Chelsea Investment Corp. Honored for Providing Quality Affordable Housing for San Diegans with Developmental Disabilities

SAN DIEGO (Sept. 22, 2016) -- When Chelsea Investment Corp. (Chelsea) opened Independence Point in Lincoln Park just six months ago, it was San Diego’s first affordable housing community built with apartments set aside for people with a developmental disability.

This breakthrough property was honored by industry, civic and governmental leaders on Saturday night during the annual ICON awards, presented by the Building Industry Association (BIA) of San Diego County to showcase the best in the business. 

In recognizing Chelsea’s groundbreaking vision for Independence Point, the BIA commended Chelsea for its “monumental achievement in terms of quality affordable housing for persons or families with a member who has a developmental disability.”

In presenting Chelsea and Independence Point with a one-of-a-kind Honorable Mention in the Best Affordable Project category, the panel of judges said: “These units being the first ever built for the developmentally disabled population is one thing [but] getting the San Diego City Council, the San Diego Housing Commission, State Department of Housing & Community Development, San Diego Regional Center, and the Foundation for Developmental Disabilities to be all on the same page is an amazing achievement of teamwork and dedication for this very important cause.”

Located in San Diego’s Council District 4, Independence Point was also honored in June by the San Diego Housing Federation at the 2016 Ruby Awards, the county’s largest affordable housing industry recognition event. The award for Best Supportive Housing was presented by The Honorable Myrtle Cole, 4th District City Councilmember, who provided assistance and support for the project since its inception.

This is the second Ruby Award for Independence Point. In spring 2015, while under construction, the social service visionaries at the San Diego Regional Center and the Southern California Housing Collaborative were honored as Housing Heroes for their leadership in the project. 

With 25 of 32 apartments reserved for families with a disability, this private, gated complex is located at 327 S. Willie James Jones Ave. Originally designed for market rate for-sale town homes, this blighted piece of vacant land was acquired by Chelsea and transformed in favor of a community devoted to serving this almost invisible, special needs population. 

“Imagine for a moment that you’re a parent or a family member of a person with a developmental disability,” said Jim Schmid, president and CEO of Chelsea Investment Corp. “Your single biggest fear is, “where will my child, brother or sister live when I’m gone?” Independence Point is a place where individuals can live independently in homes that are designed to meet their unique circumstances.”

Thanks to its funding and development agreements, Independent Point will maintain its affordable designation for 55 years. It is convenient to grocery stores, schools and public transportation and benefits from on- and off-site social services provided by the Southern California Housing Collaborative, through the San Diego Regional Center.

Affordable apartments at Independence Point offer three or four bedrooms and a private, attached garage. The development includes a community center with offices, a community room, laundry facilities and three accessible flats for people with mobility challenges, all served by an interior elevator. 

“Though this is a relatively small project in a city with huge needs for this type of affordable housing, we believe this project can be replicated by willing partners in both the public and private sector,” said Schmid. “We were blessed by a coalition of dedicated social service providers, governmental agencies and our innovative planners, designers and contracting partners at Emmerson Construction. We can’t wait to do this again.”

This is the second year in a row the BIA Icon awards have recognized Chelsea, which won Best Affordable Project last year for Alpha Square, a 203-unit building serving homeless and very low income individuals in downtown San Diego.

ABOUT CHELSEA INVESTMENT CORPORATION

Since 1984, Chelsea has developed 9,215 units of affordable housing at a cost in excess of $1.5 billion. The firm’s development portfolio includes urban infill, mixed-use, suburban inclusionary, acquisition rehab and rural developments. Approximately 20 percent of the units developed by Chelsea serve specialized populations, including seniors, farm workers, homeless households, and individuals with physical and developmental disabilities. The company is one of the few fully integrated affordable housing developers in the region that offers turnkey development, general contracting and property/asset management services. Chelsea is a long-term owner and operator and maintains a portfolio in excess of 5,000 affordable housing units. For more information, please visit www.chelseainvestco.com.

Border Communities Capital Co. Helps Fund A Job-Generating Beef Processing Plant Through New Markets Tax Credit Financing

Border Communities Capital Company, LLC (BCCC), an affiliated entity of Chelsea Investment Corporation (Chelsea), has closed a $7.76 million loan financed through the New Markets Tax Credit (NMTC) program with One World Beef (OWB) for the acquisition and rehabilitation of the former National Beef processing plant located in Imperial County in the City of Brawley, Calif. The project includes a 337,000-square-foot beef processing facility and is located on approximately 100 acres of land. 

Financing for the project involved a consortium of lenders and equity investors. Cityscape Capital Group, LLC provided an additional $6.6 million of NMTC loans and JPMorgan Chase was the equity investor for the full NMTC allocation. In a strong show of local support, the County of Imperial and the Imperial Irrigation District each provided $2.5 million loans. Clearinghouse Community Development Financial Institution and Bank of Southern California each provided $5 million loans. 

One World Beef owner/operator Eric Brandt is a third-generation Imperial Valley cattle feeder and veteran beef marketer who bucked industry trends in the early 1990s by eliminating the use of hormones. Brandt Beef is currently the only beef producer to receive the prestigious Master Chefs’ Institute Seal of Excellence for its commitment to producing a superior culinary product.

