Genesis Workforce Housing Fund
Fund Overview
The Genesis Workforce Housing Fund is a $100-million private equity real estate
fund providing equity financing for the development of workforce housing, mixed-use
and commercial properties in the greater Los Angeles region. The fund invests
in the development of both for-sale and rental housing, including condominiums,
townhomes, live/work lofts, single-family homes and multi-family apartment
buildings. Projects involve both new construction and rehabilitation, including
the adaptive reuse of historical and commercial structures.
The fund received initial funding of $57 million from institutional investors in April 2004 and was fully capitalized at $100 million in April 2005. The fund's equity will be leveraged to provide over $500 million worth of housing, producing over 2,100 new housing units for middle-income families in greater Los Angeles.
Investment Strategy
This Fund provides equity financing to third-party developers for the creation
of for-sale and rental housing for the middle-income workforce in the greater
Los Angeles region including: firefighters, police officers, teachers, nurses
and office workers facing few housing choices and long commutes. It is the
nation's first institutional source of capital to focus exclusively on market-rate
housing for middle-income households. It helps solve the biggest problem plaguing
California - the unmet demand for housing near centers of employment that is
affordable to middle-income wage earners.
The Genesis Fund is focused on low and moderate-income census tracts and redevelopment areas located in the urban core that have a lack of housing affordable to middle-income families who want to be close to family, friends and work.
Social Benefits
The social benefits for residents of these urban communities include attractive housing, reduced commuting times and more time available for family, leisure and community service.
Phoenix Realty Group Urban Private Equity Funds enjoy significant real estate risk mitigation due to community-wide public support, the leveraging of public subsidies and developer guarantees and subordination at the property level.
Strategic Partnership
The Genesis Workforce Housing Fund is the product of collaboration between Genesis LA Economic Growth Corporation and Phoenix Realty Group. Genesis LA champions economic development in Los Angeles and has helped create over $100 million of prior equity funds. As a result of this collaboration, the Fund enjoys support from local government officials, neighborhood groups, and stakeholders throughout the communities it serves.
Properties
Genesis Workforce Housing Fund Developer Term Sheet
