CBRE has brokered the sale of a five-asset portfolio of affordable multifamily properties totaling 484 units in Central California to a national real estate developer. The sale price is undisclosed.
Built in 1994 through 1996, the properties include:
- Mountain View (60 units) at 870 N. Plano St., Porterville
- Alderwood (80 units) at 990 Fox St., Lemoore
- Maplewood (100 units) at 2060 E. Spruce Ave., Fresno
- Pineview (110 units) at 4301 Fruitvale Ave., Bakersfield
- The Meadows (134 units) at 2400 Goldenrod St., Bakersfield
All the communities are more than 95 percent occupied. All 484 units are limited to renters with incomes below 50 or 60 percent of the local area median income (AMI) under a Low-Income Housing Tax Credit regulatory agreement. A percentage of the properties also hold Section 8 Housing Assistance Payment contracts, further enhancing their affordability.
The seller was not revealed, but Yardi Matrix data shows that Pineview and The Meadows were previously owned by the Affordable Housing Development Corporation (AHDC). Mountain View and Alderwood were owned by the non-profit Central Valley Coalition for Affordable Housing in addition to AHDC, while Maplewood was held by private owner Donald Gormly Jr.
Affordable housing a hot property in CA
Jeff Kunitz, executive vice president of CBRE Affordable Housing, arranged the transaction on behalf of the seller. “This sale continues to demonstrate the appeal of California for affordable housing buyers,” Kunitz commented in a prepared statement. “The area continues to offer attractive investment opportunities for those looking to expand their affordable housing portfolios.”
The availability of affordable housing in California has become a major point of contention as the state suffers from a worsening housing shortage. In January, California’s leaders filed an unusual lawsuit against the city of Huntingon Beach, accusing it of blocking a plan for the development of affordable units and defying state housing law.