Home News and Notifications HACLA Announces Homekey MTEB Portfolio Closing
HACLA Announces Homekey MTEB Portfolio Closing



Los Angeles – Yesterday the Housing Authority of the City of Los Angeles (HACLA) closed on a first-of-its-kind financing totaling $70.8 million to support the creation and operation of 459 units of permanent supportive affordable housing for unhoused families in the City of Los Angeles. 

The units are located in eight apartment buildings spanning eight different City Council districts across the City of Los Angeles. HACLA acquired the properties between 2020 and 2023 using $117 million in grants from the State of California’s Homekey program and $68 million in loans from HACLA’s line of credit through City National Bank. Each unit is restricted to occupancy for 55 years by households who are experiencing or at risk of homelessness. Seven of the properties were bought as newly constructed or rehabbed market-rate apartment buildings, and one property was a recently built hotel that HACLA converted to studio apartments. 

HACLA’s asset management team leased the apartments with referrals from the Coordinated Entry System and from Mayor Karen Bass’s Inside Safe program. The City of Los Angeles also strongly supported the acquisition of the properties, with subordinate loans totaling $9.5 million for two of the properties, Hillhaven Terrace the View at Soto. HACLA also dedicated project-based Section 8 vouchers to provide long-term subsidy to support operations and services at each of the properties. Mayor Bass’s Executive Directive No. 1 was instrumental in expediting inspections and occupancy of 85 units in one property, the View at Soto. 

“Our staff, third-party managers, and service provider partners did a sensational job of getting these units occupied in record time and coordinating critical services to support our residents,” said Tina Booth, HACLA’s Director of Asset Management. “HACLA was thrilled to welcome these properties into our portfolio of more than 6,500 units across the city, and we look forward to continuing to expand our impact with more acquisitions of affordable housing in the future,” said Geoffrey Moen, HACLA’s Director of Development. 

HACLA used Fannie Mae’s Mortgage-Backed Securities as Tax-Exempt Bond Collateral (MTEB) program to finance the transaction, which combines HACLA’s ability to issue long-term tax-exempt bonds with Fannie Mae credit enhancement in the form of its mortgage-backed securities program. The HACLA Homekey financing is believed to be one of the first multi-asset transaction featuring both crossed and uncrossed assets, the largest non-LIHTC (tax credit) transaction, the largest governmental owned transaction, and the largest fully permanent supportive housing transaction ever using the Fannie Mae MTEB program, and it achieved one of the lowest interest rates in recent years for any MTEB transaction. The HACLA MTEB bonds received an Aaa credit rating from Moody’s Investor’s Services. 

“This historic transaction marks a tremendous milestone in HACLA’s efforts to expand affordable housing for the citizens of Los Angeles who need it the most,” said Doug Guthrie, HACLA’s President and CEO. “With the dedication of our talented in-house staff, and our committed partners at the City and State levels and within the financial community, HACLA continues to break new ground and to utilize every available resource to address the homelessness emergency and to further Mayor Bass’s critical mission of bringing Angelenos inside safely,” said Cielo Castro, Chair of HACLA’s Board of Commissioners.   

CBRE Multifamily Capital, represented by Vice President Jeanne Marie Coronado, served as the Fannie Mae DUS lender for the transaction. RBC Capital Markets, represented by Greg Goldberg, served as the bond underwriter. Peter Ross of Ross Financial served as the municipal advisor for HACLA. 

“The strong demand for the bonds sold through this transaction demonstrates a deep desire within the capital markets to do well by doing good,” John Castanon, HACLA’s Capital and Debt Officer, said. “HACLA is excited to continue deploying its resources to address our critical priority of building, buying, and preserving affordable housing for the residents of Los Angeles.” 

“HACLA is especially thankful for our deep relationships with Mayor Bass’s office, the Los Angeles City Council, and the Los Angeles Housing Department,” Jenny Scanlin, HACLA’s Chief Development Officer, said. “We are also deeply indebted to Governor Newsom, Director Velasquez, and the staff of the California Department of Housing and Community Development, whose support of the Homekey program has resulted in $536 million of grant funding to HACLA to support the creation of more than 2,400 housing units for Los Angeles’s unhoused population.” 

The properties included within the HACLA Homekey MTEB financing are summarized below: 

Property Name


Council District

Housing Units

Pico Square

5050 W. Pico Blvd.



Orchid Suites

1753 N. Orchid Ave.



Laurel Court

14949 Roscoe Blvd.



Brynhurst Terrace

6521 Brynhurst Ave.



NoHo Apartments

11135 W. Burbank Blvd.



Alvarado Lakeview

740 S. Alvarado St.



Hillhaven Terrace

10150 Hillhaven St.



View at Soto

1044 N. Soto St.





About HACLAThe Housing Authority of the City of Los Angeles (HACLA) was established in 1938 by City of Los Angeles Resolution No. 1241. HACLA is one of the nation’s largest and leading public housing authorities, providing the largest supply of quality affordable housing to residents of the City of Los Angeles. HACLA provides affordable housing to over 83,000 households in its Public Housing and Section 8 rental assistance programs, and offers a range of permanent supportive housing programs for homeless households, including: Project-Based, HUD – Veterans Affairs Supportive Housing, Homeless, Tenant Based Supportive Housing, Housing Opportunities for Persons with Aids (HOPWA), Continuum of Care and Moderate Rehabilitation Single Room Occupancy program. For more information, visit www.hacla.org.



Eric R. Brown, Director Intergovernmental Relations                                    




Courtney Harris, Media & Marketing Specialist 



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