Transcript Transit-Oriented Development: A Public/Private Effort May 19, 2011 NALHFA Cynthia A. Parker, President & CEO BRIDGE Housing Corporation.

Transit-Oriented Development:
A Public/Private Effort
May 19, 2011
NALHFA
Cynthia A. Parker, President & CEO
BRIDGE Housing Corporation
Overview: Affordable Housing

Challenges
• Market Has No Incentive to Create
• High Construction Costs
• Land Cost/Availability
• Community Opposition
• Public Benefit Add-Ons
• Complicated Financing Structures
• Need for Gap Financing to Produce at Scale
Transit-Oriented Development: Public/Private Opportunities

State of California and Redevelopment Agencies

Public and Private Developers

Surplus Land Disposition/Redevelopment
Opportunities

Financial Resources
• Pass Through Federal Funds
• RDA Tax Incentives and Other Resources
($1billion annually)
• State TOD Funds (Prop 1C Funds
Transit-Oriented Development: Local Jurisdictions

Proper Zoning & General Plan Designations

Inclusionary Ordinances

Funding Resources

Encourage Partnerships (for profit, non profit)

Surplus Land
Transit-Oriented Development: Other Players

Public Agencies
• Financing: MTC, Housing Authorities, etc
• Surplus Land/Intensified Uses: School Districts,
Transit Agencies, County Agencies

Community Based Organizations
• Churches
• Non-Profit Agencies
Transit-Oriented Development: Financial Markets

Public Finance Options

Banking

Equity Investment: Socially Responsible Screen

Foundations
• PRI’s
• Grants
• Research and Development
Transit-Oriented Development: First Take

One Church Street
Development Approach

Transit-Oriented Development
• First Residential Development
on BART Property with
Strobridge Court
• 25 Transit-Oriented
Developments Linked to BART,
Commuter Rail, Light Rail, and
Local Transit Systems
• Regularly Awarded Grants to
Incorporate Transit Linkages
into New Developments
Transit-Oriented Development: Case Study

One Church Street
• 93-Units of Multifamily Affordable Apartments: OneBedroom: 30, Two-Bedroom: 35, Three-Bedroom: 28
• Directly Adjacent to Public Transportation
• On-site Child Care
• Community Room
• Computer Learning Center
• Ground-Level Retail Shop
• Significant Community Involvement throughout the
Development Process
Transit-Oriented Development: Case Study

One Church Street
Transit-Oriented Development: Case Study

One Church Street
Financing Source
Amount
Financing Use
Amount
HOPWA Loan
$ 1,781,581
Acquisition
$ 6,394,344
HOME Loan
$ 7,772,302
Construction Costs
$15,850,000
Tax Exempt BofA Loans
$ 8,269,313
Contingency
$
Tax Credit Investor Equity
$ 7,894,889
Soft Costs
$
Developer Equity & Loan
$
300,000
Other Costs
$ 3,049,298
AHP Grant
$
777,000
Administrative Fee
$
340,000
MTC Grant
$
424,664
Developer Fee
$
600,000
Total Sources
$27,219,749
Total Costs
$27,219,749
986,107
Irvington Village
Irvington Village

Pension Fund Investment

Rezone Due to State Fair Share Requirements

Inclusionary Zoning

City Funded

NIMBY Issues

State GO Bond Funding

Mixed Income Master Plan/Joint Planning Effort
Irvington Village
Irvington Village
Mission Walk
Mission Walk
330 & 335 Berry
Street
Mission Walk
•
131 below market rate condominiums (includes 14
townhomes) on two sites (1.32 acres combined)
•
Part of 2,900 units (655 affordable) to be developed in
Mission Bay Redevelopment Area
•
1 – 3 Bedrooms; 606 – 1300 SF. Average Price of $235,906
•
114 parking spaces (incl. one car share space)
•
SFRA contributed land and $35 million in construction
financing that will convert to homeowner loans
•
Will be LEED certified
•
Approximately $63 million total development costs
Mission Walk

Large Scale Redevelopment – Intense Planning
Process/Negotiation with Land Owner

Predesignation of land uses

Local Agency Selection of Developer

Local Agency Financial Participation

State Financial Participation

Foundation Participation – Second mortgage
program
Mission Walk: Sources and Uses of Funds
Sources
Permanent
Per Unit (131)
SFRA Funds
$35,136,117
$268,215
BEGIN (HCD)
$3,930,000
$30,000
BRIDGE MAP
$1,637,500
$12,500
Sales Proceeds
$22,774,261
$173,849
Total Sources
$63,477,878
$484,564
Permanent
Per Unit (131)
$0
$0
$51,482,470
$392,996
Indirect & Financing
$9,303,908
$71,022
Contingency & Reserves
$1,151,500
$8,790
Developer & Admin Fee
$1,650,000
$12,595
$63,477,878
$484,564
Uses
Land & Acquisition
Construction
Total Uses
*Construction cost savings of $2MM or more will be returned to the SFRA at the end of the project.
Mission Walk
North Beach Place
North Beach Place

