USA Properties sells Harvest at Fiddyment Ranch in Roseville

Opened less than a year ago, Harvest at Fiddyment Ranch in Roseville has fulfilled one prediction made when it went up for sale: a triple-digit sales price.

The 300-unit apartment property developed by USA Properties Fund Inc. sold for $111.34 million earlier this month to Bridge Partners, out of Walnut Creek.

A message left with Bridge Partners wasn’t returned, while USA Properties Fund President Geoff Brown said it was a property to be proud of.

“We developed a high-end, quality apartment community with a long list of amenities in an excellent location in one of the fastest-growing cities in the state, and that helped drive the incredible interest,” Brown said in an email. “We’re extremely proud of what we accomplished with Harvest at Fiddyment Ranch, and the sale will help fund our future apartment communities.”

On a per-unit basis, Harvest at Fiddyment Ranch sold for about $371,000, likely among the highest on that basis this year so far. Occupancy at the time of sale wasn’t available, but was at 96% when the property hit the market in February.

Units at Harvest at Fiddyment Ranch range from one to three bedrooms and 771 to 1,258 square feet. Amenities include quartz countertops and laundry appliances in every unit, a heated pool/spa, a fitness center and outdoor gas grills.

CBRE Capital Markets and CBRE Sacramento Multifamily brokered the deal. The same brokerage has listed two other large, suburban apartment properties in recent weeks: 260-unit Garnet Creek in Rocklin and 410-unit Autumn Ridge in Citrus Heights.

A representative of CBRE was unavailable to discuss the new listings further. But in a news release, the brokerage stated it believed both properties would each sell for $100 million or more.

Garnet Creek, by Cresleigh Homes, is the newer of the two, built in 2018. Autumn Ridge is owned by Oakmont Properties and was built in 1986. Leasing is at 99% and 96%, respectively. Records don’t show any sale for Garnet Creek since it was built, while Autumn Ridge last sold in 2012 for an undisclosed price.

Research firm Yardi Matrix’s May report on multifamily rents offers evidence of why such properties are commanding high prices. According to the report, the Sacramento region saw a 8.3% gain in rents over the last year, the third highest of any region in the U.S.

In particular, rents at “lifestyle” properties — usually newer properties where residents rent by choice — rose by about 12% locally over the last year. The lifestyle description would apply to both Harvest at Fiddyment Ranch and Garnet Creek.

Lifestyle apartment properties have gotten a new boost of attention over the last year from Bay Area residents, working remotely because of the Covid-19 pandemic. In some cases, the cheaper rents in the Sacramento region have compelled a move even as they’re uncertain about putting down money for a single-family home in a highly competitive local real estate market.

(This post first appeared in the Sacramento Business Journal on June 15, 2021. The story appears as published on the Business Journal website.)

USA Properties ranks among nation’s leading affordable housing companies

USA Properties Fund is one of the nation’s largest affordable housing owners in the nation, and was among the leading developers in 2020, according to a just-released report by Affordable Housing Finance.

The company ranked No. 41 on Affordable Housing Finance’s closely watched Affordable Housing Owners list, with 10,735 affordable units at 84 communities in California and Nevada.

USA Properties, which is celebrating its 40th anniversary this year, has been aggressively building affordable housing for decades – and has increased production in recent years.

The Roseville-based company ranked No. 13 on the Affordable Housing Finance Developers list with 983 affordable housing units in the works as of Jan. 1, 2021 – only about 150 shy from landing in the top 10.

AHF50 AwardsLogo 2021 | USA Properties Fund, Inc.

USA Properties expanded into market-rate apartment communities several years ago, and has developments in the Bay Area, the Sacramento region and Southern California. “We remain as committed as ever to building affordable apartment communities that provide much-needed housing for low-income residents and investing in neighborhoods and communities,” said Geoff Brown, President of USA Properties. “We’re very proud of our accomplishments and being recognized on the Affordable Housing Finance lists that highlight our ongoing efforts and hard work to provide quality housing.”

