HEART restructures loan to Ocean View housing in Pacifica, preserves affordability for 100 senior residents

Catherine H., Ethel R. and Helen E. celebrate their homes at Ocean View senior housing in Pacifica

Catherine H., Ethel R. and Helen E. celebrate their homes at Ocean View senior housing in Pacifica

BRIDGE Housing buys site from National Church Residences

PACIFICA, CA, October 27, 2015—National Church Residences has completed the sale of Ocean View Senior Apartments to BRIDGE Housing. This transaction will preserve Ocean View as an affordable housing community for seniors in Pacifica and pave the way for new capital improvements. HEART made a $500,000 loan to NCR in 2008 for capital improvements, and has restructured the loan for the sale to BRIDGE.

celebration grand opening smallIn 2000, National Church Residences acquired the 100-unit Ocean View at the request of the City of Pacifica, with the goal of sustaining the property’s affordability. For 15 years, National Church Residences delivered on that goal while providing high-quality property management and raising needed funds for roof replacement and other improvements. In recent times, National Church Residences had been pursuing a refinancing of Ocean View to repay two maturing loans and address capital needs.

“We determined it was in the best interest of the Ocean View community to engage a mission-minded partner like ourselves with the local presence needed to execute new financing terms and oversee the rehabilitation,” said Steve Bodkin, Chief Operating Officer, Housing, National Church Residences. The organization reached out to BRIDGE, a leading nonprofit developer, owner and manager of affordable housing headquartered in California.

BRIDGE will commence renovations next month with new financing in place, including tax-exempt bonds, additional funding through California Housing Finance Agency, restructuring of existing debt with the San Mateo County and the Housing Endowment and Regional Trust (HEART), and the addition of low-income housing tax-credit equity. The renovations will replace aging building elements and systems with more efficient and higher-performing alternatives, restore and enhance the physical condition of the building, and ultimately enhance residents’ quality of life. The recapitalization also provides funding to enhance on-site services. Residents will have access to programs such as wellness and nutrition classes and referral services, free of charge.

All current residents will be able to remain in their units for the long term, and new deed restrictions have been placed on the property to ensure rent restrictions will continue for 55 years. Ocean View is affordable to seniors whose annual incomes range from approximately $14,928 to $84,500 (minimum income standard to 80% of Area Median Income, depending on household size), though 31 apartments will have additional subsidy provided by the Housing Authority of the County of San Mateo to serve people with lower incomes.

“We are delighted to have partnered with National Church Residences during this transition,” said Cynthia A. Parker, President and CEO of BRIDGE. “Ocean View provides much-needed housing for seniors in Pacifica, and we look forward to keeping it that way for the next 55 years.”

 

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