Standard Communities and Faring in $ 130 million deal to purchase 349-unit apartment complex in east end Los Angeles County as part of developer joint venture to add housing “missing” throughout California.
The deal was confirmed by Chris Cruz, general manager of Standard Communities of the joint venture, called Standard-Faring Essential Housing.
The resort, called Monterey Station, is located at 180 E. Monterey Avenue in downtown Pomona. The seller was Clear Capital, a multi-family investment firm.
The four-story building was expanded in 2014 and was purchased by Clear Capital in 2017, according to the company’s website.
Apartments at the resort range from studios to two-bedroom, according to an ad site, and currently command market rates: a 384-square-foot studio is currently rented for $ 1,790, and a two-bed 956-square-foot is available. for $ 2,173. .
The resort, billed as “ideal for anyone seeking a stylish and smart living experience in a modern, urban apartment community”, also features a “seaside-inspired” swimming pool and outdoor area with a barbecue area.
Century City standard communities plan to convert them to more affordable middle income units. The so-called labor units are intended to be affordable for tenants who earn between 80 and 120 percent of the region’s median income – typically working people who do not qualify for subsidized housing but who do not qualify for subsidized housing. are nonetheless out of the price of market rents under very expensive conditions. areas such as LA County and the San Francisco Bay Area.
A recent wave of conversions of existing apartment complexes to workers’ housing involves new owners agreeing to charge less than the market rate in exchange for financing from bonds issued by the California Statewide Communities Development Authority (CSDCA ), a joint power agency created by the state.
The acquisition of Pomona is also part of Standard’s much larger vision for middle-income housing. Earlier this year, the developer announced it was stepping up its joint venture with West Hollywood-based Faring and aimed to add at least 4,000 new middle-income homes in California within two years. The $ 2 billion initiative ranks as a major gamble in the state’s housing market, and is also part of a public-private partnership with the California Statewide Communities Development Authority (CSDCA), a government agency spouses created by the state that helps municipalities finance projects with a public interest.
“This is a statewide problem that we are only beginning to scratch the surface of,” Cruz said following the announcement, referring to the shortage of middle-income housing in California. . “Our target is 4,000 in the immediate short term, but over the next few years we want to do 10 times that.”
Another developer, Waterford Property Company, recently announced another labor housing contract in Pomona, paying $ 194 million for a 472 unit complex.