USA Properties starts construction on Terracina at Lancaster, an affordable apartment community

264-apartment development will offer one- to four-bedroom units and a large community space with a pool, sports court, tot lot, and barbecue and picnic area

LANCASTER, Calif. – USA Properties Fund has started construction on Terracina at Lancaster, bringing more greatly needed affordable housing to the fast-growing city in northern Los Angeles County.

The 264-apartment community, located at 1752 E Avenue J4 just west of the Antelope Valley Freeway, will offer affordable housing with a long list of amenities – including a large community space – for residents that meet income requirements.

Terracina at Lancaster is close to health care providers, shopping centers, restaurants and several public schools. Terracina at Lancaster is also less than a mile from Avenida Crossing, another affordable apartment community owned and managed by USA Properties in Lancaster.

“We’re strongly committed to building quality communities that help meet the incredible need for affordable housing – and housing overall – while also improving neighborhoods and investing in the region,” said Geoff Brown, President of USA Properties Fund in Roseville. “We’ve enjoyed providing affordable housing to residents at Avenida Crossing, and we’re looking forward to the same experience with Terracina at Lancaster.”

Community should be completed in late 2023

Construction on the $81 million development started in mid-May. JPMorgan Chase and WNC are investment partners. Terracina at Lancaster, which will offer one- to four-bedroom homes, is scheduled to be completed in late 2023.

Terracina at Lancaster is the fourth apartment community under construction by USA Properties in Southern California, joining affordable housing developments in Panorama City and Simi Valley. The 40-year-old company, one of the largest affordable apartment community developers in the West, also has a market-rate project in the works in Simi Valley.

The four apartment communities will have a combined 814 units and a total cost of about $275 million.

Apartments for low-income residents

Fast-rising rents in recent years have greatly increased the need for more affordable housing in California. Terracina at Lancaster will offer rents about 35% less than nearby market-rate communities in Lancaster, according to RENTCafe.

Renters earning 50% to 60% of the area median income for Los Angeles County are eligible for Terracina at Lancaster. For example, a family of four with household income of less than $71,000 would qualify under the 60% area median income.

Estimated rents will range from $1,108 to $1,330 for a one-bedroom apartment, to $1,715 to $2,058 for a four-bedroom home.

Terracina at Lancaster will have 11, three-story buildings that surround a community space with play and recreation areas. 

Apartments will include energy-efficient appliances and light fixtures, ceiling fans and low-flow faucets, showers and toilets. Ground-floor apartments will have a patio, with a balcony for those on the second- and third-floor units.

Residents will also enjoy a long list of community amenities, including a pool, picnic and barbecue areas with shade structures, a tot-lot play area and a sports court for basketball, four-square, hopscotch and tetherball. Walking paths with benches along the way are part of the 11-acre community.

“It’s really designed around a huge community space,” said Leatha Clark, project manager for USA Properties. “We’re building a very family-friendly community.”

A community room with a hospitality kitchen, a computer area, fitness room and on-site laundry facilities are other features of Terracina at Lancaster.

The apartment community will include an after-school resources room, a flexible space where children can do homework or residents can enjoy hobbies or learn new skills.

LifeSTEPS program available, including college and youth sports scholarships

Social-services provide LifeSTEPS will have a counselor and resources available for residents at Terracina at Lancaster. Residents will also have access to The JB Brown Fund, an effort between USA Properties and LifeSTEPS that provides college and youth sports scholarships and financial assistance to residents for unexpected emergencies.

“We build communities that are so much more than just the buildings,” Brown said. “We connect residents with each other, we help families achieve their dreams and reach goals. We help residents build a better, more stable future.”

And a more sustainable one. USA Properties, a Build It Green builder, will have a long list of energy-efficient and sustainability features at Terracina at Lancaster, including a solar-panel system, recycled material insulation, mechanical ventilation for improved air quality, and water-efficient landscaping and irrigation system.