“The significance of this deal to the community cannot be overstated,” said Jerry Hannon, Chelsea’s Chief Financial Officer. “When the beef processing plant was closed by the prior owner in April 2014, it had a tremendous negative impact on the County of Imperial, which has one of the highest unemployment rates in the nation at 23.7% as of June 2016.”  

With a comprehensive renovation now underway, OWB will initially hire approximately 200 people, growing to approximately 600 people as the facility ramps up production over a four-year period. 

“We are overjoyed to have the opportunity to re-fire the shuttered beef plant in Brawley and extremely grateful to Border Communities Capital for helping us realize our goal,” said Eric Brandt, OWB chief executive officer. “Bringing beef processing back to the Imperial Valley will have a tremendous positive economic impact on the City of Brawley and surrounding areas and we’re thrilled to be able to act in concert with Border Communities Capital and our other lenders to help reinvigorate the area.” 

“It is with great excitement that the City of Brawley welcomes One World Beef,” said Brawley Mayor Don Wharton. “The positive impact that the re-opening of the beef plant extends beyond the city limits. Job creation on this level does not happen often, therefore the significance of this industry returning to Brawley is immeasurable.”

Headquartered in San Diego, BCCC provides below market-rate financing to projects that create jobs, spur development, enhance infrastructure, and create services and opportunities for underserved communities and people located near the United States-Mexico border. Financing products offered include equity equivalent loans and a mixture of development, construction and permanent loans. 

BCCC’s Advisory Board member and longtime resident of Brawley, Tom DuBose added, “Imperial County’s largest agricultural commodity is cattle. We are grateful to the Brandt family for stepping up to restore this important job-generator to the community.”

San Diego Union Tribune: Chelsea Completes $55M Renovation of Low-Income Housing for Seniors at Westminster Manor

See the full article here.

Chelsea Investment Corp., San Diego’s 2015 Builder of the Year, Announces 100% Occupancy at its Newest Complex of Affordable Homes

SAN DIEGO (April 28, 2016) – A new community of 95 affordable apartment homes along San Diego’s popular SR 56 corridor is now fully occupied. The Rancho Del Sol rental complex was built in association with Pardee Homes and developed by Chelsea Investment Corp., a privately held company honored in 2015 as San Diego’s Builder of the Year by the Building Industry Association of San Diego County.

Created for households earning at or below 60 percent of the San Diego area median income,

Rancho Del Sol’s family friendly amenities include a pool, jungle gym-style playground, courtyard with picnic area and a community clubhouse with free access to computers and printers. The one-, two-, and three-bedroom rental homes are located on Carmel Valley Road in Pacific Highlands Ranch.

Children living at Rancho Del Sol are able to attend some of San Diego’s most highly regarded schools including Solana Ranch Elementary, Pacific Trails Middle School and a choice of two high schools in the San Dieguito Union High School District: either Torrey Pines High or Canyon Crest Academy.

Founded in 1984 by Jim Schmid, Chelsea Investment Corp. is ranked among the top 50 affordable housing developers and owners in the country. The firm’s local portfolio includes housing for families with special needs, as well as homes for low-income seniors and the homeless.

“San Diego is privileged to have Jim Schmid as an excellent builder of affordable housing who has a rare combination of great compassion and great intellect,” said Rick Gentry, president and chief executive officer of the San Diego Housing Commission. “With his first-class approach, Jim accomplishes quality affordable housing for San Diegans in need.”

In 2015, Chelsea.was recognized for developing San Diego’s Best Affordable Project, the 203-unit Alpha Square, serving homeless and very low income individuals in downtown San Diego.

The firm has also been honored by Affordable Housing Advocates of San Diego, a group of legal professionals dedicated to enforcing housing laws and tenants’ rights, and representing the interests of low income individuals. Chelsea received a Celebration of Justice award for the development of affordable and inclusionary housing throughout San Diego County, including Fairbanks, Mariposa, The Crossings and Windwood Village. For more information, please visit www.chelseainvestco.com.

San Diego Union Tribune: Chelsea Opens First Affordable Housing Complex for People with Development Disabilities at Independence Point

See the full article here.

Chelsea Investment Corp. Completes Alpha Square, a $47.6 Million Studio Apartment Complex for Homeless and Low-Income San Diegans

SAN DIEGO (Dec. 2, 2015)  -- Chelsea Investment Corp. has celebrated the grand opening of Alpha Square, a transit-oriented mixed-use complex offering 201 affordable rental apartments at 550 14th Street in the heart of San Diego’s East Village. Serving the homeless and low-income population, Alpha Square will be home to some 30 veterans of military service.

In the development pipeline since 2008, the $47.6 million complex replaces a dilapidated single-room occupancy hotel, The Metro, located a few blocks away. Formerly homeless and low-income residents moving to Alpha Square will find studio apartments more than twice of the size of their rooms at The Metro, and amenities including private bathrooms, cooktops, air conditioning, telephone service and internet access. Built on a 20,000-square-foot lot, the six-story building includes one level of subterranean parking.

