#21-001
RENAISSANCE AT CITY CENTER LUXURY APARTMENT COMPLEX IN CARSON BECOMES 150 UNITS OF ‘WORKFORCE HOUSING’
Carson, CA – A $78 million deal closed in December by the California Statewide Communities Development Authority (“CSCDA”) will turn Carson’s first downtown luxury apartment complex into 150-units of middle-income affordable housing or “workforce housing”. The term “workforce housing” indicates a program targeted at households that earn too much to qualify for traditional affordable housing projects, which are targeted at low-income households. These are households with incomes between 80% and 120% of the area median income for the metropolitan area (AMI).
The CSCDA is a statewide joint powers authority with over 500 governmental bodies in California as members, including the City of Carson. It created an affiliate authority to be able to acquire these types of projects and commit, through a regulatory agreement, to support, preserve, and provide low-, median-, and moderate-income rental housing. The Renaissance in Carson is the first property in Southern California to be acquired under this program.
Standard Communities, which has almost 10,000 affordable housing units in its real estate portfolio, worked with CSCDA to put together the financing structure for the project and serves as the asset manager for the property on the authority’s behalf.
No existing tenants would be displaced under the program, and existing tenants are allowed to be “over income,” or could eventually see their own rents decrease if they fall into one of the qualified income categories. Additionally, annual rent increases would be capped at no more than 4%, which is less than the rent limits under AB1482, the recently adopted State tenant protection legislation.
The Renaissance is already fully occupied so most of the change will occur as leases turn over. Their website is www.renaissanceatcitycenter.com.
Carson is undergoing a residential development boom, with numerous housing developments under construction in the city right now, including the 357-unit Union South Bay at Carson Street and Avalon and the 300-unit Evolve project at Del Amo and Main Street. However, many middle income residents of the community cannot afford the upscale housing units being built and will be eventually priced out of the rental market. This financial structure ensures that some of the middle income individuals have a place to live in Carson.
The City Council was pleased to become a member of the joint powers authority in October, 2020, which allowed this transaction to go forward. Council members pointed out that over the past several years the City and its Housing Authority have facilitated the development of 160 new low-income units in the city for seniors (Bella Vita), veterans (Veterans Village) and artists (Carson Arts Colony), all of which are at capacity because of the high demand, but there had not previously been an opportunity to address the middle-income households.
“The Renaissance was built as a luxury apartment property. It offers high-quality amenities, architectural details, landscaping, and services that will address the needs of our middle income residents at an affordable price. The City of Carson is proud to be the first Southern California member of the CSCDA to have a property in its city qualify under this program and have the ability to offer it to our residents who need a place to live especially during this pandemic,” said Mayor Lula Davis-Holmes.
In addition, as a response to the COVID-19 pandemic, the City through its CARES Act funding has created an Emergency Rental Assistance Grant program for income-eligible individuals and families residing in Carson and at 80% of AMI or below ($90,100 for a family of 4) and economically impacted during the COVID-19 pandemic through job loss, furloughs or deduction in hours or pay. Rental Emergency grants of up to a maximum of $10,000 are made on behalf of the income-eligible applicant, to maintain housing and/or to reduce rental payments in arrears as a result of the economic downturn during the COVID-19 pandemic. For more information go to:
Emergency Rental Assistance Fact Sheet
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