BRIDGE Housing Pioneers Affordable Housing in Portland with $70.7 Million Bond
Deal News | Jan 03, 2025 | Orrick
BRIDGE Housing has successfully raised $70.7 million through a tax-exempt bond offering to finance the construction of Hollywood HUB, a 224-unit affordable housing development at a crucial transit location in Portland, Oregon. The project, supported by a public-private collaboration among BRIDGE, TriMet, and various funders, aims to address the housing crisis in the region. Orrick served as bond counsel, assisting the Oregon Housing and Community Services Department in the issuance of these bonds, which were underwritten by KeyBanc Capital Markets. The bonds, designated as investment-grade due to BRIDGE's guarantee, achieved a lower interest rate, setting a precedent for nonprofit guarantees in municipal bond markets. The initiative underscores the innovative financial approaches required to tackle affordable housing shortages effectively.
Sectors
- Real Estate Development
- Public Finance
- Investment Banking
Geography
- United States – The article revolves around a housing project in Portland, Oregon, a significant urban area in the United States.
- Oregon – The specific project location and activities of related organizations pertain directly to this U.S. state.
Industry
- Real Estate Development – This industry involves the financing and construction of new properties, particularly focusing here on affordable housing solutions within urban development.
- Public Finance – This sector involves the management of investment and financing of government operations, evidenced by the issuance of tax-exempt bonds and involvement of government departments.
- Investment Banking – KeyBanc Capital Markets’ role as underwriter demonstrates the integral role investment banks play in facilitating large-scale bond offerings.
Financials
- $70.7 million – The total amount raised through the tax-exempt bond offering for the housing development project.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| BRIDGE Housing | Project Developer | Company | A nonprofit affordable housing developer involved in creating urban housing solutions. |
| Oregon Housing and Community Services Department | Conduit Issuer & Funding Provider | Government | A government department issued bonds and provided financial resources for this housing initiative. |
| Orrick | Legal Advisor | Company | Provided legal counsel as bond counsel for the bond issuance process. |
| KeyBanc Capital Markets | Underwriter | Company | An investment banking firm that managed the bond sale for the project. |
| TriMet | Public Authority/Partner | Government | A public transit authority involved as a partner, highlighting the project's transit-oriented nature. |