KeyBank recently contributed $36.3 million to developer Columbia Ventures for the construction of Elevate at Aurora, a new 137-unit multifamily project in Aurora, Colorado.
Elevate at Aurora will contain low-income studio, one-, two-, and three-bedroom configurations. These are for households earning 30%, 40%, 50%, 60%, and 70% of the area median income (AMI). The project will also include constructing a new community service facility that will serve as the Aurora location for CrossPurpose, a nonprofit provider of workforce development services, and Living Hope Community Church, a bilingual church that offers before and after school programming.
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Elevate @ Aurora’s innovative collaborative approach will provide residents and the greater community with chances for economic mobility. Rent reductions alleviate the financial pressure the rent-burden. Furthermore, CrossPurpose provides residents and the Aurora community with growth opportunities through leadership, entrepreneurial, and professional development programmes.
KeyBank Community Development Lending and Investment (CDLI) gave $30 million in LIHTC equity, including $5.5 million in Colorado State tax credit equity and $292,744 in Solar tax credit equity. In addition, KeyBank CDLI granted a $6.3 million equity bridging loan. Through one of its capital markets investors, KeyBank Commercial Mortgage Group raised $31.245 million in private activity bonds structured as a construction-to-permanent Tax-Exempt Loan (TEL).
Columbia Ventures, LLC is a commercial real estate developer based in Atlanta, Georgia, Savannah, Georgia, and Denver that specialises in urban infill multifamily mixed-use campus development. The Aurora Housing Authority serves as a Special Limited Partner.
Other funding secured for the Elevate at Aurora Colorado project
The Colorado Housing and Finance Authority issued tax-exempt bonds. The Colorado Division of Housing provided a $4.7 million loan to the project. Additionally, a $800,000 Capital Magnet Fund loan and a $190,000 Capital Magnet Fund grant from the Colorado Housing and Finance Authority. The project also got municipal backing. This includes a $1 million grant from the federal HOME Investment Partnerships Programme. This is in addition to a $750,000 grant from the City of Aurora under the American Rescue Plan Act.
KeyBank CDLI’s Kortney Brown and Sara Geis handled the balance sheet loan. The construction-to-perm Tax-Exempt Loan was negotiated by Hector Zuniga of KeyBank’s Commercial Mortgage Group.
