KeyBank funds $50 million for new affordable housing in Los Angeles

California is addressing its ongoing housing crisis with new developments aimed at increasing affordable housing supply. On April 25, 2025, KeyBank Community Development Lending and Investment (CDLI) announced significant financing for two affordable multifamily housing projects in Los Angeles, amounting to $50.2 million in total funding. This includes $23.3 million in construction loans and a $10.7 million investment in low-income housing tax credit financing, along with $16.2 million structured through Freddie Mac's TEL permanent financing. The projects are spearheaded by HVN Development, who contributed an additional $2.4 million. The first of these projects, North Mathews, is situated at 121 North Mathews Street and involves a four-story building with 40 total apartments. This includes six one-bedroom and 33 two-bedroom units, plus a two-bedroom manager unit. All the apartments are designated as LIHTC units, meaning they are rent-restricted for tenants earning at or below 80% of the area median income (AMI). The various rent restrictions are carefully tiered, with some units available for households making as low as 30% AMI and others at 80% AMI, ensuring accessibility for a range of income levels. The second project, Brynhurst, located at 6018 Brynhurst Avenue, features a similar structure with 50 units, including seven one-bedroom and 42 two-bedroom apartments. Rent restrictions on Brynhurst's units mirror those of North Mathews, targeting tenants making at or below 80% AMI as well. Both buildings are placed in highly walkable locations that are well-served by public transit options, promoting easy access to employment centers and essential services within Los Angeles. The management of these properties will be handled by Aperto Property Management, which will offer free services to tenants funded by the developer. HVN Development is collaborating with Integrity Housing to effectively confront the housing shortages and affordable housing crisis in California, utilizing innovative methods to increase availability of affordable living spaces. In conjunction with the financing from KeyBank, the California Housing Finance Agency (CHFA) is expected to issue $14.4 million in Multifamily Housing Revenue Bonds and $7 million in recycled bonds to further support permanent loans for the projects. The concerted effort by KeyBank and HVN Development underscores a pivotal investment in affordable housing solutions, as community leaders and stakeholders respond to escalating housing needs throughout the state. KeyBank's financing initiative is instrumental in facilitating this positive change, aligning with its broader objective of enhancing community wellbeing and stability through strategic investments in essential housing infrastructure.