California Communities® Housing Bond Program is designed to assist both for profit and nonprofit developers in accessing tax-exempt bonds (“Bonds”) for the financing of low-income multifamily and senior housing projects. The Bonds may be used to finance or refinance the acquisition and rehabilitation of an existing project or for the construction of a new project, provided the developer agrees to set aside all, or a portion, of the units in a project for individuals and families of very low, low or moderate income. A developer can finance a project at a lower interest rate than available through conventional financing because the interest paid to bondholders is exempt from federal (and in some case state) income taxes.
To reserve the right to issue tax-exempt housing bonds, California Communities® and the developer must file an application with the State of California to secure an award of volume cap. California Communities® staff will guide each developer through the state application process.
Moreover, California Communities® will work with each developer post bond issuance to ensure each project remains in compliance with state and federal laws though its affiliate U.S. Communities Housing Compliance Services. For more information on Compliance Services, please click on the following link: www.housingcompliance.org.
Since inception, California Communities® has issued over $7.8 billion in Bonds for more than 898 multifamily and senior housing projects throughout California.
For more information, please contact Scott Carper at (925) 765-8525.