June 10, 2020
‘Virtual Groundbreaking’ Celebrates New Construction of More Than 190 Affordable Apartments at Intergenerational Development
The San Diego Housing Commission partnership development will remain affordable for 55 years
SAN DIEGO, CA — With social distancing restrictions in place due to the COVID-19 pandemic, a “virtual groundbreaking” by video conference today celebrated the new construction of a San Diego Housing Commission (SDHC) partnership development that, when completed, will provide more than 190 affordable rental apartments for families and seniors in the Mid-City area.
“When you consider the needs of our Mid-City families and our Mid-City senior citizens, we have no choice but to take this kind of action,” California State Assemblymember Todd Gloria said during a break from a legislative session in Sacramento.
Developed by Chelsea Investment Corporation in partnership with Price Philanthropies Foundation, SDHC and additional partners, Mid-City Family Apartments and Mid-City Senior Apartments will be constructed as adjoining buildings located near the intersection of Fairmount Avenue and El Cajon Boulevard, an area that encompasses the Kensington-Talmadge and City Heights neighborhoods of San Diego.
“To create this intergenerational project that is going to be affordable not only for our families but our seniors—both demographics are growing. There’s more demand. And as the conversation moves to really building our transit corridors, this is a perfect example of what it can be. It’s inclusive. It’s reflective of the community,” said City Council President Georgette Gómez, whose Council District 9 includes the site of the upcoming construction.
The development will create 115 affordable one-bedroom apartments for seniors, 77 affordable rental apartments for families, and three managers’ units. The affordable apartments will remain affordable for 55 years for households earning up to 60 percent of the San Diego Area Median Income (AMI), currently $55,440 per year for a two-person household and $69,300 per year for a family of four.
“This really is a cornerstone and foundational project that we frankly need more of,” said San Diego County Supervisor Nathan Fletcher, who lives in the area and drives by the site every day. “Home, it’s been said, is the starting place of love, hope and dreams, and that’s what the Mid-City Family Apartments and the Mid-City Senior Apartments are for the residents.”
SDHC awarded a loan of more than $6.75 million for the construction of Mid-City Senior Apartments. The loan consists of federal and City of San Diego funds that SDHC administers:
- $1.75 million from the federal HOME Investment Partnerships Program, which the U.S. Department of Housing and Urban Development (HUD) awards to the City of San Diego; and
- $5 million from the City of San Diego’s Affordable Housing Fund.
“This pandemic has heightened community awareness of the need for San Diegans to have homes they can afford—like the new construction we’re commemorating today,” SDHC Executive Vice President and Chief of Staff Jeff Davis said. “The transformation of this site into affordable housing will have a long-lasting, positive impact in our city.”
SDHC also authorized the issuance of up to $46 million in tax-exempt Multifamily Housing Revenue Notes and $5.5 million in taxable notes toward creation of the apartments. The City Council, in its role as the Housing Authority of the City of San Diego, approved the notes:
- Mid-City Family Apartments
- $24 million tax-exempt notes
- $3 million taxable notes
- Mid-City Senior Apartments
- $22 million tax-exempt notes
- $2.5 million taxable notes
Formerly known as East Block Family and East Block Senior apartments, the buildings are being developed by Chelsea Investment Corporation on behalf of the Price Philanthropies Foundation, which donated the land and contributed vital funding.
“The project offers a full array of amenities that encourage the residents to interact with one another. City Heights is a very walkable community, so just by virtue of its wonderful location, the residents will have ready access to transportation and shopping and services and schools,” Chelsea Investment Corporation Founder and CEO Jim Schmid said.
Price Philanthropies Foundation envisions the 1.6-acre development as a mixed-use campus, which will include a community garden, a dog area and an outdoor plaza, and is located across the street from the Copley-Price Family YMCA.
“I’m hoping that El Cajon Boulevard is going to come back, and that this is a catalyst to making El Cajon Boulevard a wonderful thoroughfare and a rich community for people living out in that area. So this is a great day for us. Thank you to all of our partners. … This is a real evidence of what people can do if they get together and work together with a common purpose to achieve something special,” said Robert E. Price, President of Price Philanthropies Foundation.
All residents, regardless of age, will have access to on-site services from Serving Seniors.
“From Serving Seniors perspective, it allows us to provide services for both seniors and families and make it truly intergenerational. I really see this as the future. This is what we need to be doing is making real-live communities and not just sort of isolating folks into either families or seniors or youth but bringing folks together like the real community,” Serving Seniors President and CEO Paul Downey said.
Monthly rents for the two- and three- bedroom family apartments will range from approximately $1,200 to $1,600, while rents for the one-bedroom senior apartments will range from approximately $750 to $1,200 per month. All units include central heating and air, fully equipped kitchens and window coverings.
The total development cost is approximately $81 million. Additional funding and financing includes $4.5 million from the County of San Diego’s Innovative Housing Trust Fund, the largest investment from that fund to date; Price Philanthropies Foundation; tax credit equity from US Bancorp Community Development Corporation; and construction loans from Citi Community Capital.
The development is scheduled to be complete in mid-2022. Approximately six months before the completion, prospective residents can register their interest at https://www.aptsinsocal.com.
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Media Contact:
Scott Marshall
Vice President of Communications
San Diego Housing Commission
619-578-7138
