April 17-Oakland, CA
Merritt had its final fund closing for Fund 24–closing at $140,745,000, making it Merritt’s second largest fund in its 35 years!
Fund 24 currently finances eight projects, creating 476 affordable homes across California. This fund has 13 investors, matching the most investors in a single Merritt fund, including one new investor and two returning investors making their largest single investments to date.
Merritt prioritizes partnerships with mission-aligned housing developers to create and preserve affordable homes for underserved populations. Working with partners that share Merritt’s vision of everyone having a home in a community where they can thrive.
“We built Fund 24 during a time of great change and turmoil in California’s banking industry,” said Merritt’s Investor Relations Manager, Carla Vasquez-Noriega. “It is a testament to the team at Merritt and its partners for meeting the moment to continue providing low-income Californians with the safe and affordable housing they need. Merritt reinvests in people and policies that build a stronger industry and a stronger California. In 2023, our Commitment to California initiative supported 500 individuals across California.”
Fund 24 consists of eight properties across California. Of these eight properties, half of them include special needs units. Of the 476 affordable homes, 47% are PSH, 10% are for seniors, and 37% are for families. As Merritt works toward a vision where everyone has a community where they can thrive, 37% of the homes funded in Fund 24 are for extremely low-income residents, households earning at or below 30% of the average median income (AMI). 42% of the homes are for very low-income residents, households earning 31-50% of the AMI with 21% of homes for low-income residents, households earning 51-80% of the AMI. Fund 24 properties are projected to save $4.44 million in rent per year and reduce greenhouse gas emissions by 789 metric tons.
LA Family Housing, in partnership with Mercy Housing and Abode, developed Devonshire, a unique affordable housing community utilizing modular construction. The project is pursuing LEED Gold certification with Sustainable Sites credits including heat island reduction, rainwater management, nontoxic pest control, water efficiency and other climate mitigation and resiliency features. The project was among the first Measure HHH-funded supportive housing developments in Chatsworth. The Los Angeles City Council allocated $10.4 million in Measure HHH funding.
“LA Family Housing is grateful for our partnership with Merritt in order to advance our mission to help people transition out of homelessness and poverty through a continuum of housing enriched with supportive services,” shared LA Family Housing’s President and CEO, Stephanie Klasky-Gamer. “Most recently we were excited to close with Merritt on our 21300 Devonshire new PSH development, a 100-unit modular tax credit development in Chatsworth. The new construction project will provide much needed housing for individuals experiencing homelessness with its studio apartments and amenities for the residents to enjoy, such as landscaped courtyard, dog run, community room with computers, bicycle storage and offices for on-site supportive services. Together with Merritt, LA Family Housing is moving more people HOME!”
In 2023, Merritt awarded BMO with our Investor of the Year award at our annual Partner’s Event because of our strong partnership and mission-alignment. “BMO is proud to continue its longstanding partnership with Merritt,” said Pamela Daniels-Halisi, Managing Director, Community Capital Solutions. “BMO is dedicated to supporting the development and preservation of affordable homes in California as our footprint in the state continues to grow. We are grateful to partner with Merritt and their 35 years of affordable housing experience, as we strive to fulfill our Purpose to Boldly Grow the Good in business and life.”
Since 2019, when Ari Beliak became President and CEO, Merritt has invested nearly $600 million, representing over 40% of Merritt’s total capital raised in 35 years.
Thank you to all of our partners, new and continued, for joining us in creating and closing Fund 24! Merritt believes in the power of investing in housing and people to build a stronger California.
Merritt is actively seeking investors for Fund 25 and investors for Proprietary Funds! We invest in affordable housing and people to build a stronger California. Please contact Merritt’s Investor Relations Manager, Carla Vásquez-Noriega
cvasquez-noriega@merrittcap.org, to invest equity capital or David Dologite, Director of Acquisitions, at ddologite@merrittcap.org for project investment capital.
Rendering photo credit goes to Abode Communities.