“We’re always looking at how we can get better,” Brown said. “from our construction practices to improving the lives of residents.”

USA Properties’ project in Santa Clara part of Google’s $1 billion pledge for more housing

Tech giant is funding 3 affordable housing projects in the Bay Area

(The following story appeared March 4 in the San Francisco Chronicle. The story appears as it did online.)

By Roland Li

Google and its nonprofit partner Housing Trust Silicon Valley have loaned $30 million to three Bay Area affordable housing projects. The commitment, announced Thursday, is part of the tech giant’s $1 billion funding plan to support local housing, which started in 2019.

The projects include Bridge Housing’s Hope SF development in Potrero Hill, Eden Housing’s La Avenida in Mountain View, and USA Properties Fund and the Pinyon Group’s Tasman East in Santa Clara.

Google, Apple and Facebook pledged billions in 2019 to help bolster housing after rents and for-sale prices soared in the past decade, making it harder for even well-paid tech employees to find homes. The coronavirus pandemic has cooled the rental market, but weakness in the job market has made housing an ongoing burden for many. Market-rate housing development is expected to slow in the Bay Area, reducing the fees that help support affordable housing projects.

“Affordable housing is needed now more than ever given the devastating impact of COVID-19 on our communities,” Rebecca Prozan, Google’s West Coast policy lead, said in a statement. “We continue to be as focused as ever on helping the Bay Area build more affordable homes in this time of need.”

The Potrero Hill project includes around 619 replacement units of public housing, which existing residents will move into, along with around 1,000 new affordable and market-rate units. The project was approved in 2017 and the first new building opened in 2019.

Cynthia Parker, CEO of Bridge Housing, said Google’s loan will help speed up development at the project.

“This means more than 800 affordable homes plus a range of housing, amenities and open space that will lift up the entire community,” she said in a statement.

La Avenida includes around 100 affordable housing units, with a third reserved for the homeless. The project at 1100 La Avenida St. has a budget of around $78 million, according to a 2020 city report. It’s 1 ½ miles from Google’s headquarters.

The Tasman East project at 2310 Calle Del Mundo calls for up to 150 housing units.

“This project will be one of the most well-located transit-oriented developments in Silicon Valley and will bring much needed affordable housing at a broad range of incomes near new and existing employment hubs,” Geoff Brown, CEO of USA Properties Fund, said in a statement.

Google previously funded projects in San Jose, Newark and Sunnyvale. Other plans include converting commercial land that it owns into housing sites.

Despite a shift to more remote work, the tech giant has numerous office expansions planned in the Bay Area, including in Mountain View’s North Bayshore, Santa Clara and near Diridon Station in San Jose.

Construction starts on Vintage at Woodman, an affordable senior community in Panorama City

239-apartment community is ‘the type of development that is key to addressing the housing crisis’

USA Properties Fund Inc. has started construction on Vintage at Woodman in Panorama City, bringing much-needed affordable senior housing to the community — and a major milestone for one of the leading apartment community developer-builder-managers in the West.

The 239-apartment community, located in the 7700 block of North Woodman Avenue just west of Ventura Canyon Avenue, will be available for residents at least 55 years old that meet an expanded range of income limits, thanks to the California Housing Finance Agency’s Mixed-Income Program. Vintage at Woodman is the first USA Properties project to use the Mixed-Income Program.

“We’re committed to building quality communities that become home to our residents, helps meet the need for affordable housing and improves neighborhoods,” said Geoff Brown, President of USA Properties in Roseville. “Vintage at Woodman checks all those boxes, while also allowing us to tap into the Mixed-Income Program for the first time.”

Geoffrey Brown portrait
Geoff Brown, President of USA Properties

Apartment community for households earning 50%-80% of area’s median income

With the Mixed-Income Program, renters earning 50% to 80% of the area’s median income – about $45,000 to $72,000 for a two-person household leasing a one-bedroom apartment – could qualify for Vintage at Woodman.

