In a significant move toward addressing Los Angeles’ housing affordability crisis, Colliers Mortgage’s Structured Finance Group based in Los Angeles has successfully secured a substantial construction loan to the tune of $24.4 million. These funds are earmarked for an ambitious project set to transform Koreatown with the development of Kingsley Apartments—the project envisioned as an entirely affordable 136-unit multifamily residence. Benefitting from its strategic location near the Metro D-Line’s Wilshire/Normandie Station, the project will cater primarily to residents earning up to 80 percent of the Area Median Income (AMI), offering a vital resource to the community in the form of livable, convenient, and economically accessible homes.
The concerted effort, led by Executive Managing Directors Jonathan Lee and Shahin Yazdi, reflects a robust interest in backing pro-affordable housing initiatives, especially the ED 1—an ambitious housing strategy spearheaded by Los Angeles Mayor Karen Bass. The securing of financing signals progress under this initiative, which has been active for over a year, and is gathering momentum with the interest of lenders who are gradually opening up to the initiative, albeit with some exercising caution through lower leverage or a “wait and see” approach, indicative of the program’s infancy in the municipal housing landscape.
Financing and Developments
Tackling Los Angeles’ housing affordability issues, Colliers Mortgage’s Structured Finance Group in LA has clinched a hefty $24.4 million construction loan. This boost funds the Kingsley Apartments, a project set to redefine Koreatown with 136 affordable housing units. Excellently located near the Metro D-Line, it aims to service those making up to 80% of the Area Median Income—providing indispensable, budget-friendly housing options.
This endeavor, championed by Jonathan Lee and Shahin Yazdi, showcases a growing commitment to affordable housing ventures, aligning with Mayor Karen Bass’s ED 1 housing strategy. With a year’s momentum, the project’s financial backing marks a stride in the right direction, revealing the gradual warming of lenders to affordable housing—though some remain wary, showing guarded optimism through conservative funding approaches, underscoring the early stages of such municipal housing programs.
