BUILDING GREAT PLACES INVESTING IN PEOPLE PROVIDING HOUSING FOR ALL October 3, 2023 City Council Item 8.2
Kemit Mawakana
Division Manager, Housing Department
Banu San
Housing Policy Planning Administrator, Housing Department Qianyu Sun
Deputy Director, Finance Department
Approval of the Bond
Issuance for the
Parkmoor Apartments
2 Context: San José’s 6th Cycle RHNA Targets
(2023-2031)
INCOME CATEGORY NUMBER OF
UNITS
PERCENT OF
TOTALRHNA
Extremely Low and Very Low-Income
(≤ 50% AMI; includes Extremely Low-Income) 15,088 24%
Low-Income
(51-80% AMI) 8,687 14%
Moderate-Income
(81-120% AMI) 10,711 17%
Above Moderate-Income 27,714 45%
(Market-rate)
Total 62,200 100%
55%
3 Context: San José’s Cumulative 5th Cycle RHNA
Performance (2014-2022)
Located at 1510-1540 Parkmoor Ave. in
District 6
Located in Continued Investment Area
Developed by Abode Housing
Development
81 total apartments
• 79 for extremely low-income and very low-
income individuals and families
40 set aside for transitional aged youth
• 2 unrestricted managers’ units
17,000 square foot ground floor youth
center
City investment of $16,826,688
4 Parkmoor Apartments – Development Highlights
Series Amount Term Rating*
2023F-1 (M-TEMS) $2,150,000 15 years after
conversion Aaa
2023F-2 (Cash
Collateralized) $37,657,713 3 years Aaa/VMIG1
5 Issuance by Public Offering
• Tax exempt bonds, rated and credit enhanced
• Stifel, Nicolaus & Company is the selected underwriter * Ratings are issued by Moody’s
Capital One will underwrite a mortgage loan pursuant to Fannie Mae’s Delegated Underwriting and Servicing (DUS) Program Series 2023F-1 will be credit enhanced by a mortgage-backed security issued by Fannie Mae
Fannie Mae will guarantee payments of Series 2023F-1 regardless of the actual performance of the underlying mortgage loan
Series 2023F-2 will be paid off
6 Conversion
BUILDING GREAT PLACES INVESTING IN PEOPLE PROVIDING HOUSING FOR ALL October 3, 2023 City Council Item 8.2
Kemit Mawakana
Division Manager, Housing Department
Banu San
Housing Policy Planning Administrator, Housing Department Qianyu Sun
Deputy Director, Finance Department
Approval of the Bond
Issuance for the
Parkmoor Apartments