USA Properties Secures $148M for Sacramento Affordable Project
Completion is slated for 2029.
USA Properties Fund has secured a $148.2 million financing package to develop The Frances, a 324-unit affordable housing project in Rocklin, Calif. Construction kicked off this month and completion is expected in 2029.
Merchants Capital structured a $72.1 million private placement bond through AllianceBernstein and issued a $76.1 million bridge construction loan. The project was also recommended for $7.4 million in annual 4 percent LIHTC and will benefit from Section 8 vouchers, according to a staff report by the California Tax Credit Allocation Committee.
The Steven will encompass one- to three-bedroom units catering to residents earning at or below 30, 50, 60 and 70 percent of the area median income. Amenities are set include a swimming pool, playground, gym, dog park and computer room, among other features. Social services such as health and wellness programs, as well as adult education and skill-building classes, will be provided by nonprofit LifeSTEPS.
READ ALSO: How the Affordability Crisis Could Be Solved Within a Generation
The nearly 13-acre site sits along University Avenue, near Jessup University, a Christian institution. California State Route 65 runs to the west, connecting to Interstate 80 within less than 10 miles. Downtown Sacramento, Calif., is about 26 miles southwest.
A dedicated Sacramento affordable developer
USA Properties Fund is based in the neighboring city of Roseville, Calif. Founded in 1981, the firm has since developed, acquired and rehabilitated 138 properties totaling 19,913 apartments, including senior housing communities.
One such project is The Steven, an 180-unit, age-restricted development also in Rocklin. USA Properties Fund broke ground in May and expects completion in 2028. Merchants Capital provided $45.6 million for the construction.
Over in its hometown of Roseville, USA Properties Fund continues to bolster new apartment construction. The firm delivered Terracina at Winding Creek, a $119.2 million, 284-unit affordable housing community, earlier this year. And in 2025, the company kicked off work on another income-restricted project in Roseville, dubbed The Crawford, which is slated for completion next spring.
