McCormack Baron Salazar and Key Stakeholders Complete Agreement for Next Phase of Mirasol Village affordable housing development
February 1, 2021 | McCormack Baron Salazar
SACRAMENTO (February 1, 2021) – The Sacramento Housing and Redevelopment Agency, the Housing Authority of the City of Sacramento, and McCormack Baron Salazar (MBS) have closed on the financing of the next phase of Mirasol Village, a five-phase redevelopment of the Twin Rivers housing project north of downtown Sacramento. Located near the confluence of the American and Sacramento Rivers, Mirasol Village will be a vibrant, 22-acre, mixed-income residential complex consisting of 489 new affordable, workforce and market-rate rental apartments. Construction is underway on 104 family units in this latest phase, known as Block A. Construction on an initial 123 units – Block B/E - began last summer. The two phases include 227 family units and are scheduled for completion by 2022.
“We’re thrilled to begin the next phase of this wonderful revitalization,” said Dan Falcon, Managing Director of West Coast Operations, McCormack Baron Salazar. “As Mirasol Village begins to take shape and the momentum builds, people can really start to see the wonderful community this is becoming.”
In addition to the its proximity to the new Dos Rios Light Rail station, Mirasol Village will include sidewalks and bike lanes on main travel corridors, as well as a connection across the American River to downtown Sacramento. It will include a new 1.6-acre public park and community garden. The project will include new streets and an early childhood education center. The Mirasol Village apartment community will be LEED-ND and Energy Star certified, as well as Green Point rated.
All residents of Twin Rivers will be offered housing at Mirasol Village. The non-profit Urban Strategies, Inc. (USI) will lead the “people” component of the redevelopment, providing intensive case management for residents in coordination with citizen-directed planning and resident engagement. Examples of services include employment and skills training; health and wellness programs; financial education; early childhood services; after-school and summer programming; and community safety programming.
A core component of the McCormack Baron Salazar development approach is layering public and private funds to transform communities across the country. Mirasol Village initially received a Choice Neighborhoods planning grant, followed by a $30 million Choice implementation grant from HUD. The first mortgage is from Freddie Mac, serviced by Berkadia Commercial Mortgage, LLC. U.S. Bank National Association is providing the construction loan and U.S. Bancorp Community Development Corporation is the equity investor. Funding also is being provided by the Sacramento Housing and Redevelopment Agency, the Housing Authorities of Sacramento City and County, the City of Sacramento, the California Department of Housing & Community Development, the California Strategic Growth Council, the California Department of Developmental Services, the California Tax Credit Allocation Committee, and the California Debt Limit Allocation Committee.
SVA Architects is the project architect and Midstate Construction Corporation is the general contractor. The John Stewart Company will serve as property manager.