KeyBank Provides $71.8 Million in Construction Financing for Affordable Housing Project in Greenfield, California

by Channing Hamilton

GREENFIELD, CALIF. — KeyBank Community Development Lending and Investment (CDLI) and KeyBanc Capital Markets have provided a $71.8 million financing package for the construction of the first phase of Greenfield Commons in Greenfield. EAH Housing Inc. is developing the project.

KeyBank CDLI provided a $15.9 million taxable construction loan to collateralize a Fannie Mae forward MBS Tax-Exempt Bond (MTEB) public bond offering and $55.4 million tax-exempt direct purchase loan to bridge California Accelerator program funds. KeyBanc Capital Markets purchased $55.4 million of 501(c)(3) bonds and provided a floating-to-fix interest rate swap derivative on both loans.

EAH also received $51.3 million in California HCD Accelerator funds with an additional $4.6 million in California Accelerator Supplement funds. The California Accelerator funds are from federal COVID relief money in lieu of tax credits. Tax credits and bond allocations were insufficient to fulfill California’s affordable housing development demand, and these funds are California’s solution for priority projects.

Other financing includes $350,000 in Monterey County CDBG funds, $1.9 million Monterey County Housing Trust Funds, $9 million in Joe Serna Jr. Farmworker Housing Grant funds and $400,000 in build funds.

EAH Housing Inc. is developing the community, which will feature 99 affordable family units and one manager unit. Twenty-seven units with project-based vouchers will be set aside for families and farmworkers. Nashua, an off-site modular manufacturer in Boise, Idaho, is building the residential units, and Swinerton is serving as general contractor.

Matthew Haas, Hector Zuniga and Keven Ruf of KeyBank CDLI structured the financing with construction lending and Fannie Mae agency debt. Ila Afsharipour of KeyBanc Capital Markets Public Finance Group provided the bond underwriting.

You may also like