Alpha Square was developed by Chelsea and Alpha Project for the Homeless in partnership with the San Diego Housing Commission and the City of San Diego. With case management and supportive services provided in-house, Alpha Square features a computer lab, multipurpose room, laundry facilities, commercial kitchen for resident meals, a community courtyard and a landscaped rooftop deck and terrace. The street level has space for income-producing microenterprises intended to provide training and employment opportunities for Alpha Square residents.

“The opening of Alpha Square is going to be a home for those who need a little help,” said San Diego Mayor Kevin Faulconer during recent grand opening ceremonies on the building’s rooftop garden. “It’s a new beginning for San Diegans looking for a fresh start in their lives.”

The City of San Diego provided a $17.6 million loan for the construction of Alpha Square and owns the land, which is subject to a 70-year ground lease. The Project will benefit from 135 section 8 vouchers provided by the San Diego Housing Commission which will allow the tenants to pay no more than 30% of their income, and the federal government will pay the balance of the monthly rent. Rental assistance will stay with the unit when an occupant moves out.

Alpha Square was recently honored as San Diego’s best affordable project in 2015 by the leadership of the Building Industry Association of San Diego County (BIA), who also recognized Chelsea Investment Corp. as San Diego’s 2015 Builder of the Year.

Last month, Chelsea Founder and CEO Jim Schmid was presented with the BIA Chairman’s Award for starting the “Housing You Matters” initiative, an effort to achieve regulatory relief and to improve affordability across the spectrum of housing.

Schmid, who founded Chelsea in 1984, currently presides over what is ranked as the nation’s 16th largest developer of affordable housing. The firm’s local portfolio includes housing for families with special needs, as well as homes for low-income seniors and the homeless.

“Alpha Square is a model of collaboration between public and private interests to help ease the plight of homeless San Diegans,” said Schmid, who noted that Alpha Square will remain affordable to very low- and extremely low-income renters for 55 years. 

Chelsea Investment Corp. Honored as San Diego’s Builder of the Year and for Developing San Diego’s Best Affordable Housing Project

CARLSBAD, Calif. (Oct. 14, 2015) – Carlsbad-based Chelsea Investment Corp. has been honored as San Diego’s 2015 Builder of the Year by the leadership of the Building Industry Association of San Diego County (BIA). Chelsea’s recognition came during the 2015 ICON awards ceremony, an annual event honoring excellence and innovation in the local home building industry from a field of approximately 250 entries.

“BIA San Diego owes its current high standing in the affordable housing policy arena -- the hottest industry topic in the region -- thanks to the tireless guidance provided by Chelsea Investment Corp. and in particular, by its CEO, Jim Schmid,” said Borre Winckel, BIA San Diego CEO, who noted that this is the first time the Builder of the Year award has been presented to a provider of affordable housing.

Schmid, who was elected Chairman of the Board of Directors of the San Diego BIA in 2014, currently presides over what is ranked as the nation’s 16th largest developer of affordable housing. Founded by Schmid in 1984, the firm’s local portfolio includes housing for families with special needs, as well as homes for low-income seniors and the homeless.

“San Diego is privileged to have Jim Schmid as an excellent builder of affordable housing who has a rare combination of great compassion and great intellect,” said Rick Gentry, president and chief executive officer of the San Diego Housing Commission. “With his first-class approach, Jim accomplishes quality affordable housing for San Diegans in need.”

Chelsea was also honored for developing San Diego’s Best Affordable Project in 2015, the 203-unit Alpha Square, which will serve homeless and very low income individuals in downtown San Diego’s East Village. Alpha Square will replace Hotel Metro, a nearby single-room occupancy hotel whose current residents will be welcomed to Alpha Square when it opens later this month.

Alpha Square is a $47.6 million transit-oriented, mixed use development, built with financial assistance from the San Diego Housing Commission and Civic San Diego. Built on a 20,000-square-foot lot, the six-story building includes one level of subterranean parking.

“Chelsea Investment was an outstanding development partner in this public/private partnership,” said Reese A. Jarrett, president of Civic San Diego. “Alpha Square has raised the bar in providing quality affordable housing in our downtown community to a vastly underserved population of very low income individuals and those in need of supportive services.”

Averaging 260 square feet, all fully furnished studio apartments at Alpha Square will feature a full bathroom, cooktop and air conditioning, plus internet access, cable television and telephone service for all residents. Building amenities will include a computer lab, multipurpose room, laundry facilities, a community courtyard and a landscaped rooftop deck and terrace. Case management and an array of supportive services will be provided by Alpha Project for the Homeless, a nonprofit organization that also operates the Hotel Metro.

Through vouchers provided by the San Diego Housing Commission, the tenant will pay 30% of their income, and the federal government will pay the balance of the monthly rent. Rental assistance will stay with the unit when an occupant moves out.

“Alpha Square is a collaborative solution to the problem of homelessness in downtown San Diego,” said Schmid, who noted that Alpha Square will remain affordable to very low- and extremely low-income renters for 55 years.