Arctaris Impact Investors, Housing Diversity Corp., and United Way of Greater Los Angeles form a new partnership to deliver accessible housing tailored to residents’ needs
LOS ANGELES, March 05, 2024–(BUSINESS WIRE)–Arctaris Impact Investors, LLC, a Boston based impact investment firm that supports revitalization projects in underserved communities, announces a lead equity investment in Liv DTLA, a $67 million market-rate affordable housing development in the South Park neighborhood of Los Angeles. The transaction marks Arctaris Impact’s first Opportunity Zone investment in Los Angeles and, together with its partners, is an effort to address downtown residents’ critical need for affordable housing.
The all-studio housing project, located at 1411 S. Flower Street, is being developed by Housing Diversity Corp., a Seattle-based large-scale multifamily real estate manager. Construction is 85% complete and is expected to consist of 227 units over 8-stories, of which 40% are reserved for extremely low-income and voucher-subsidized households, furthering the partnership’s commitment to accessible housing. The building’s amenities include a courtyard, a rooftop deck boasting panoramic views of Los Angeles, and ample bicycle storage for up to 149 bikes, all designed to enhance the residents’ quality of life.
Funding for the project includes Arctaris Impact’s $13.6 million equity investment, a $34.9 million loan facilitated by the United Way of Greater Los Angeles’ Affordable Housing Initiative, and $18.1 million of equity previously raised through the crowdsourcing real estate platform CrowdStreet and other impact-oriented high-net-worth individuals.
Arctaris and Housing Diversity Corp. share a vision for developing housing units that are both environmentally sustainable and tailored to residents’ needs.
“This investment is about providing stability and a brighter future for downtown LA residents. The Liv DTLA property is more than bricks and mortar; it’s offering hope, dignity, and security for those priced out of the American dream,” said Jonathan Tower, Founder and Managing Partner of Arctaris. “Arctaris is committed to creating positive, sustainable change in underserved communities, and this investment is a powerful step forward for the residents of Downtown LA.”
“Arctaris is proud to have partnered with Housing Diversity Corp. and United Way of Greater Los Angeles to finance a mixed income housing project with such a strong affordability component,” said Nihar Sait, Managing Director and Head of Real Estate Investments at Arctaris. “The investment is an example of Arctaris Impact’s ability to forge meaningful public private partnerships and one we hope will serve as a template to direct needed capital toward critical community infrastructure projects.”
“These partnerships reflect and reinforce our mission to create healthy, diverse neighborhoods through housing that contributes to the greater good. They provide a stable financial foundation for Liv DTLA and add to HDC’s substantial strategic partnerships designed to address the challenges of housing scarcity for low-to-moderate income households on the West Coast,” said Brad Padden, Housing Diversity Corp. Founder and CEO. “This means more housing, and more accessible housing, for people living and working in DTLA.”
Additional partners include architect Simon Ha of Steinberg Hart and general contractor Craig Haveson of STS Construction.
Arctaris remains steadfast in its commitment to catalyzing positive change through impactful investments.
For more information on Arctaris and its initiatives, please visit www.Arctaris.com.
About Arctaris Impact Investors, LLC
Arctaris Impact Investors, LLC is a Boston-based impact investment firm with experience spanning more than 14 years.. The firm manages funds which invest in growth-oriented operating businesses and community infrastructure projects located in underserved communities. Founded in 2009, Arctaris has partnered with the Kresge Foundation, Harvard Business School Professor Michael Porter’s Initiative for a Competitive Inner City, and multiple other foundation, federal and state government agencies to invest in Opportunity Zones, inner cities and targeted rural communities throughout the U.S., with the aim of delivering above-market investment returns alongside positive social impact. For more information visit https://arctaris.com or for press inquiries contact Lily@arctaris.com.
About Housing Diversity Corporation
Housing Diversity Corporation is a leading Multifamily Real Estate and Qualified Opportunity Fund manager. HDC’s principal Brad Padden has sponsored 23 real estate development projects over his development career, accounting for the production of 2,800 new multifamily apartments in the Pacific Northwest and Southern California.
About United Way of Greater Los Angeles
United Way of Greater Los Angeles is one of LA’s most trusted nonprofits, mobilizing neighbors and investments to support each other in a crisis and build a future where everyone shares in our region’s wealth and prosperity.
About STS Construction Services
STS Construction Services is a highly regarded general contractor with over two decades of experience in commercial and residential construction in Seattle and Los Angeles. Craig Haveson, the founder and president of STS, has refined STS into an organization capable of actualizing projects of all shapes and sizes, and bringing owners’ dreams to life.
Legal Disclaimer Certain information contained in this press release constitutes forward-looking statements. These statements reflect prevailing conditions and our best business judgment as of the date of issuance. As a result, actual results may vary from the projections and it should not be relied upon as investment advice.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240305198458/en/
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New Delhi: India’s seven major cities witnessed an annual 8 per cent rise in the completion of housing units last year at 4.35 lakh units as developers’ cash flows improved on better sales, according to Anarock.
