Title
Approving the Issuance of California Municipal Finance Authority Multifamily Housing Qualified 501(c)(3) Bonds in an Aggregate Principal Amount not to Exceed $16,565,000 for the Purpose of Financing and/or Refinancing the Acquisition and Improvement of a Mobile Home Park to be Known as Alpine Oaks Estate (District: 2)
Body
Overview
The County of San Diego (“County”) has received a request from the California Municipal Finance Authority (“CMFA” or “Authority”) to approve the Authority’s issuance of multifamily housing qualified 501(c)(3) bonds in an aggregate principal amount not to exceed $16,565,000 (the “Bonds”), for the benefit of Augusta Communities II LLC, a California limited liability company, whose sole member is Augusta Homes, a California nonprofit public benefit corporation (the “Borrower”). The Borrower has requested that the Authority participate in the issuance of the Bonds to finance or refinance the acquisition and improvement of an approximately 66 space mobile home park located within the county at 3505 Alpine Boulevard, Alpine, California 91901 (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 multifamily housing qualified 501(c)(3) bonds, including the Borrower. In order to initiate such a financing, the Borrower is asking the County, 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 August 4, 2026. There was one member of the public who was present and made a comment.
Today’s recommendations 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 by Chief Administrative Officer
Adopt a Resolution entitled:
RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF SAN DIEGO APPROVING THE ISSUANCE OF CALIFORNIA MUNICIPAL FINANCE AUTHORITY MULTIFAMILY HOUSING QUALIFIED 501(C)(3) BONDS IN AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $16,565,000 FOR THE PURPOSE OF FINANCING AND/OR REFINANCING THE ACQUISITION AND IMPROVEMENT OF A MOBILE HOME PARK TO BE KNOWN AS ALPINE OAKS ESTATE
Equity Impact Statement
This financing will help in the acquisition and improvement of an approximately 66 space mobile home park located within San Diego County. The obligations will assist the Borrower to offer low-income living arrangements for households in San Diego County.
Sustainability Impact Statement
The proposed action would result in economic benefits for the community by allowing the borrower to serve 66 low-income households in the San Diego County. This financing will contribute to the County of San Diego’s 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 of San Diego (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 reissuance 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, the 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.
Borrower
Augusta Communities II LLC (Borrower), is a single-purpose entity whose sole member is Augusta Homes, a California nonprofit public benefit corporation, was founded in 1998to provide affordable housing opportunities for households of modest means through the acquisition, rehabilitation and preservation of mobile home park communities.
Borrower and its affiliates serve over 3,200 residents in eight mobile home parks in San Bernardino, Riverside, Ventura, and Tulare counties. It also operates two mobile home parks owned by the City of La Habra that serve over 625 residents across various properties.
Project
Alpine Oaks Estates is a 66-space, all-age manufactured housing community located at 3505 Alpine Boulevard in Alpine, CA. Neighboring the Cleveland National Forest and close to I-8, Alpine Oaks Estates offers access to outdoor recreation and easy freeway connections. The community is served by a private well and septic system, with propane for gas service and San Diego Gas & Electric (SDG&E) for electricity. Community amenities include a community clubhouse, swimming pool, garden area, and solar-covered RV and car storage.
The acquisition and preservation of Alpine Oaks places 66 spaces of manufactured housing in nonprofit ownership, protecting current residents from displacement, and maintaining long-term affordability and stability for lower-income and elderly households under recorded affordability covenants. Residents own their homes and rent their spaces. The acquisition places the community under nonprofit ownership protecting homeowners from the large rent increases that often follow an investor purchase, preventing against economic displacement. Relocating homes from one park to another is generally cost prohibitive and few parks allow older homes to be installed- so protecting a captured market is vital. At least 20 percent of the spaces are reserved for very low-income households at or below 50 percent of Area Median Income (AMI), with half of those spaces also rent-restricted, with additional spaces available for lower income households at or below 80 percent of AMI.
County Involvement
Section 147(f) of the Internal Revenue Code (the “Code”) requires that an applicable elected body, with respect to the Project, approve the reissuance and delivery of the Bonds following a public hearing therefore. The Board of Supervisors of the County of San Diego (County), 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 is seeking approval of the resolution from the County pursuant to Section 147(f) of the Code for this issuance.
The Authority published a notice of public hearing in the Alpine Sun on July 24, 2026, which is designed to inform members of the general public about public hearings to be held by the Authority, pursuant to Section 147(f) of the Code. The notice listed August 4, 2026 as the public hearing date with respect to the issuance of the Bonds for the Project.
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 2026-2031 Strategic Plan by supporting and allowing the issuance of multifamily housing qualified 501(c)(3) bonds by California Municipal Finance Authority for the Borrower to finance or refinance the acquisition and improvement of a mobile home park project located within the county.
Respectfully submitted,
Ebony N. Shelton
Chief Administrative Officer
Attachment(s)
1. Attachment A - Resolution
2. Attachment B - Transcript Of Public Hearing
3. Attachment C - Proof Of Notice Of Public Hearing
4. Attachment D - CMFA Project Application For Bonds