OCEANSIDE, CALIF. — KeyBank Community Development Lending and Investment (CDLI) and KeyBank Commercial Mortgage Group (CMG) have finalized $74.8 million in loans for Mirka Investment’s El Camino Real Apartments, which are being developed in Oceanside, about 38 miles north of San Diego. CDLI’s and CMG’s loans make up part of the $137.5 million total funding package that will enable the construction of the 111-unit affordable housing community reserved for renters earning between 30 and 80 percent of area median income (AMI). A completion date was not disclosed.
CDLI provided a $32 million tax-exempt construction loan and a $15 million taxable construction loan. CMG arranged a $27.8 million permanent loan. Matthew Haas of KeyBank CDLI’s western regional team structured the financing. Hector Zuniga of KeyBank Commercial Mortgage Group arranged the permanent financing.
Additional project financing includes a $32 million construction loan from the California Municipal Finance Authority, $12.9 million in tax credit equity from the City of Oceanside State Housing Tax Credit program via Monarch Private Capital, and $16 million in federal Low-Income Housing Tax Credit (LIHTC) equity from WNC.
El Camino Real will be comprised of two- and three-bedroom floor plans. The property will include a leasing office and a community area within a 6,500 square foot common space, including outdoor recreational space and central laundry rooms on each floor. Supportive services will be provided by Mission Neighborhood Centers, which offers educational programs, workforce development, homelessness prevention and social services.
According to the state’s regional housing needs allocation goals, Oceanside needs to build 1,986 new units of low-income and very-low-income housing between 2021 and 2029 to keep up with population growth. As of May, only 258 units have been constructed. Very-low-income renters are classified as earning approximately 50 percent or less of AMI while low-income renters earn about 80 percent or less of AMI.
WNC and Mirka also are partnering on the $10 million development of La Costa Family apartments about four miles south of Oceanside in Carlsbad. The three-story building, financed with LIHTC equity, will include 19 units rent capped at 30, 50, 60 and 80 percent of AMI. Developers just broke ground and anticipate completion by March 2026.