“Vintage at Woodman is an example of the type of development that is key to addressing the housing crisis facing Los Angeles County and the entire state,” said Tia Boatman Patterson, Executive Director of the California Housing Finance Agency. CalHFA issued tax-exempt bonds and provided subsidy funds through its Mixed-Income Program for the project. “The mix of incomes in this project allows local residents to improve their financial and housing situations while staying at home in their community.”

Tia Boatman Patterson | USA Properties Fund, Inc.
Tia Boatman Patterson, Executive Director of CalHFA

The apartment community, featuring one- and two-bedroom units, is scheduled to be completed in spring 2023. Estimated rents will range from about $1,013 to $1,530 for a one-bedroom apartment, to $1,213 to $1,998 for two-bedroom, two-bath units.

Amenities include a community room, fitness room, barbecue area and pet-wash station

Affordable rent does not mean basic – or boring. The five-story building will offer a long list of amenities, including a community room complete with computer workstations; a fitness room; a second-level courtyard with seating and a barbecue area; and a pet-wash station. Residents will have access to on-site laundry and social-service programs through LifeSTEPS.

“Vintage at Woodman caters very well to seniors with its close proximity to shopping and a major Kaiser Permanente facility,” said Jatin Malhotra, Acquisitions Manager for USA Properties in Roseville. “It’s a very efficient project that makes the most of the Mixed-Income Program by taking an underutilized property and turning it into much-needed senior housing with a combination of very low, low- and moderate-income residents.”

So far, CalHFA has financed projects that will create about 3,750 units for mixed-income affordable housing in the state, Boatman Patterson said. USA Properties Fund — which has more than 90 affordable and market-rate apartment communities in California and Nevada, including 11 in Los Angeles County — is looking to partner with CalHFA and the Mixed-Income Program on other projects.

JPMorgan Chase, Citi Community Capital and RBC Capital Markets joined CalHFA on the $80 million Vintage at Woodman project that replaces an auto-repair business and small warehouses on the property.

“USA Properties and our partners are investing in the community and are looking forward to providing more housing,” Brown said. “And we will continue to look for other housing opportunities in the region and throughout much of the state.”

Holiday decorations are a much appreciated and needed gift at Vintage Glen

Vintage Glen is decked out for the holidays, bringing some much-needed cheer to residents while following pandemic safety requirements.

Community manager Debbie Reynolds and her hard-working team – assistant community manager Delois and Steve in maintenance – decorated a Christmas tree in the mail area, strung lights on and around the main building and by the pool, and created a holiday winter display worthy of the big-name retailers in New York City (see photos).

“My sincere gratitude to you for everything you have done to help us live the safest and most comfortable life possible during these uncertain times,” said a longtime Vintage Glen resident. “Thanks also for the beautifully decorated and lighted Christmas tree in the mailroom. The message of hope and joy that Christmas brings was sorely needed by a number of residents and gives those who are lacking in mind, body or spirit to reflect on it and draw inspiration and courage.”

Vintage Glen, an affordable apartment community for seniors in Sacramento, closed its clubhouse when the COVID pandemic started to follow safety requirements. But Reynolds came up with an idea to bring some holiday cheer while also keeping residents safe. She replaced the plastic sheet barrier between the clubhouse and the mailroom with a holiday red divider, serving as the perfect backdrop for the community’s holiday tree.

So, when residents grab their mail, they can enjoy some holiday cheer – but not have access to the clubhouse. Of course, residents are following and frequently reminded to wear masks and stay at least 6 feet apartment at Vintage Glen.

“Debbie always goes out of her way, especially for holidays,” said Kristina Scott, regional manager for USA Properties. From Black History Month to Christmas, Reynolds and her team decorate, celebrate and embrace the holidays. “She and her team are amazing.”

JB Brown Fund, USA Properties congratulates 2020 graduate Laura Gutierrez

Laura Gutierrez has accomplished much in a little time.

