KMA is excited to share the news that the Weingart Tower 1 project is officially open, the ribbon cutting ceremony was held on June 19^th, 2024.  Located at 555 Crocker Street in downtown Los Angeles and adjacent to the existing Weingart Center, the 19-story tower features the City’s largest permanent supportive housing (“PSH”) complex, including 227 studios and 47 one-bedroom apartments, with 40 units being reserved for veteran households.  Three units are provided for on-site property managers.  Amenities include fully furnished units, a fitness room, bike storage, on-site laundry, computer lab and career center, community gardens and easy Metro access.   Developers of this project are Chelsea Investment Corporation, LP and Weingart Center Association, Inc.

KMA was the financial advisor to LAHD and prepared a loan committee report / underwriting analysis summarizing the transaction.  KMA’s tasks included review of the proposed deal terms, financial gap analysis and supporting information provided by Developer.  As is common with most affordable housing projects, project financing was complex involving multiple federal, state, and local funding sources.  KMA analyzed deal terms and assisted with negotiations including the sale of the site to Developer, along with funding from tax exempt bonds, low-income housing and solar tax credits, LAHD land loan, Measure HHH loans, Affordable Housing Program loan, and Developer fee.

KMA also prepared the requisite 33433 report which summarizes the financial terms associated with the disposition transaction, because the City was conveying a site formerly acquired by the CRA/LA for redevelopment purposes.  KMA’s work was completed with assisting LAHD staff with the land and construction loan closing process.

Per the Weingart Center’s website, Permanent Supportive Housing (PSH) is a long-term housing solution, particularly for those with disabilities, chronic illnesses, a history of chronic homelessness, or other significant barriers to housing stability. Residents of the Weingart Tower have access to Weingart Center’s on-site comprehensive support services