KeyBank Funds $25.9 Million for New Affordable Housing in Compton

CLEVELAND, Ohio – KeyBank Community Development Lending and Investment (CDLI) has provided a $25.9 million loan for the construction of a new affordable housing project in Compton, California. The funding will support the development of 75 units at 1434 W. Compton Blvd LP, with completion expected by May 2027.

The Coalition for Responsible Community Development (CRCD) is working with LandSpire Group, LLC on this project. This collaboration marks their first venture together. Their goal is to build over 1,000 affordable and permanent supportive housing units in the Greater Los Angeles area over the next ten years.

The new development will feature a three-story building that includes studio, one-bedroom, and two-bedroom apartments. All units will be available to individuals earning at or below 50% of the area median income. Half of the units are designated as permanent supportive housing while the other half will serve general affordable housing needs.

Additional financing has been secured through Low-Income Housing Tax Credit (LIHTC) equity and Freddie Mac TEL permanent financing arranged by Walker & Dunlop.

CRCD, founded in 2005, aims to enhance the quality of life in South Los Angeles through jobs, education, training, and affordable housing. Since its establishment, CRCD has facilitated $160 million in investments, which have led to the creation of 464 housing units and additional development worth $665 million.

LandSpire Group, a real estate private equity firm founded in 2019, focuses on developments in U.S. markets facing housing affordability challenges. Their current portfolio includes 500 units of market-rate housing, with plans to add 400 affordable units by the end of 2025.

The 1434 W. Compton Blvd project will include amenities such as laundry facilities, a community room, a playground, and a landscaped courtyard. The development will also feature social services provided by CRCD and other community partners.

Matthew Haas and Cathy Danigelis of KeyBank CDLI structured the financing for the project.