Western Alliance Plays Key Role in Funding New Affordable Housing in San Diego
July 11, 2023
San Diego residents now have an attractive new affordable housing option: The Orchard at Hilltop, a mixed-use affordable housing development in San Diego’s Chollas View neighborhood.
The project includes 113 affordable apartment homes from studios to four-bedroom units, a hospitality venue and 6,500 square feet of retail space. By combining and cleaning up a dozen parcels on nine acres, it transforms empty land into a vibrant and sustainable community close to schools, parks and shopping.
Western Alliance Bank Affordable Housing, in collaboration with Boston Capital Finance, played a lead role in financing the development with $31 million in construction debt and $13 million in permanent debt. This private placement debt structure represents Western Alliance’s unique, made-to-measure approach to affordable housing finance. The arrangement offers developers the assurance and convenience of a one-stop debt execution from groundbreaking through the 15-year compliance period — plus the ability for bankers to be more flexible in tailoring the debt to a client’s needs.
The project was the brainchild of Affirmed Housing, a leading affordable housing developer, in partnership with the San Diego Housing Commission. Based in San Diego, Affirmed Housing creates sustainable and award-winning communities throughout California.
The project’s three energy-efficient apartment buildings are designed to meet LEED Gold standards. Located near public transportation, The Orchard at Hilltop readily accommodates residents without a car, while also offering convenient access to Route 94 and downtown San Diego. Shared spaces include a swimming pool, basketball half-court, playground and recreation lawn. Original public art appears in indoor and outdoor spaces throughout the project, while a renewed stormwater channel creates a natural wildlife habitat in the busy urban context.
Western Alliance Bank Affordable Housing is a division of Western Alliance Bank that provides financing for affordable housing developments nationwide, with a particular focus on the western United States. The bank has a long history of supporting affordable housing projects that promote economic opportunity, social equity and community development. Responsive, expert bankers offer an array of solutions, including a complete slate of Treasury Management products and services tailored to clients’ needs.
With more than $70 billion in assets, Western Alliance Bancorporation is one of the country’s top-performing banking companies. Its primary subsidiary, Western Alliance Bank, Member FDIC, offers a full spectrum of tailored commercial banking solutions and consumer products, all delivered with outstanding service by banking and mortgage experts who put customers first. Major accolades include being ranked as a top U.S. bank in 2023 by American Banker and Bank Director and receiving #1 rankings on Institutional Investor's All-America Executive Team Midcap 2023-2024 for Best CEO, Best CFO, Best Company Board of Directors and Best Investor Relations Team. Serving clients across the country wherever business happens, Western Alliance Bank operates individual, full-service banking and financial brands with offices in key markets nationwide.