Real estate consultant showed that 4,35,045 units were completed during last year, as against 4.02 lakh units in the previous year. The data pertains to the primary (first sale) residential market. In Mumbai Metropolitan Region (MMR), 1,43,500 housing units were completed last year, up 13 per cent from 1,26,720 units in the previous year. The completion of housing units in Delhi-NCR rose 32 per cent to 1,14,280 units, as against 86,300 units in 2022.
“The Indian residential sector is unlikely to forget 2023, which was nothing less than phenomenal at every level. Housing sales breached the previous peak levels of 2022 and remain robust in 2024. These sales statistics – along with RERA-related commitments – have encouraged developers to stay focused on completing existing inventory,” Anarock Chairman Anuj Puri said.
With housing demand remaining high, he said developers are prioritising project completions. “Moreover, many large developers have also taken over the task of bringing many stuck or completely stalled projects by other players to completion,” Puri said, while listing out the reasons for higher execution levels.
Among other cities, the completion of homes in Pune declined 23 per cent to 65,000 units in 2023, from 84,200 units in 2022. Bengaluru, Hyderabad, and Chennai collectively saw 87,190 units completed in 2023, as against 81,580 units in 2022. In Kolkata, 25,075 units were completed in 2023, as against 23,190 units in 2022.
Proptech firm Reloy Founder and CEO Akhil Saraf said the housing market is gradually becoming more organised after the passage of realty law RERA. Real estate developers are focusing a lot on customer relationship management (CRM) and project executions, said Saraf, whose firm helps builders in generating referral sales.
Anarock also highlighted that the completion of units was the highest since 2017. As many as 2,04,200 units were completed in 2017, 2,46,140 units in 2018, 2,98,450 units in 2019, 2,14,370 units in 2020, 2,78,650 units in 2021. Record sales of residential properties in 2023 is one of the major factors for better execution of projects. As per the data, housing sales rose 31 per cent last year to nearly 4.77 lakh units across these seven cities, despite rise in prices by an average 15 per cent, and higher mortgage rates.
COQUITLAM, BC, Feb. 9, 2024 /CNW/ – With federal funding and federal leadership, we are changing how cities let housing get built in their municipalities. With a greater focus on higher density housing, student housing, homes near transit and affordable housing we are going to get more homes built for Canadians at prices they can afford.
Today, the Government of Canada and the City of Coquitlam announced that they reached an agreement to fast track over 650 housing units over the next three years. This work will help spur the construction of more than 2,800 homes over the next decade.
The agreement, under the Housing Accelerator Fund (HAF) will provide over $25 million to eliminate barriers to building the housing we need, faster. Coquitlam’s Action Plan commits to seven local initiatives that enable a variety of housing forms and densities to meet the diverse needs of the community. The funding will support innovative initiatives to streamline redevelopment of underused sites along key growth corridors, incentivize purpose-built and affordable rental housing, and reduce parking requirements city-wide. Initiatives also include delegating the approval of minor development variance permits to staff, strengthening partnerships with non-profits to expedite affordable housing, expanding digital permitting to improve processing times, and updating design guidelines to reduce time spent on design review.
HAF is helping cut red tape and fast track at least 100,000 permitted new homes over the first three years, which cities and regions estimate will lead to the creation of almost 550,000 permitted new homes for people in towns, cities, and Indigenous communities across Canada over the next decade. It asks for innovative action plans from local governments, and once approved, provides upfront funding to ensure the timely building of new homes, as well as additional funds upon delivering results. Local governments are encouraged to think big and be bold in their approaches, which could include accelerating project timelines, allowing increased housing density, and encouraging affordable housing units.
The Government of Canada is making life more affordable for Canadians – and housing is key to our work. We will continue to work with provincial, territorial, and municipal governments, as well as Indigenous partners, to keep building more homes for Canadians, faster.
Quotes:
“We are excited and proud to announce this partnership with Coquitlam today. By streamlining the redevelopment of underused sites, incentivizing purpose-built and affordable housing and reducing time spent on design review by updating design guidelines, the City will ensure that Coquitlam has more of the kind of homes we need to tackle the housing crisis. We will continue working with cities, mayors, and all levels of government, to get more homes built for Canadians at prices they can afford.”– The Honourable Sean Fraser, Minister of Housing, Infrastructure and Communities
“Our government knows the importance of safe, affordable, and accessible housing. It is a catalyst that allows Canadians to pursue education, jobs, and opportunity. When housing is in short supply, Canada’s whole economy suffers. With today’s announcement, we are eliminating barriers, investing in the economy, and supporting Canada’s middle class.” – Ron McKinnon, Member of Parliament for Coquitlam–Port Coquitlam
“Housing is the foundation upon which individuals and families build their lives. This $25 million federal investment in Coquitlam supports our efforts to meet the diverse housing needs of our community, while also supporting a suite of initiatives aimed at enhancing our community’s growth.” – Richard Stewart, Mayor for the City of Coquitlam
Quick Facts:
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Today’s announcement was made by Ron McKinnon, Member of Parliament for Coquitlam–Port Coquitlam, — on behalf of the Honourable Sean Fraser, Minister of Housing, Infrastructure and Communities, — and Richard Stewart, Mayor for the City of Coquitlam.
