Northmarq secures $8.8M construction loan for 40-unit affordable housing project in Los Angeles

LOS ANGELES (Aug. 19, 2024) — Juda Penini, vice president of Northmarq’s Los Angeles Debt + Equity team, successfully arranged the new construction financing for a 100% mission-driven property in Los Angeles. The project, entitled under the new Los Angeles ED1 measure, will feature 40 affordable units upon completion.

Northmarq arranged the loan on behalf of the borrower through a correspondent relationship with a mission-driven lender. The transaction was structured on a 5-year term with a 35-year amortization schedule at 87% LTC/63% LTV.

“We are pleased to announce that we have secured construction-to-perm financing for a 40-unit affordable housing project located in Los Angeles, Calif. This project will provide quality housing, strengthen the community, and address the housing needs of underserved, low-income households in Southern California,” said Penini. “We were able to structure attractive pricing and leverage, along with a non-recourse guaranty for the borrower.”

*Rendering with AI modifications is intended for illustrative purposes only. Image may not fully reflect the property's location or final design.