The Real Deal Los Angeles

Soon-to-be Witkoff-owned project will add to SaMo’s affordable housing supply

64-unit complex is SaMo's biggest affordable project in 3 years
May 04, 2017 04:30PM

Rendering of project at 1626 Lincoln (Credit: Community Corporation of Santa Monica via Curbed)

A fully affordable apartment complex is underway in Santa Monica, the biggest project of its kind in three years.

The five-story, 64-unit complex, which broke ground last week, is being developed and financed by KRE Capital in an agreement with the city. As part of the deal, the city approved its 249-unit market-rate project nearby at 500 Broadway. New York developer Steven Witkoff is in talks to acquire both complexes, The Real Deal reported in March.

The “Arroyo” affordable apartments will span 55,700 square feet and contain one-bedroom, two-bedrooms, and three-bedroom units. The Community Corporation of Santa Monica will manage the complex.

KRE will bankroll the $44 million project, Santa Monica Lookout reported, with the help of a construction loan and low-income housing tax credits.

Construction is slated to be complete within 18 months.

Over on Fifth Street and Broadway, the larger market-rate project calls for about 68,000 square feet of retail and a public plaza. It will be a block away from the downtown Santa Monica Expo Line Station.

Last year, only 34 units that came on the market in Santa Monica were designated as affordable. [Santa Monica Lookout] — Cathaleen Chen