Simpson Opens Three Multifamily Projects

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LONG BEACH, CA-Simpson Housing Solutions has scheduled the opening of its Lofts at the Security Building in Downtown L.A. for tomorrow, days after the company unveiled a new apartment complex in Barstow and a new senior housing facility in Dixon. The three rental projects total 214 units.

The Lofts at the Security Building, in Downtown L.A.’s historic Old Bank District, is a 153-loft development in a 12-story former bank building at 510 S. Spring St. The Barstow project is the 80-unit Riverview Apartments at 200 N. Yucca Ave., and the Dixon development is at 211 E. Second St.

The Security Building lofts range from 509 sf to 2,006 sf at rents ranging from $1,221 to $4,200. The loft development features a mix of ground floor retail businesses and is next door to the Los Angeles Theatre Co. playhouse, with resident parking in an adjacent structure included in the rent.

The Lofts at the Security Building represents the first large-scale urban infill redevelopment undertaken by Simpson, which has set aside 20% of the units for moderate-income residents meeting L.A. County median household income guidelines.

The project qualified for $13.5 million in tax-exempt bond financing and $4.54 million in taxable bonds issued by the Los Angeles Community Redevelopment Agency, as well as $4 million in “Downtown Rebound” funding from the California State Department of Housing and Community Development. East-West Bank provided construction financing, with ARCS, a Fannie Mae-certified DUS lender, providing credit enhancement for the tax-exempt bond permanent loan.

The Riverview complex in Barstow is a 100% affordable project that was developed by a partnership between Simpson and nonprofit LINC Housing. The complex features units of two to four bedrooms that range from 908 sf to 1,217 sf and are set aside for families earning from 30% to 60% of the area median income for San Bernardino County. Rents will range from $329 to $825 per month, depending on household income.

The $14.7-million Riverview development is composed of 10 two-story garden-style buildings surrounded by covered parking and was financed through a combination of low-income housing tax credit equity, conventional financing and a deferred developer note with the city. Michael Costa, president of Simpson Housing Solutions, notes that the new units will address a huge need for affordable housing in the area. He cites figures showing that more than 25% of households in the market area are paying more than 40% of their monthly income toward rent.

The Dixon development is called Second Street Senior Apartments and is also a 100% affordable project. Simpson developed it in partnership with the nonprofit Foundation for Affordable Housing II Inc.

The complex features units of one and two bedrooms that range from 535 sf to 705 sf, all of them set aside for seniors age 55 and older earning from 50% to 60% of the area median income for Solano County. Rents will range from $692 to $981 per month.

The $12-million development was financed through a combination of low-income housing tax credit equity and a loan from the City of Dixon Redevelopment Agency. The complex is composed of six two-story California contemporary buildings surrounding the recreation/office building.