She moved from Mexico to Silicon Valley in 2013, with a commitment to learn – and master – English. She enrolled in a community college, first with a focus on English classes and then later to pursue a profession.

A few years later, she began dating her soon-to-be husband. The couple’s son, Nathan, was born in October 2019 – when Laura was in her senior year at San Jose State University. Two weeks after delivering Nathan via C-section, Laura was back in the classroom.

It’s been a busy seven years. But Laura’s determination and hard work paid off with a bachelor’s degree in Business Administration with an emphasis on human resources. She graduated Summa Cum Laude, with a 3.9 grade-point average.

JB Brown Fund awards Gutierrez with $11,000 in scholarships

College scholarships from the JB Brown Fund allowed Laura to focus on her classes, completing college and later being a mother – and worry less about the cost of higher education. She received about $11,000 in college scholarships from the JB Brown Fund, a partnership between USA Properties Fund and social services provider LifeSTEPS.

“It helped out a lot,” says Laura, who learned about the JB Brown Fund college scholarship from her husband, who tapped into the program to complete his degree at San Jose State and become an elementary school teacher.

The couple live at Mayfair Court Apartments, a USA Properties-owned apartment community in San Jose.

“It paid for more than half of my tuition,” she says of the scholarships. “I really appreciate the help.”

‘It really helps people like me achieve their dreams’

Laura, who worked until a few weeks before the birth of Nathan, will soon begin her job search. She would like to join a company that embraces data analytics, especially when it comes to human resources.

“I fell in love with analytics,” says Laura, who enjoys math. “I like to look at the story behind the numbers. I want to help a company make the right decisions. But I also like the process of helping people.”

It’s a belief that is the cornerstone of the JB Brown Fund.

“When I came here, I didn’t even know English,” says Laura, who is grateful for the many donors that help others reach their goals. “It really helps people like me achieve their dreams.”

JB Brown Fund, USA Properties congratulate 2020 graduate Sandra Roksic

College graduate Sandra Roksic is focused on the road ahead, with a goal of developing self-driving vehicles trusted by their drivers – and pedestrians.

“It was my dream to come here and do this,” says Sandra, who graduated in the spring with a Bachelor of Science in electrical engineering from Cal Polytechnic University, San Luis Obispo.

Achieving her dream required commitment, focus and hard work – in the classroom and in the workforce. Along with her demanding full-load class schedule, Sandra often worked two jobs to help pay for school and, like 70% of students nationwide, she also relied on student loans.

Scholarship helps her earn an electrical engineering degree

But the burden has been made a bit easier, thanks to the J.B. Brown Fund. Sandra learned about the JB Brown Fund college scholarship from the community manager at Rancho Carrillo Apartments in Carlsbad, where her family has lived since she was in the sixth grade. The $2,800 scholarship helped Sandra earn her degree.

Now, she has started on her master’s degree in electrical engineering from Cal Poly-SLO. Sandra, who is busy with an internship this summer and will teach a class at the university this fall semester, expects to earn her master’s degree in June 2021.

Then, she would like to join an automaker like Volkswagen AG that is leading the way on autonomous vehicles. “There are so many exciting, interesting developments in the auto industry,” she says.

‘I wouldn’t be here without the support and the belief of so many people’

Her family – her parents and a teenage brother – encouraged Sandra to apply for college and pursue a degree in electrical engineering (she also earned a minor in math).

“My parents have made so many sacrifices for me,” says Sandra, who moved with her parents from Serbia to San Diego as a 4-year-old. Her parents looked for a good, safe community with excellent schools and found Carlsbad. The city and the apartment community “feel like home.”

And her “home” helped open the door to a college degree and new opportunities. The J.B. Brown Fund has awarded hundreds of college scholarships to residents living in USA Properties Fund apartment communities.

“I’m super grateful. I wouldn’t be here without the support and the belief of so many people,” she says. “They put their faith in me and what I can accomplish.”

