HUD Secretary Shawn Donovan pays a visit to MacArthur Park
July 29, 2013 | McCormack Baron Salazar
On Monday, July 29th, HUD Secretary Shawn Donovan joined his former Deputy, Mercedes Marquez, (previously, the Assistant Secretary for Community Planning and Development) on a tour of the MacArthur Park Phase A Transit-Oriented Development.
Built adjacent to the MacArthur Park Metro stop in Los Angeles (and over a Red Line Tunnel), MacArthur Park Phase A includes 90 affordable two and three bedroom apartments over 15,000 square feet of retail and a parking garage with 91 spaces for residents, 42 for retail customers and staff and 100 Metro commuter spaces. There are 24 bicycle parking spaces.
To encourage MacArthur Park residents to use public transit, each household is given a monthly Metro pass; providing these families with affordable housing and transit options reduces the percentage of income spent on housing and transportation and improves their finances.
In addition to being on a transit line, the community incorporates several sustainable features including double-glazed windows, high-efficiency heating and cooling systems, and upgraded insulation. The development also uses recycled materials, nontoxic paints and materials, and water-conserving plumbing fixtures.
The $45 million development was structured through Metro’s Joint Development program and was financed using Metro funds, a loan from the City of Los Angeles, funding from California Department of Housing and Community Development’s Transit Oriented Development Housing program, the county Housing Authority’s City of Industry Program, and the City Housing Department’s Affordable Housing Trust Fund. In addition, the project has equity from Goldman Sachs through the New Markets Tax Credit program and through the 4%/tax-exempt bond low-income housing tax credit program. Approximately $1.5 million came from the American Recovery and Reinvestment Act’s Tax Credit Assistance program and a conventional first mortgage was provided by Bank of America.
A second phase is in development and will be under construction in the next several months.
See pictures and read more about Secretary Donovan’s visit here.