CPP Secures Normandie Villas for Major Renovation in Los Angeles
Deal News | Dec 16, 2024 | Globenewswire
Community Preservation Partners (CPP), an affordable housing developer, has announced the acquisition and planned renovation of Normandie Villas, an affordable housing complex in Los Angeles. Located in the Adams Normandie neighborhood, the property consists of 25 family-oriented units, originally built in 1983. With a total development investment of approximately $20.6 million, including an $11.5 million purchase price and renovation costs, CPP aims to significantly modernize and improve the property. Renovations will include new energy-efficient systems, infrastructure enhancements, and extensive unit upgrades to ensure the complex meets modern standards and demands. The project's completion is anticipated by June 2025, extending the Section-8 HAP contract until 2044. Partners for this project include the California Tax Credit Allocation Committee, WNC & Associates, Banc of California, and Key Bank. This acquisition marks CPP's ongoing commitment to addressing the affordable housing crisis in Los Angeles.
Sectors
- Real Estate
- Affordable Housing
- Finance
Geography
- United States – The transaction and activities are occurring in Los Angeles, California.
- Los Angeles, California – Location of the Normandie Villas and focus area of CPP's acquisition strategy.
Industry
- Real Estate – The article involves the acquisition and renovation of a housing complex.
- Affordable Housing – CPP focuses on affordable housing, of which Normandie Villas is part.
- Finance – The involvement of financial partners and investment indicates finance is a relevant sector.
Financials
- $20.6M – Total development investment for the acquisition and renovation of Normandie Villas.
- $11.5M – Purchase price of Normandie Villas by CPP.
- $165,916 – Estimated renovation costs per unit.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Community Preservation Partners (CPP) | Acquirer | Company | Mission-driven developer focused on affordable housing preservation. |
| WNC & Associates | Parent Company and Equity Partner | Company | Investor in affordable housing and parent company of CPP. |
| Banc of California | Construction Financing Provider | Company | Financial institution involved in providing financing for the construction phase. |
| Key Bank | Permanent Lender | Company | Bank providing long-term financing using a Freddie Mac product. |
| California Tax Credit Allocation Committee (CTCAC) | Issuing and Allocating LIHTC | Government | Government body that issued 9% Low-Income Housing Tax Credits for the project. |
| LifeSTEPS | Service Provider | Charity | Provides on-site education, health, and skill-building services to residents. |