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DATE: |
November 4, 2025 |
08 |
SUBJECT
Title
APPROVAL OF A RESOLUTION: ISSUANCE OF REVENUE BONDS BY THE CALIFORNIA MUNICIPAL FINANCE AUTHORITY FOR THE BENEFIT OF FALLBROOK SENIOR APARTMENTS LP IN AN AGGREGATE AMOUNT NOT TO EXCEED $26,000,000 (DISTRICT: 5)
Body
OVERVIEW
The County has received a request from the California Municipal Finance Authority (“CMFA” or “Authority”) to approve the Authority’s issuance of one or more series of revenue bonds in an aggregate principal amount not to exceed $26,000,000 (the “Bonds”), for the benefit of Fallbrook Senior Apartments LP (the “Borrower”) or a partnership of which National Community Renaissance of California (the “Developer”) or a related person to the Developer is the general partner. The Borrower has applied for the financial assistance of the Authority to finance or refinance the acquisition, construction and development of a multifamily rental housing project located at 213 & 225 West Elder Street, Fallbrook, California 92028 (collectively, the “Project”).
The Authority is authorized to assist in financing for nonprofit public benefit organizations or for-profit corporations with a public benefit project wishing to issue revenue bonds, including the Borrower. In order to initiate such a financing, the Borrower is asking the County of San Diego, a member jurisdiction in which the project resides to approve the Authority’s issuance of the Bonds. Although the Authority will be the issuer of the Bonds for the Borrower, the financing cannot proceed without the approval of an applicable legislative body.
Pursuant to Section 147(f) of the Internal Revenue Code, a public hearing was held on October 16, 2025 by CMFA. There were no comments from the public at that hearing.
Today’s recommendation will provide the Authority with the required authorization to pursue its determination to issue the Bonds on behalf of the Borrower for the Project.
RECOMMENDATION(S)
CHIEF ADMINISTRATIVE OFFICER
1. Adopt a Resolution entitled:
RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF SAN DIEGO APPROVING THE ISSUANCE OF CALIFORNIA MUNICIPAL FINANCE AUTHORITY EXEMPT FACILITY BONDS IN AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $26,000,000 FOR THE PURPOSE OF FINANCING OR REFINANCING THE ACQUISITION, CONSTRUCTION, IMPROVEMENT AND EQUIPPING OF BROOKVIEW SENIOR VILLAS
EQUITY IMPACT STATEMENT
This financing will help in the creation of quality, affordable housing for 60 low-income households in the County of San Diego. The bonds issued will be used to finance or refinance the acquisition, construction and development of a multifamily rental housing project located at 213 & 225 West Elder Street, Fallbrook, California 92028. This project will improve the health of the community by providing quality senior affordable housing in the County of San Diego.
SUSTAINABILITY IMPACT STATEMENT
The proposed action would result in economic benefits for the community by allowing the borrower to serve 60 low-income senior households in the County of San Diego. This financing will contribute to the County of San Diego Sustainability Goal No. 2, providing just and equitable access, by increasing investment in underserved communities of San Diego County.
FISCAL IMPACT
If approved, the proposal will result in approximately $991 of unanticipated revenue to be used to reimburse the County for staff costs associated with this non-County financing. There will be no change in net General Fund cost and no additional staff years.
The Borrower will be responsible for the payment of all present and future costs in connection with the issuance of the financing related to the Project. The County will incur no obligation of indebtedness as a result of today’s actions.
BUSINESS IMPACT STATEMENT
N/A
Details
ADVISORY BOARD STATEMENT
The Debt Advisory Committee, composed of the Chief Financial Officer, Auditor and Controller, and the Treasurer-Tax Collector, concurs with this recommendation.
BACKGROUND
California Municipal Finance Authority (“CMFA” or “Authority”)
The CMFA provides tax-exempt financing for qualified projects located throughout the State of California. The Authority’s mission is to support economic development, job creation, and social programs throughout the State. By assisting nonprofit corporations and/or for-profit entities with various tax-exempt financing programs, the Authority is able to support programs that improve the health and welfare of California residents. The Authority finances a broad range of facilities including nonprofit projects such as education, health care and cultural facilities, affordable multi-family and senior housing, manufacturing facilities and equipment, solid waste, water, wastewater treatment facilities and infrastructure projects and government sponsored financing.
