Century Emerging Developers Program Helps Minority-Owned Businesses

/in , , , ,

Century closed its second loan utilizing the Century Emerging Developers Program with a local nonprofit active in the affordable development space. Through the program, Century provides financing to minority and women-owned developers who, because of organizational size, lack of capitalization, or limited track records, do not have access to financing on the same terms as more established developers. The program underscores Century’s ongoing commitment to racial and social equity.

With the help of a Century acquisition loan, developer Alliance Property Group has partnered with the nonprofit Community Bible Community Development Corporation to transform Valley Pride Village Apartments, an existing 88-unit complex in Sylmar (shown above), into affordable housing for seniors. The developer will convert 59 units to affordable homes for seniors earning 50-80% of the area median income (AMI); the rest will remain unrestricted and serve Housing Choice Voucher holders. The investment will also pave the way for solar and energy efficiency improvements and rehabilitation totaling $28,000 per unit.

This follows an earlier transaction with Venice Community Housing (VCH) to develop a 61-unit, 100% affordable new construction project just south of the Baldwin Hills Crenshaw Mall and the upcoming Leimert Park Metro Rail station. Century’s acquisition and predevelopment financing leveraging the Century Emerging Developers Program will help VCH further its mission of building minority-owned business capacity and our common calling to serve low-income Los Angeles households, in this case those earning 30-60% of AMI.

The Century Emerging Developers Program is a Special Purpose Credit Program funded by a dedicated $15 million credit facility provided by JPMorgan Chase Bank.

Century California Fund Logo

Century Housing Announces The Century California Fund Investment Initiative

/in , , ,

Century California Fund Logo

Century Housing announces the Century California Fund (CCF) investment initiative to help close the gap in economic and social disparities in California.

Since its founding, Century has been focused on addressing the lack of diversity, equity, and inclusion in the communities it serves. Consistent with its mission, Century is making a further investment in underserved communities, specifically communities of Black, Indigenous and people of color (BIPOC) who have been disproportionately impacted by lack of access to traditional lending, education, affordable housing, livable wages and small business opportunities.

With an initial seed investment of $8 million in the CCF fund, Century hopes to make a positive impact for underserved communities that typically have inadequate financial wealth to access higher education, or access to financing for business opportunities, affordable housing, or home ownership.

“We believe in closing racial wealth gaps, in access to higher education, living wages, lending and financial opportunities,” said Alan Hoffman, SVP, Century Housing. “The CCF initiative’s emphasis will include education, jobs, small business expansion, and affordable housing,” added Hoffman.

The inaugural theme for the CCF is the Century Educational Opportunity (CEO) grant. CCF’s pilot program is tackling the challenges facing under-resourced communities. We seek to empower students to enroll in vocational or trade school and invest in higher education to become the next generation of leaders, notably in the affordable housing financing and development sectors.

“The CEO grant program is in line with our mission, vision and values of Century, to help people stay housed, healthy, and have new opportunities”, said Ronald Griffith, President and CEO, Century Housing. “In addition, education reduces income inequality and increase intergenerational social mobility”, Mr. Griffith added.

The nine organizations receiving grants include California State University, Fullerton – Project Rebound, Coalition of Rural Housing (CCRH), Coalition for Responsible Community Development (CRCD), El Camino College, Japanese Community Youth Council (JCYC), Larkin Street Youth Services (LSYC), LifeSteps, Los Angeles Community College District (LACCD) and Venice Community Housing (VCH).

“Coalition for Responsible Community Development is proud to be a recipient of the Century California Fund, which will help to support graduates of CRCD Academy, a partnership with Youth Build Charter School of California based in South Los Angeles, to use towards their post-secondary or continued education,” said Mark Wilson, president and CEO, CRCD.

“The California Coalition for Rural Housing is greatly honored to be included in the first cohort of nine Century Housing Fund awardees, statewide.  We will use the funds to provide scholarship assistance to aspiring or current university/college students from farmworker, tribal, and rural communities hard hit by the pandemic, wildfires, and income losses,” said Rob Weiner, President and CEO, CCRH.

Michael Fuller, Executive Director of Foundation for LACC adds, “The Foundation for the Los Angeles Community Colleges is proud to partner with Century California Fund in offering scholarships to LACCD student who will benefit by entering the workforce with good paying jobs that strengthen the social fabric of communities throughout Southern California.”

Street View of Century Housing Office in Culver City

Century Housing Announces Bond Offering of up to $100 million to Fund Affordable Housing Development

/in ,

Street View of Century Housing Office in Culver City

Century Housing will issue up to $100 million in ESG municipal CUSIP bonds to advance their mission throughout the state of California, becoming the first CDFI to come to market with a municipal bond CUSIP and the first CDFI to be rated by both Fitch and S&P (AA and AA-, respectively).  The third-party opinion by Sustainalytics attests to both the environmental and social benefits that will be created by the housing made possible by these bonds.  The bonds will be underwritten by sole-senior manager Wells Fargo Securities.

Ron Griffith, President & CEO of Century Housing, said,” Century has financed approximately 45,000 affordable homes providing  a foundation for low-income families, seniors, and veterans to regain their dignity, health, and work prospects in a safe, environmentally sustainable setting. This offering will accelerate our ability to serve our mission and deliver financing exactly where it is needed most.”

“Century’s bonds provide an opportunity for investors to support affordable housing initiatives throughout California, in a manner that is both socially responsible and sustainable, given its Sustainability Bond designation and second-party opinion from Sustainalytics,” said Peter Cannava, Managing Director at Wells Fargo Securities.  “Wells Fargo is proud to share and support Century’s goal of creating safe, decent and affordable housing, and building stronger communities of promise.”

