Notice of Funding Availability (NOFA) for Housing Developments
Issue Date: December 21, 2021, Due Date: January 31, 2022
The RED Housing Fund (RHF) is pleased to announce the release of a Notice of Funding Availability (NOFA) for approximately $20,000,000 in subordinate loans to developers in Sonoma County that have projects meeting the RED Criteria: located on an infill site, mid to high density development, residential or mixed-use residential, and located within a transit-rich or planned area (see NOFA Terms and Conditions). With this funding, RHF intends to offer flexible financing in order to support and catalyze the development of housing across income levels, and in a way that protects the environment, supports economic renewal, builds disaster resiliency and improves the well-being of Sonoma County residents.
Loans are available to projects at all income levels: affordable (units primarily restricted to incomes up to 80% AMI), middle income (units primarily restricted to incomes up 80-120% AMI), and market rate; or a mix of income levels. Consideration of projects will be based on RHF’s funding availability for projects that meet the requirements set forth in this NOFA.
Qualified developers/project sponsors (“Applicants”) that meet the NOFA requirements are encouraged to submit proposals. Eligible Applicants include for-profit or non-profit corporations, individuals, general or limited partnerships, or limited liability companies.
- Interested applicants may download application materials here.
- Application: If you intend to apply, please email firstname.lastname@example.org and request a link for secure file uploads. Hard copies will not be accepted.
- Due Date: The Housing Loan Application and all required information/attachments must be uploaded no later than Monday, January 31, 2022 at 4:00 pm.
- Selection: Applications will be reviewed for completeness and evaluated for competitiveness by the RHF and its agents. Interviews may be scheduled at the request of the RHF. RHF intends to issue recommendations for funding no later than March 31, 2022. Applicants who are recommended for funding should expect to and will be required to provide additional due diligence materials as part of the underwriting and approval process.
- For additional information: Please submit questions to email@example.com by January 18, 2022.
Review of Funding Recommendations
The developments recommended for funding by the Fund’s Board and receiving preliminary loan commitments were:
- Acme Family Apartments, located at 1885 Roseland Avenue, featuring 77 one-, two-, and three-bedroom units affordable to households earning between 30-60% of the Area Median Income (AMI), $800,000. Loan targeted to close in late August.
- Aviara, located at 1385 West College Avenue, featuring 136 units of two- and three-bedroom units affordable to households earning between 30-60% of AMI, $2,400,000. Loan closed on June 9, 2022.
- Casa Roseland, located at 665 Sebastopol Road, featuring 75 one-, two-, and three-bedroom units affordable to households earning between 30-60% of AMI, $3,471,289.
- 420 Mendocino Avenue Apartments, located at 420 Mendocino Avenue, featuring 163 studio, one- and two-bedroom units in the heart of downtown Santa Rosa, $7,000,000.
- Pullman Lofts, located at 701 Wilson Street, featuring a total of 114 one- and two-bedroom workforce-attainable units across three phases of development, $2,300,000 (decreased to $1,300,000 based on senior lender requirements). Loan targeted to close in August.
- South Park Commons, located at 702 Bennett Valley Road, featuring 62 studio, one-, two-, and three-bedroom units affordable to households earning between 15-50% of AMI, $4,000,000.
Aviara and Acme have broken ground. The remaining projects are expected to break ground later this year or early in 2023. All are required to start within 18 months and successfully complete the Fund’s underwriting, due diligence, and loan closing process. Note that with the exceptions of loans already closed, these projects, and the loan amounts listed, are subject to change as the Fund proceeds to full due diligence and underwriting prior to each loan closing.