National Community Renaissance (National CORE) (“Developer”)
Fallbrook Senior Apartments LP (the “Borrower”) or a partnership of which National Community Renaissance of California (the “Developer”) or a related person to the Developer is the general partner.
National CORE understands that affecting prosperity, security, revitalization, and growth requires a concerted collaboration and is the result of shared ambitions. Part of that process is a commitment to go beyond bricks and mortar; to create healthy communities that thrive and prosper for many generations to come.
National CORE is a nonprofit affordable housing developer that builds and manages affordable housing communities. They enrich their rental properties with services proven to make a positive impact such as senior wellness initiatives, afterschool programs, and low-cost/free preschool.
National CORE, supports families and seniors by providing housing communities that are affordable, safe and good quality. They enhance neighborhood stability through long-term management and maintenance, as well as services such as senior wellness, afterschool programs and preschool.
National CORE created the Hope Through Housing Foundation (“Hope”) in order to provide high quality services for seniors and children. Hope strives to meet or exceed nationally recognized benchmarks and best practices for senior and youth programs. It evaluates its program delivery and publishes the results on its website, www.hthf.org, every year.
Project
The Brookview Senior Villas Apartments is a proposed new construction project that will consist of one, three-story, elevator-served residential building containing 61 1-bedroom and 2-bedroom apartment units. The building will also contain a leasing office, community room, computer room, and laundry room. The site will also be improved with a picnic area and 29 surface parking spaces. The type of construction will be wood frame on a concrete slab foundation. With the exception of a non-revenue employee unit, all units will be Low-Income Housing Tax Credit (LIHTC) restricted to senior households (62+) with income levels at or below 20%, 30%, and 40% Area Medium Income (AMI). Further, 12 one-bedroom units at the 20% AMI level will be permanent supportive housing units restricted to homeless senior (62+) households. The financing of this project will continue to provide affordable housing for 60 households in the County of San Diego for the next 55 years.
County Involvement
Section 147(f) of the Code requires that an applicable elected body, with respect to the Project, approve the issuance and delivery of the Bonds following a public hearing therefore. The Board of Supervisors of the County of San Diego, as an applicable elected body, is requested to approve the issuance of Bonds. The Borrower shall be responsible for the payment of all present and future costs in connection with the issuance of the Bonds.
The Authority will be issuing the Bonds in an aggregate principal amount not to exceed 26,000,000 and is seeking approval pursuant to Section 147(f) of the Code for the Project located in San Diego County.
The Authority published a notice of public hearing in an area of its website which is designed to inform members of the general public about public hearings to be held by the Authority on October 03, 2025 for a public hearing pursuant to Section 147(f) of the Code to be held on October 16, 2025 with respect to the issuance of the Bonds and the Project. On October 16, 2025, the Authority held the public hearing and no public comments were received by the Authority prior to or at the public hearing.
LINKAGE TO THE COUNTY OF SAN DIEGO STRATEGIC PLAN
Today’s proposed action supports the Equity: Housing Strategic Initiative in the County of San Diego’s 2025-2030 Strategic Plan by supporting and allowing the issuance of revenue bonds by CMFA for the Borrower to finance or refinance the acquisition, construction and development of a multifamily rental housing project located at 213 & 225 West Elder Street, Fallbrook, California.
Respectfully submitted,
ebony n. shelton
Chief Administrative Officer
ATTACHMENT(S)
1. RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF SAN DIEGO APPROVING THE ISSUANCE OF CALIFORNIA MUNICIPAL FINANCE AUTHORITY EXEMPT FACILITY BONDS IN AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $26,000,000 FOR THE PURPOSE OF FINANCING OR REFINANCING THE ACQUISITION, CONSTRUCTION, IMPROVEMENT AND EQUIPPING OF BROOKVIEW SENIOR VILLAS
2. TRANSCRIPT OF PUBLIC HEARING
3. PROOF OF NOTICE OF PUBLIC HEARING
4. CMFA PROJECT APPLICATION FOR BONDS