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Launched in March 2023, the Housing Accelerator Fund (HAF) is a $4 billion initiative from the Government of Canada that will run until 2026-27.
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The Housing Accelerator Fund is part of Canada’s National Housing Strategy (NHS), an $82+ billion plan to give more Canadians a place to call home. Progress on programs and initiatives are updated quarterly at www.placetocallhome.ca. The Housing Funding Initiatives Map shows affordable housing projects that have been developed.
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As of September 30, 2023, the Government of Canada has committed over $38.89 billion to support the creation of almost 152,000 units and the repair of over 241,000 units. These measures prioritize those in greatest need, including seniors, Indigenous Peoples, people experiencing or at risk of homelessness, and women and children fleeing violence.
Associated Links:
SOURCE Government of Canada
View original content to download multimedia: http://www.newswire.ca/en/releases/archive/February2024/09/c2873.html
Lunenburg’s town council will gather more details on what a major new development could mean for local taxes before starting the process to sell public land for the new neighbourhood.
People packed the gallery of the Town of Lunenburg’s council meeting Tuesday evening where Blockhouse Hill was on the agenda.
Consultants MacKay-Lyons Sweetapple Architects presented three options of what a new neighbourhood could look like on the back slope of Blockhouse hill, and a fourth option to leave it as a park.
Resident Heather Langille was among the six residents who raised concerns about the plan and called for councillors to consider more information before moving ahead.
“It should stay in public hands and it should not be sold for private interests,” Langille said after the meeting.
The development options have a mix of semi-detached duplexes, townhomes and secondary suites in a stepped design down the slope to the Back Harbour. New roads and pedestrian-only green streets are also included, and all options would not touch the existing RV campground and Sylvia Park.
The number of possible housing units range from none, if the land remains as is, to the highest-density option of 368 units.
Municipal staff said during the meeting that selling the land, and adding new taxpayers to the town, will help with Lunenburg’s aging infrastructure and housing crunch. A recent town report said it will cost about $46 million to fix 10 buildings in need of maintenance.
A housing assessment for Lunenburg states the town of 2,300 people needs 120 new housing units by 2027, and 170 by 2032 to accommodate its growing population.
But Langille said there are other areas of town “much more suitable” for housing. A petition from more than 700 local residents has asked to pause the project.
Council, based on a suggestion from Mayor Jamie Myra, voted to delay voting on declaring the land surplus — which would allow it to eventually sell the land for development — until March to hear back from staff on the taxes implications.
“We need to have some idea of those costs going forward to make educated decisions … that are better for the residents of our community and I think that’s really important,” Myra said after the meeting.
There will be another public hearing before any final decision is made.
Councillors also directed the consultants to draft development rules for the highest-density option — 368 units with about 36 per cent of the site as park space — which would set out detailed requirements attached to land even after it changes hands.
Consultants have estimated that option would cost about $182 million in construction, labour and water and wastewater upgrades for whoever develops the land.
Coun. Peter Mosher said he’d like to have rules for the “full plan” that could always be scaled down, or built in phases over the coming decades.
Staff had suggested drafting rules for the second-densest option (256 units) which was also the top choice for most people surveyed during the consultant’s workshops.
The Friends of Blockhouse Hill advocacy group raised concerns during the meeting, and in a letter to council, about development’s impact on the town’s UNESCO World Heritage designation. They have also taken issue with how only 10 per cent of the homes would be designated as affordable.
Julian Smith is an expert heritage planner on the consultant’s team who co-authored UNESCO’s recommendation on the historic urban landscape. He told the meeting all the development options in the buffer zone around Old Town Lunenburg are not highrise or industrial, so they would not hurt its designation.
In fact, Smith said a past chair of UNESCO’s World Heritage Committee told him buffer development that helps the Old Town survive as a “healthy community” where locals can afford to live would benefit both Lunenburg and be an inspiration to sites around the world.
Concerns about tourism pressure
Smith said Venice’s UNESCO designation, for instance, was put in danger this summer because tourism pressures have pushed affordable housing, and the ability for people to live normal lives, out of the historic city.
“Lunenburg is already feeling the effects of global tourism but those will only increase with time, and that’s a very serious threat to the integrity of world heritage sites,” Smith said.
But resident and Friends of Blockhouse Hill member, Alison Strachan, said Lunenburg’s tourism is seasonal and housing shortages could be reduced by cracking down short-term rentals.
She said town council could possibly look at Halifax’s rules requiring that rentals are owner-occupied in most residential zones.
Strachan also said consultation with the Mi’kmaw community is needed, as well as more research into the Indigenous history around the hill which has been largely unexplored.
“We should be the leaders in reconciliation. We are a colonized town — at their detriment,” Strachan said.
Myra said he would like the issue to go to a plebiscite in the upcoming October municipal elections.