USA Properties and LifeSTEPS’ RN Coaching PILOT Program earns national award from HUD

Program offers free health care that helps seniors to age in place, improves health and saves money

A pilot program that allows low-income seniors to remain living at affordable senior apartment communities in the Sacramento region and receive much of the medical attention they need just steps from their home for free has earned a national award from the U.S. Department of Housing and Urban Development.

LifeSTEPS and USA Properties Fund’s RN Coaching PILOT Program has received the 2020 HUD Secretary’s Awards for Healthy Homes, an annual award that recognizes programs that promote healthier housing through partnering, outreach and innovative practices. HUD and the National Environmental Health Association (NEHA) has recognized only 22 programs since the national award started in 2015, including five programs this year.

“It is heartwarming to receive this award, as in the past we have watched our seniors be prematurely placed in skilled-nursing facilities and this program clearly saves money and returns the dignity to our seniors as they successfully age in place,” said Beth Southorn, Executive Director of LifeSTEPS. “I am so very thankful for our team’s hard work, and I have loved watching early heath intervention help our seniors live longer and happier lives.”

Many residents can ‘age in place’ thanks to program

The RN Coaching PILOT Program is one of the first of its kind in California and helps seniors, many who have health issues and can’t easily get to a doctor, to “age in place,” thanks to an on-site registered nurse who visits their senior communities every week.

“Access to health care is a huge issue for low-income seniors, and having an RN available for residents improves their health, reduces costs, saves time and helps them stay out of the hospital and in their homes longer,” said Geoff Brown, President of USA Properties. “Health is a primary reason why seniors are forced to leave their homes for assisted-living facilities, nursing homes or move in with family members.”

With the RN Coaching PILOT Program, low-income seniors dealing with allergies, a nagging cold or cough, or even chronic conditions – such as arthritis, diabetes, high cholesterol or high-blood pressure – are able to get the health care they need at their apartment communities, said Meredith Chillemi, Director of Aging and Education Services for LifeSTEPS. The registered nurse also assists residents with managing their medications, preventing falls in their apartments and navigating the often-complex world of health care, from choosing a new provider to completing confusing insurance forms.

The goal is to keep residents healthy and out of hospital emergency rooms, and help develop a plan for those who are in the hospital to safely return home as soon as possible, Chillemi said. The program helps about three residents return home from the hospital every week.

More than 900 seniors helped, saving Medi-Cal almost $1.2 million

More than 900 seniors have accessed the RN Coaching PILOT Program since it started in spring 2016, saving government health insurance programs like Medi-Cal almost $1.2 million. And the percentage of residents moving out of the apartment communities for health issues has dropped 70% during the past four years.

Aging in place has numerous benefits beyond better health for seniors, from cost savings to keeping them mentally and physically active. Seniors often develop close friendships and social support systems in senior apartment communities, and moving them to an assisted-living facility or skilled-nursing home can cause depression and isolation. Assisted-living facilities can also have a financial hardship on residents, their families, government programs and society overall, according to a Harvard Joint Center for Housing Studies.

“The program offers seniors free health care and the opportunity to remain in their apartment communities, where they are close to their friends and often have lived for many years,” USA Properties’ Brown said. “Our residents are happier and healthier, and the program saves money.”

Hands-on training for UC Davis nursing students

Roseville-based USA Properties, one of the largest affordable apartment community developer-builder-managers in the West, and LifeSTEPS, which provides social services at many USA Properties-owned communities, share the cost for the RN Coaching PILOT Program.

The program is available to residents at Sierra Sunrise in Carmichael and Vintage Oaks Senior Apartments in Citrus Heights. USA Properties recently sold Creekside Village Apartments in Sacramento, which had also participated in the pilot program.

The RN Coaching PILOT Program also provides hands-on health care training for nursing students from the Betty Moore School of Nursing at the University of California, Davis. Several nursing students and their nurse adviser have been meeting with patients every week this summer.

