JV Acquires First US ‘Foldcrete’ Community
- Jun 08, 2015
Oakland, Calif.—WNC, through its subsidiary Community Preservation Partners LLC, and Related Affordable LLC, have acquired Northgate Terrace, a 201-unit affordable senior housing property at 550 24th St. in Oakland, Calif. The joint venture partners paid $27.5 million, and will undertake a complete renovation of the property, which was originally developed in 1969 with a HUD 202 loan.
The project is expected to cost about $47 million, including acquisition and renovation. Operating as Northgate Terrace Community Partners LP, the JV between Community Preservation Partners and Related Affordable will provide about $10.5 million in financing to help rehabilitate the property.
WNC will provide more than $15 million in additional equity via low-income housing tax credits. The remaining costs will be funded with a permanent loan from Citibank.
The renovation of the 11-story high rise will include a new façade, seismic upgrades, various plumbing improvements and a new community room, medical exam space, computer area and gym. There will also be upgrades to the building’s elevators. Other amenities to be enhanced are the kitchen, controlled access systems, group lounges, and television and library room. The property’s 180 studio units and 21 one-bedroom units will all receive new appliances, lighting, fixtures, cabinets and countertops.
The building was originally constructed using a process called “foldcrete,” in which precast concrete slabs and walls are folded like origami to create room blocks. It’s believed to be the only structure of this style in the country, which was patented by Delp W. Johnson of San Francisco, and William C. Harr.