KeyBank Provides $50.2 Million of Financing for the Construction of Two New Affordable Housing Properties in Los Angeles

KeyBank

Fri, Apr 25, 2025, 8:30 AM 4 min read

CLEVELAND, OH / ACCESS Newswire / April 25, 2025 / KeyBank Community Development Lending and Investment (CDLI) provided $ 23.3 million in construction loans and invested $10.7 million in low-income housing tax credit (LIHTC) financing, and KeyBank's Commercial Mortgage Group also arranged $16.2 in Freddie Mac TEL permanent financing for the construction of two affordable multifamily housing projects in Los Angeles. The sponsor and developer, HVN Development also provided loans in the amount of $2.4 million for these two projects. California Housing Finance Agency (CHFA) will also issue $14.4 million of Multifamily Housing Revenue Bonds, as well as $7 million in recycled bonds to fund the permanent loans.

The first apartment (North Mathews) located at 121 North Mathews Street, is a single four-story, 40-unit building that will comprise of six one-bedroom apartments and 33 two-bedroom apartments as well as one two-bedroom, revenue generating manager unit. All 39 LIHTC units will be rent-restricted and restricted to tenants earning at or below 80% of area median income (AMI). Rent restrictions are as follows: four units at 30% AMI, four units at 50% AMI, 23 units at 60% AMI and eight units at 80% AMI.

The second apartment (Brynhurst) located at 6018 Brynhurst Avenue, is a single four-story, 50-unit building that will comprise of seven one-bedroom units and 42 two-bedroom units as well as one two-bedroom revenue generating manager unit. All 49 LIHTC units are restricted to tenants earning at or below 80% AMI. Rent restrictions are as follows: five units at 30% AMI, five units at 50% AMI, 29 units at 60% AMI, and 10 unites at 80% AMI.

North Matthews and Brynhurst are located in highly walkable areas and near the LA Metro system which provides bus and subway service throughout Los Angeles. The property manager, Aperto Property Management, will oversee the management of both apartments.

LifeSTEPS will offer on-site supportive services including financial literacy, computer training, home-buyer education, as well as health and wellness programs. All services are free for tenants and paid for by the sponsor/developer, HVN development.

HVN Development has partnered with Integrity Housing, an experienced developer committed to identifying innovative solutions to ease California's housing crisis by increasing the affordable housing supply. Integrity Housing has completed nearly 40 affordable housing projects in California.

Kortney Brown and Matthew Haas of KeyBank CDLI and Hector Zuniga from Key's Commercial Mortgage Group structured the financing.

About KeyBank Community Development Lending and Investment

KeyBank Community Development Lending and Investment (CDLI) finances projects that stabilize and revitalize communities across all 50 states. As one of the top affordable housing capital providers in the country, KeyBank's platform brings together construction, acquisition, bridge-to-re-syndication, and preservation loans, as well as lines of credit, Agency and HUD permanent mortgage executions, and equity investments for low-income housing projects, especially Low-Income Housing Tax Credit (LIHTC) financing. KeyBank has earned 11 consecutive "Outstanding" ratings on the Community Reinvestment Act exam, from the Office of the Comptroller of the Currency, making it the first U.S. national bank among the 25 largest to do so since the Act's passage in 1977.

About KeyCorp

In 2025, KeyCorp celebrates its bicentennial, marking 200 years of service to clients and communities from Maine to Alaska. To learn more, visit KeyBank Heritage Center. Headquartered in Cleveland, Ohio, Key is one of the nation's largest bank-based financial services companies, with assets of approximately $189 billion at March 31, 2025.

Key provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states under the name KeyBank National Association through a network of approximately 1,000 branches and approximately 1,200 ATMs. Key also provides a broad range of sophisticated corporate and investment banking products, such as merger and acquisition advice, public and private debt and equity, syndications and derivatives to middle market companies in selected industries throughout the United States under the KeyBanc Capital Markets trade name. For more information, visit https://www.key.com/. KeyBank Member FDIC.

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