Eagle Partners Seals $107M Deal to Preserve Affordable Housing in San Gabriel Valley
Eagle Partners recently finalized a significant transaction in the affordable housing sector, marking a substantial step towards preserving affordability within the San Gabriel Valley locale. The $107-million acquisition, known as The Hills at Hacienda Heights, encompasses a 350-unit apartment community, now poised to maintain long-term affordability and undergo enhancements through strategic capital reinforcements.
The complex operation speaks volumes about the collaborative efforts that spanned across various entities. Eagle Partners, bringing its vertical integration to the table, joined forces with noteworthy players such as Red Stone Equity Partners, JPMorgan Chase, the California Housing Finance Agency (CalHFA), and Affordable Housing Access. Their collective aim: to transition a market-rate property into a pocket of affordability for up to 350 households earning no more than 80% of the Area Medium Income (AMI), while emphasizing the importance of minimizing tenant displacement.
The vision behind this move finds resonance in Taylor Friend’s, a Managing Partner of Eagle Partners, own words, “There is substantial need to increase access to and maintain the quality of attainable housing across Southern California and beyond.” Friend further stresses the importance of innovative partnerships that simultaneously address community needs and investor interests.
This acquisition transcends the transactional to embody a strategic element that revitalizes housing finance approaches. As noted by CalHFA’s Executive Director Tony Sertich, the agency revels in such creative collaborations, which echo the state’s long-term objectives concerning affordable housing.
Furthermore, Red Stone Equity Partners, together with JPMorgan Chase, has played a pivotal role in this transition, underscoring their dedication to the Preservation Equity platform. This endeavor, as stated by Brian Fishback, Director of Alternative Investments at Red Stone Equity Partners, embodies the strategic collaborations and impact capital deployments essential to affordable housing preservation efforts.
Situated on a sprawling 10.5 acres, The Hills at Hacienda Heights represents nearly 40% of the apartment inventory in the area and features a rich array of amenities complemented by its recent renovations. Shahny Lutfeali, also a Managing Partner of Eagle Partners, eloquently summarizes the core ethos of the transaction: “This acquisition underscores what is possible when sophisticated capital aligns with a clear purpose, and that positive impact can be married with compelling financial returns to better the communities that we operate within.”
In summary, this landmark transaction not only underscores the dynamic capacity of public-private partnerships in transforming housing markets but also sets a precedent for future endeavors that aim to harmonize community upliftment with equitable growth.