USA Properties and LifeSTEPS have been working on finding funding for the program, meeting with elected representatives and health officials during the past few years. A state senator introduced a bill (SB 1292) in February that would have expanded the program to five counties and receive state funding as part of a pilot program. But the Covid-19 pandemic coupled with the state’s budget challenges shelved the effort.

“The program has been such a success, in so many ways,” Brown said. “Now, we just need to find the financial support to continue and expand the program to more affordable apartment communities and help more low-income seniors.”

USA Properties, LDK Ventures start construction on The A.J. in Sacramento

Mixed-use project includes studio, one and two-bedroom units in downtown Railyards

LDK Ventures and USA Properties Fund have started construction on The A.J., a mixed-use residential project that will offer 345 residential rental units, 69 of which will be affordable units, and 5,000 square feet of ground floor retail. The A.J. is the first project at the Railyards to begin construction and is set for completion by Winter 2022.

“From the start, the A.J. has been integral in our vision for the Railyards,” said Denton Kelley, Managing Principal of Downtown Railyard Venture, the master developer of the Railyards. “There has been a voiced need for multifamily housing that has modern amenities, is affordable, and is proximate to Downtown Sacramento. The A.J. fills that void.”

Modern amenities for an urban lifestyle

The A.J. will offer a mix of studio, one-bedroom, and two-bedroom units that have been thoughtfully designed to fit an urban lifestyle. Named in honor of A.J. Stevens, who was deemed the father of innovation at the Sacramento Railyards in the late-1800s, the project’s fresh design pays subtle homage to its roots while embracing modern design cues. All apartments will achieve Build It Green gold standard for energy efficiency and include well-appointed finishes, plenty of natural light, and built-in cabinetry.

Residents will also enjoy amenities including a fitness center, pool and spa, dog wash, and a rooftop sky lounge with outdoor grills and fire tables.

Unbeatable location in downtown Sacramento

When completed, the A.J. will span 2.89 acres on the southeast corner of 6th Street and Railyards Boulevard. It will offer immediate light rail and bus access, an abundance of parking, and more than 5,000 square feet of ground floor retail with a mix of neighborhood-serving tenants.

“Not only does this project add to our supply of badly needed affordable housing, it is hugely symbolic as the first housing ever built in the downtown Railyard, which has sat idle for far too long,” said Mayor Darrell Steinberg. “The Railyards is on its way to becoming an extension of downtown with housing, stores, offices and Major League Soccer. Despite the pandemic, our momentum as a city continues.”

The A.J. is also within walking distance of other planned developments at the Railyards, including a Major League Soccer stadium, Kaiser Medical Campus, and the Central Shops District.

Key local and governmental partnerships further progress

The A.J. at the Railyards is a partnership between LDK Ventures, the managing member of Downtown Railyard Venture, and USA Properties Fund, Inc. Significant assistance was provided by the City of Sacramento, the California Department of Housing and Community Development and Sacramento Housing and Redevelopment Agency to permit and structure the financing for the $130 million residential project.

“The A.J. shows what is possible with private-public partnerships, and how working together we can help meet the housing needs of residents at a range of income levels,” said Geoff Brown, President of USA Properties Fund. “We’re proud to be part of such a forward-looking project, the first of many that will transform the historic Railyards into a vibrant district.”

As a mixed-income project, with 20% of the units reserved for tenants with an income at or below 50% of the area median income, the project qualified for a tax-exempt bond allocation. This competitive allocation of $85 million was awarded in December 2019. With the aid of this bond allocation, the development team of USA Properties and LDK Ventures was able to secure financing through Citi Bank Community Capital. This financing, along with the Opportunity Zone status of the Railyards, helped make it feasible to raise the accompanying equity and initiate construction of this critical project for downtown Sacramento and the Railyards redevelopment.

To learn more about the Railyards and the A.J., visit www.Railyards.com.