Standard Communities has picked up six affordable housing complexes with 407 units across Los Angeles County for $106.4 million.
The Los Angeles- and New York-based affordable housing investor bought the 370,000-square-feet of apartments in L.A.’s West Adams Heights, Monterey Hills, North Hills, Reseda and in the city of San Dimas, the Commercial Observer reported.
The seller was Culver City-based Goldrich Kest. The price works out to $261,400 per unit, or $288 per square foot. All the apartments qualify for Section 8 housing vouchers, a federal government program.
Standard has teamed up with San Diego-based nonprofit Pacific Southwest Development to run the five affordable senior complexes and one affordable housing complex.
Its new portfolio includes Oxford Park, a 109-unit senior complex at 1920 South Oxford Avenue in West Adam Heights; Rayen Park, an 84-unit senior complex at 15233 Rayen Street and Columbus Terrace, a 42-unit complex at 8533 Columbus Avenue, both in North Hills; Sherman Arms, a 74-unit senior complex at 17760 Sherman Way in Reseda; and Villa Marisol, a 48-unit senior complex at 5301 Via Marisol in Monterey Hills.
It also includes Villa San Dimas, a 50-unit senior complex at 249 South Acacia Street in San Dimas.
Standard plans to renovate the six properties, built between 1969 and 1980, at a cost of $8 million, according to the company. It also plans to extend the affordability of the properties by 20 years via new Housing Assistance Payment contracts from the U.S. Department of Housing & Urban Development.
Brokers Dean Zander, Stew Weston, Tim Flint and James Flinn of CBRE brokered the deal.
“The high demand for affordable rental housing in Los Angeles has created enormous investor interest in this specific product,” Zander said in a statement. “Occupancy rates are near historical highs with little sign of easing in the future due to the lack of new product in the pipeline.”
Standard, founded in 2008 by Jeffrey Jaeger and Scott Alter, is among the largest owners of affordable housing in the U.S., with 19,000 units across 16 states and Washington, D.C., according to the firm. It has racked up more than $4 billion in affordable and workforce housing developments, purchases and makeovers.
In a not-so-affordable investment, Standard bought a 244-unit luxury apartment complex last year in South Gate for $130 million. In 2021, it teamed up with West Hollywood-based Faring with plans to build 4,000 middle-income housing units across the state, valued at $2 billion.
— Dana Bartholomew
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