KeyBank Provides $12.5 Million of Financing for New Affordable Housing in New Mexico

Dec 6, 2023 1:00 PM ET
Floor plans of the Three Sisters apartment complex in Las Cruces, New Mexico.

CLEVELAND, December 06, 2023 /3BL/ – KeyBank Community Development Lending and Investment (CDLI) provided a $12.5 million construction loan for the development of The Three Sisters, an affordable multifamily housing property in Las Cruces, New Mexico.

The Three Sisters apartments will consist of eight two and three-story residential buildings with a total of 70 units for families and individuals earning no more than 30%, 50%, and 60% of the Area Median Income (AMI). The apartments will comprise of one-, two-, and three-bedroom units, and include amenities such as a community space, laundry, computer center, BBQ and picnic area, dog park, and two playgrounds.

Additional amenities at The Three Sisters apartments include comprehensive social services (such as group training, outreach, and bi-monthly health and nutrition education classes.

The sponsor, Chelsea Investment Corporation ("Chelsea"), is a prominent affordable housing developer in California and New Mexico, and as of 2022, maintains a portfolio of 89 affordable housing properties spanning both states. CIC’s nonprofit partner on this property is CC Housing, based out of Albuquerque NM.

The project received additional support from The Richmond Group, which provided $11.9 million in Low Income Housing Tax Credit (LIHTC) equity, as well as a $1.9 million permanent loan from the Rocky Mountain Community Reinvestment Corporation (RMCRC). The Three Sisters also received funding from the city, state, the HOME Investment Partnerships Program (HOME), and the National Housing Trust Fund (HTF).

The property is located within walking distance from numerous neighborhood amenities including a park, school, grocery store, and bus station.

Matthew Haas of KeyBank CDLI structured the financing.

About KeyBank Community Development Lending and Investment

KeyBank Community Development Lending and Investment (CDLI) finances projects that stabilize and revitalize communities across all 50 states. As one of the top affordable housing capital providers in the country, KeyBank’s platform brings together construction, acquisition, bridge-to-re-syndication, and preservation loans, as well as lines of credit, Agency and HUD permanent mortgage executions, and equity investments for low-income housing projects, especially Low-Income Housing Tax Credit (LIHTC) financing. KeyBank has earned 10 consecutive “Outstanding” ratings on the Community Reinvestment Act exam, from the Office of the Comptroller of the Currency, making it the first U.S. national bank among the 25 largest to do so since the Act’s passage in 1977.

About KeyCorp

KeyCorp's roots trace back nearly 200 years to Albany, New York. Headquartered in Cleveland, Ohio, Key is one of the nation's largest bank-based financial services companies, with assets of approximately $188 billion at September 30, 2023. Key provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states under the name KeyBank National Association through a network of approximately 1,000 branches and approximately 1,300 ATMs. Key also provides a broad range of sophisticated corporate and investment banking products, such as merger and acquisition advice, public and private debt and equity, syndications, and derivatives to middle market companies in selected industries throughout the United States under the KeyBanc Capital Markets trade name. For more information, visit KeyBank is Member FDIC.