PRESS RELEASE
City of Long Beach
Public Information Office
411 W. Ocean Blvd,
Long Beach, CA 90802
www.longbeach.gov
6/10/2015
FOR IMMEDIATE RELEASEPress Release # CM: 061015
Subject:
City Supports Renovation and Preservation of 406 Affordable Housing Units
Contact:
Jacqueline Medina
562.570.3827
Jacqueline.Medina@longbeach.gov
562.570.3827
Jacqueline.Medina@longbeach.gov
Last night, the Long Beach City Council unanimously passed a resolution that will enable the preservation of 406 units of affordable housing in West Long Beach. The Springdale West Apartments, located at 2095 W. Spring St., will be renovated to continue providing affordable housing for lower-income families. Since the dissolution of redevelopment authorities across the state and in a constrained fiscal environment, city-financed construction of new affordable units has become extremely difficult.
“Preserving these existing affordable units in West Long Beach is important for local families and stability for the neighborhood,” said Mayor Robert Garcia.
Should Springdale West’s funding contract with the US Department of Housing and Urban Development expire, the units could be converted to market rate. Fortunately, action has been taken, that will extend the affordability of the units. With the required City Council approval, the California Statewide Communities Development Authority (CSCDA), a joint powers authority, can issue tax-exempt bonds to help Springdale Preservation Limited Partnership finance the purchase and rehabilitation of the apartment community. The bond issuance is expected in September 2015.
“Local government support of the project and the bond issuance is required, even though the City bears no financial obligation or risk related to the project,” said Amy Bodek, Director of Long Beach Development Services. “Without City support, the development’s affordability covenants would expire within the next six months, putting these families at risk of becoming homeless.”
Springdale West Apartments, constructed in the mid-1970s, features one-, two-, and three-bedroom units for extremely low- to low- income households. In Long Beach, these are households that earn about $25,000 to $50,000 per year. The renovation plans for the property include new kitchen appliances, countertops and cabinets, flooring, window treatment, and water heaters; and updated landscaping, painting, and fencing. A swimming pool will also be added for tenants to enjoy.
The project is expected to provide a total of 80 jobs, including 50 construction jobs during the rehabilitation process; 10 on-site jobs; and 20 jobs through third-party vendors.
“Preserving these existing affordable units in West Long Beach is important for local families and stability for the neighborhood,” said Mayor Robert Garcia.
Should Springdale West’s funding contract with the US Department of Housing and Urban Development expire, the units could be converted to market rate. Fortunately, action has been taken, that will extend the affordability of the units. With the required City Council approval, the California Statewide Communities Development Authority (CSCDA), a joint powers authority, can issue tax-exempt bonds to help Springdale Preservation Limited Partnership finance the purchase and rehabilitation of the apartment community. The bond issuance is expected in September 2015.
“Local government support of the project and the bond issuance is required, even though the City bears no financial obligation or risk related to the project,” said Amy Bodek, Director of Long Beach Development Services. “Without City support, the development’s affordability covenants would expire within the next six months, putting these families at risk of becoming homeless.”
Springdale West Apartments, constructed in the mid-1970s, features one-, two-, and three-bedroom units for extremely low- to low- income households. In Long Beach, these are households that earn about $25,000 to $50,000 per year. The renovation plans for the property include new kitchen appliances, countertops and cabinets, flooring, window treatment, and water heaters; and updated landscaping, painting, and fencing. A swimming pool will also be added for tenants to enjoy.
The project is expected to provide a total of 80 jobs, including 50 construction jobs during the rehabilitation process; 10 on-site jobs; and 20 jobs through third-party vendors.