Nonprofit pays $35.2M for Azusa apartment complex
Joint venture to fund acquisition and upgrade with $37.4M in financing
A joint venture between housing nonprofit Bold Communities and residential developer California Landmark Group has acquired the Alosta Gardens, a 61-unit apartment complex in Azusa.
The partnership paid $35.2 million for the 58,000-square-foot property, according to a deed filed in Los Angeles County. The property, 745 East 5th Street which sits just a few blocks from Azusa Pacific University, is a two-story building with a single one-bedroom apartment, 38 two-bedroom units and 22 three-bedroom units.
The price works out to about $577,000 per unit.
The seller is a partnership that includes Southern California-based housing nonprofit AOF/Pacific Affordable Housing. The partnership bought the housing complex for $8.3 million in 2012, records show.
Bold and California Landmark are funding the acquisition with two notes totaling $37.4 million. The lender is the California Municipal Finance Authority.
In November, Bold Communities requested $2.5 million in annual federal tax credits and $7.4 million in state tax credits to finance the acquisition and rehabilitation of the property, according to documents from the California Tax Credit Allocation Committee. The financing will go towards preserving affordability for 60 units in the property for an additional 55 years. The proposed rental rates for the property, which is meant to be affordable to residents earning 30 to 60 percent of the area median income, will range from $665 to $1,844.
California Landmark Group recently expanded its plans for a residential complex near Sunset Gower Studios in Hollywood. The property, at 1201 N. Gower Street, is the proposed site of a 108-unit apartment complex on top of a two-story garage. The firm also recently sold 710 N. El Centro Avenue, an 84-unit apartment complex in Hollywood, for $46.5 million.