Jan 13Acquisition/Predevelopment Loan Provided to the Cesar Chavez Foundation
Mercy Community Capital closes its sixth loan with the Cesar Chavez Foundation to support its Firestone Apartments project in South Gate, California.
Mercy Community Capital (MCC) has provided $4.9 million in total financing to Cesar Chavez Foundation to support the acquisition and predevelopment needs of the Firestone Apartments project in South Gate, California. The loan was structured as a $3.9 million A-note, which financed the land acquisition, and a $1 million B-note to fund predevelopment costs. It is MCC’s sixth loan with the Cesar Chavez Foundation, whose mission is to carry on Cesar Chavez’s life’s work of uplifting the lives of Latinos and working families by inspiring and transforming communities through social enterprises that address essential human, cultural, and community needs.
“With a shared focus on building affordable, service-enriched housing for low-income households, we are honored to continue to partner with Cesar Chavez Foundation,” said Mercy Community Capital President Stefanie Joy. “Once complete, Firestone Apartments will be home to those most in need, including survivors of domestic violence and people experiencing homelessness.”
The Firestone Apartments Project
The Firestone Apartments project will be a 75-unit, 100% affordable new construction multifamily community, with apartments limited to 30%, 40%, and 50% AMI. More than half the units will be designated for domestic violence victims who are either homeless or on the verge of homelessness. The project will use a 9% Low-Income Housing Tax Credit and California state tax credit equity.
Cesar Chavez Foundation was founded in 1966 as a nonprofit that offers working families programs and services that address community issues such as affordable housing, after-school programming, and senior services. The company has completed over 300 single-family homes for sale to low-income households and over 5,000 affordable multifamily rental units in more than 34 separate communities in California, Arizona, New Mexico, and Texas. MCC is excited to support this great company and important project.