The bonds will be federally taxable and state tax-exempt.  Century expects to provide early stage financing, including acquisition, bridge, and construction loans for developments, most of which will subsequently be financed  with Low Income Housing Tax Credits (LIHTC).

Ron Griffith and Alan Hoffman, Century’s Senior Vice President & Chief Financial Officer, discussed the unique structure of the bond offering with Donna Kimura in a story published in Affordable Housing Finanance (AHF) Magazine.

 

Developers and investors think big at Developers’ Roundtable

/in , , ,

The 15th Annual California Developers’ Roundtable hosted by Downs Pham & Kuei, LLP and Century brought together an overflowing crowd of California’s top affordable housing developers, lenders, and investors at The Peninsula Hotel in Beverly Hills on March 3, 2015.

“The mood was upbeat to say the least. Optimistic energy and conversation filled the room upon hearing the positive market outlook on interest rates, rental housing starts, the increasing need for Affordable Housing, especially in California. An impressive array of speakers and attendees were on hand to reinforce the depth of experience and ability this group has to continue to make a positive impact on Affordable Housing going forward. We are in good hands to meet the changing environment and challenges of this mission,” said Mr. Kelly Sands, President of ICON Builders, who attended the conference.

This year’s panel discussed, among other topics, the local economic forecast and market conditions, the future of debt financing, and developer opportunities. According to Christopher Thornberg, Founding Partner of Beacon Economics and a speaker at the event, “California was among the nation’s stronger economies in 2014 with the labor market turning a corner, but there is also growing inequality of income and wealth, and a lack of housing that has resulted in an exodus of families with incomes of under $100,000 from the state.

Six years ago, the employment outlook and real estate industry were facing tough times. However, as 2015 begins, economic indicators are more favorable. “With the increase in financial resources and new funding through state and federal programs, the outlook for affordable housing looks encouraging,” said Aaron Wooler, SVP of Century, in the debt financing panel.

While developers are waiting for the new AHSC and VHHP funding sources, as well as LIHTC and bond allocations, the event gave everyone an opportunity to discuss larger issues and also share some creative tidbits. Peter Barker, President of Valued Housing, said, “Opportunity arises with innovative thinking. For example, obtaining an independent appraisal commissioned by a developer showed a FMV significantly above purchase price, which helped to generate additional credit in the recapitalization model.”

It was exciting for Century to be a part of this year’s California Developers’ Roundtable, and we hope to see everyone back next year.

 

 

Los Angeles County’s new and improved Housing Innovation Fund

/in ,

Century LA County Housing Innovation Fund II

We are excited to announce that Los Angeles County has closed on LACHIF II, a high-LTV revolving fund providing acquisition and predevelopment financing to nonprofit and for-profit developers throughout the county. As an approved member, official loan originator, and the first lender to utilize the fund, Century is excited about the opportunities that LACHIF II will deliver to LA developers, and ultimately, to low-income residents struggling to find an affordable home.

LACHIF II highlights include:

  • Loan-to-value of up to 95% to for-profit borrowers, and up to 100% to nonprofit borrowers.
  • Loan amount up to $15,000,000
  • Loan term of up to 6 years

Visit Century’s LACHIF II page for a more detailed term sheet or call Aaron Wooler at 310-642-2019 to see how Century can help with your project.

Aaron Wooler Can’t Stop Talking About The GSAF

/in ,

You may have caught our Senior Vice President, Aaron Wooler, at the Novogradac 20th Annual Affordable Housing Tax Credit Conference earlier this month, where he took every opportunity to praise the utility of the Golden State Acquisition Fund and share Century’s experience in leading loan originations under the valuable program. To date, Century has closed seven loans and is projected to close five more loans through the GSAF before the end of the year, totaling $64,342,500 in financing. There’s plenty more capacity, so don’t hesitate to give Aaron a call at 310-642-2019 or to visit the Century lending page for details.

See Aaron at the NH&RA Developers Forum

/in ,

Our Senior Vice President, Aaron Wooler, will be speaking on the “Policy & Programs in Context: How Will Affordable Housing Fare in 2013 and Beyond” panel at the National Housing and Rehabilitation Association’s 2013 Spring Developers Forum held Wednesday, May 8th, in Marina del Rey. Learn about the future of affordable housing finance and speak with Aaron about your next project. You can find event and registration information at the event site.

Stop By Our Booth at Affordable Housing’s Largest Conference

/in ,

Century will be attending Housing California’s Annual Conference in Sacramento again this year, so be sure to stop by our booth and say hello. Online registration is closed, but onsite registration will be available at the event running between April 16-18. Be sure not to miss the Golden State Acquisition Fund panel, where our own Neha Shah will be sharing insight into some of the program’s less obvious applications.

Visit the event site for more information.

Golden State Acquisition Fund Launches

/in , ,

The long awaited  Golden State Acquisition Fund (GSAF), a $93 million source of flexible acquisition financing to developers throughout California, has made its official launch thanks largely to seed money from the California Department of Housing and Community Development.

As an official loan originator, Century is now taking applications from both nonprofit and for-profit developers. Fund highlights include loan amounts of up to $13,950,000 with up to 100% LTV and up to a 5-year term.

For details please see the Century GSAF Term Sheet or call Aaron Wooler at 310-642-2019.

Also, Affordable Housing Finance posted a nice summary.