The collaboration among Pure Storage, LinkedIn and Cisco which invested $20 million in Housing Trust Silicon Valley's TECH Fund in November is being put to work quickly as a $4.3 m
illion acquisition and predevelopment loan was made
to Resources for Community Development for Fremont Islander: a 128 home affordable housing development spread across one parcel improved with a two story, 70-room motel fronting Mowry Avenue and two adjacent vacant residential land parcels along Bell Street.
Because the project consists of separate lots the development will be separated into two phases: the motel parcel with 79 proposed homes and the vacant land parcels with 49. A quarter of the homes in the development will be reserved for tenants with special needs and all affordable homes will be reserved for individuals with incomes below 60% AMI.
"We're very excited to be able to take control of this blighted property and transform it into much needed affordable housing for families, homeless individuals, and folks with disabilities," said Carolyn Bookhart, RCD's Director of Housing Development. "We appreciate Housing Trust's loan to purchase the property and setting the stage for more affordable housing."
The total acquisition financing cost is expected to be $14 million. Additional acquisition financing is being provided by the City of Fremont, which signals the community support for the project and the commitment the city has made toward affordable housing.
TECH Fund is Housing Trust Silicon Valley's investment vehicle which enables greater Bay Area employers and philanthropists to provide start up capital for affordable housing. Investors include Cisco Foundation, the Sobrato Family Foundation, the David & Lucile Packard Foudnation, The Grove Foundation, LinkedIn and Pure Storage.
More information on TECH Fund can be found here.
Griselda and family in the community garden at Betty Ann Gardens
$1.4 Million Loan to
First Community Housing Preserves Affordable Homes in San Jose
A $1.4 million loan was made to First Community Housing to purchase the investor limited partner's interest for Betty Ann Gardens - an existing FCH project. A portion of the loan will also be used for predevelopment costs to rehabilitate the individual homes.
The move helps preserve 76 affordable apartments in the city's Berryessa District with 15 homes aimed at families earning up to 30% AMI and 60 intended for families earning up to 60% AMI. The development, which features four three-story buildings, is known for its community gardens: 18 garden beds were installed several years ago with residents invited to adopt a garden plot. Currently, every plot is being used - including one by the kids at Betty Ann Garden's after school program.
Griselda, her husband Rafael and their three children have called Betty Ann Gardens home for six years and Griselda still remembers the joy when getting the call - four months after being on the waiting list - and getting the apartment. "It's a safe environment to live in and raise a family," she said. "We enjoy gardening as a family and being part of the classes offered here. We're grateful for a place that gives families like mine the opportunity to afford a decent place to live."
Investor Briefing is March 29th - Got Your Tickets Yet?
Housing Trust Silicon Valley's annual Investor Briefing - which brings together 500 government and business leaders to network and talk new solutions in affordable housing - will be held on March 29th, 2019 at Santa Clara Convention Center.
Buy your ticket today!