Standard Communities has again teamed up with California Statewide Communities Development Authority to buy a market-rate rental complex. And as with the two previous deals, this property will be converted into middle-income housing.
In the latest purchase, the partnership paid $220 million for the 357-unit Union South Bay in Carson.
The CSCDA — a joint powers authority — provided $215.7 million in tax-exempt bonds for the purchase at 615 E. Carson St. The complex includes 28,000 square feet of retail space, a fitness center, pool and bar.
Standard co-founder Jeffrey Jaeger said the firm is looking to “play a growing role” in developing middle-income housing. The previous two acquisitions were similarly structured. Last month, Standard teamed up with CSCDA to pay $100 million for a 143-unit complex at 3909 San Fernando Road in Glendale. And in December, the two joined on another Carson complex, paying $78 million for a 150-unit development.
For the Union South Bay complex, Standard will price the units between 80 and 120 percent of area median income. In 2018, the median household income in Carson was $78,187, according to U.S. Census Bureau data.
Standard agreed to a similar measure in the December acquisition, and capped rent increases at 4 percent annually in that deal.
Over the last year, CSCDA has acquired 10 market-rate multifamily properties across the Los Angeles area in partnerships with Standard, Waterford Property Company and Opportunity Housing Group. Rent prices take effect immediately for incoming residents.