Underutilized Housing Authority Land

Local Monies

Partnership
•
•
•
•
•
•
For-Profits
Non-Profits
Housing Authority
Redevelopment Agency
Mayor’s Office of Housing
Service Providers
North Beach Place
North Beach Place
North Beach: Sources and Uses
Total Project
Public Housing
MOH Units
Commercial
Tax Credit Equity
48,005,000
37,344,748
10,660,252
0
Residential Mortgage
13,292,515
4,548,848
8,743,667
0
6,339,453
4,823,991
1,515,462
0
13,861,721
13,861,721
0
0
City of San Francisco MOH Loan
8,449,366
0
8,449,366
0
AHP Loan
1,000,000
671,554
328,446
0
250,000
250,000
0
100
100
0
SOURCES OF FUNDS
Section 8 Mortgage
HOPE VI Loan
Reimbursements
GP Capital
Commercial Loan
4,335,000
0
0
4,335,000
Additional HOPE VI Grant
3,020,000
3,020,000
0
0
Total Sources of Funds
98,553,155
64,270,862
29,947,293
4,335,000
North Beach: Sources and Uses
Total Project
Public Housing
MOH Units
Commercial
Prepaid Land Lease
3,274,138
2,198,761
1,075,377
0
Demolition
2,520,000
2,520,000
0
0
69,149,844
44,954,554
21,986,507
2,208,783
Architecture & Engineering
5,357,937
3,393,397
1,659,652
304,888
Furnishings & Equipment
1,401,968
941,498
460,470
0
Municipal Fees & Permits
923,410
597,871
292,408
33,131
5,667,507
3,593,774
1,757,653
316,080
629,789
354,640
173,449
101,700
1,533,422
954,571
466,865
111,986
498,157
302,305
147,852
48,000
1,279,171
629,153
307,708
342,310
185,832
185,832
0
0
2,197,923
1,354,085
743,686
100,152
Syndication and TCAC Costs
423,867
284,650
139,217
0
Construction Management
682,220
458,148
224,072
0
2,827,970
1,547,625
512,375
767,970
98,553,155
64,270,862
29,947,293
4,335,000
USES OF FUNDS
Construction & Site Work
Construction Loan Interest & Fees
Permanent Loan Fees & Costs
Taxes, Insurance, Escrow
Legal, Misc
Marketing and Lease Up
ACC Initial Operating Period Deficit
Reserves
Developer Administration & Fees
Total Uses of Funds
MacArthur Transit Village
Project Summary:
• 7.76 acres
• 516 Market Rate Homes
• 108 Affordable Homes
• 42,500 sf Commercial/ Retail
• 5,000 sf Child Care Facility
• 400+ stall parking garage
MacArthur BART Transit Village
MacArthur BART Transit Village
Sources
Construction Loan
Permanent Mortgage
Investor Equity
City RDA
Proposition 1C
Federal Funds
Total Sources
Market Rate +
Retail
Affordable
Garage
Infrastructure
$169,371,000
$0
$59,990,000
$8,140,000
$0
$0
$237,501,000
$0
$1,285,000
$18,098,000
$17,178,000
$4,014,000
$135,000
$40,710,000
$0
$0
$6,531,000
$0
$18,418,000
$0
$24,949,000
$0
$0
$0
$10,500,000
$14,849,000
$1,313,000
$26,662,000
$20,440,000
$140,953,000
$37,610,000
$17,104,000
$12,707,000
$8,687,000
$237,501,000
$1,520,000
$30,860,000
$3,740,000
$2,500,000
$490,000
$1,600,000
$40,710,000
$4,700,000
$16,992,000
$987,000
$0
$1,500,000
$770,000
$24,949,000
$10,500,000
$13,075,000
$1,099,000
$0
$1,352,000
$636,000
$26,662,000
Uses
Acquisition
Construction
Indirects
Finance
Contingency
Organizational
Total Uses
MacArthur BART Transit Village
MacArthur BART Transit Village
COMM 22
COMM 22

Partnering with two local nonprofits

First large-scale, mixed-use, transit-oriented
development in So Cal

Redevelopment of school district maintenance
facility; vacant for 20 years

Multiphased project:
•
•
•
•
Family Rental - 130 units + retail
Senior Rental - 70 units + daycare
Live/work lofts + retail - 38 units + retail
For-sale rowhomes - 17 units
COMM 22
COMM 22: Sources and Uses
COMM 22