value (LTV) and mission-based for profit companies, like Meta Housing Corp., can request up to 95 percent LTV. Loans can be underwritten between $1 million to $10 million with a maximum term limit of three years. The 5555 Hollywood deal marks the first transaction for the New Generation Fund in 2011.
"With the support of Enterprise and the New Generation Fund, we are well on our way to developing this transit oriented development on the Red Line Metro Station with mixed-use residential and commercial space that will provide homes, jobs and neighborhood serving retail to this high density community," said John M. Huskey, president, Meta Housing Corporation. "'New opportunities for active living in the larger community' is how we like to describe our senior housing, and the 5555 Hollywood location will allow for seniors as well as other neighbors to really enjoy renewed investment in the area and access to our great public transportation system."
The New Generation Fund was established through collaboration between Enterprise, local and national foundations and financial institutions and the City of Los Angeles. Enterprise Community Loan Fund acts as an underwriter for the fund and was the sole underwriter for 5555 Hollywood. Citi Community Capital is the Administrative Agent for the financial institutions.
For more information on the New Generation Fund, visit www.newgenerationfund.com.
Enterprise is a leading provider of the development capital and expertise it takes to create decent, affordable homes and rebuild communities. For nearly 30 years, Enterprise has introduced neighborhood solutions through public-private partnerships with financial institutions, governments, community organizations and others that share our vision. Enterprise has raised and invested more than $11 billion in equity, grants and loans to help build or preserve more than 280,000 affordable rental and for-sale homes to create vital communities. Visit www.enterprisecommunity.org and www.enterprisecommunity.com to learn more about Enterprise's efforts to build communities and opportunity.
SOURCE Enterprise Community Partners
Share this article