Board approves Mason’s Village final loan commitment for Palmdale family project

The California Housing Finance Agency Board on Feb. 20 approved a final permanent loan commitment for Mason’s Village, a 191‑unit family housing development in Palmdale, Los Angeles County.

CalHFA staff recommended approval of a $30,000,000 permanent loan; the board also approved a $1,600,000 Mixed Income Program subsidy for the project. Staff reported total development cost per unit of about $369,000 and described a local density‑bonus agreement that required subordinating a local regulatory agreement to allow a 20% density bonus in exchange for a local requirement that 10% of units be restricted at 60% of area median income.

Developers said the project’s cost efficiency reflects product type, land basis in Palmdale and the use of accessory‑dwelling units. Kevin Harbison, senior vice president at Ravella Holdings, described the product as single‑family style rental homes with attached accessory dwelling units (ADUs) and junior ADUs; he said those accessory units will also serve families in the community. Phil Ram, principal with Ravella, said the design maximizes family‑sized units and neighborhood amenities.

Staff told the board the project had required one underwriting exception related to the density bonus stand‑still agreement, and that the CalHFA legal and underwriting teams recommended approval with the mitigation measures described in the staff report.

The roll call for Resolution 25‑03 recorded affirmative votes from: Chair Cervantes; Miss Kurgan; Mr. Henning; Mr. Prince; Mr. Russell; Mr. Fiegels; Miss Sotelo; Mr. Olmstead; Dr. White; and Mr. Williams. No abstentions were recorded and the motion carried.

Why this matters: The project uses MIP subsidy plus CalHFA permanent financing to close financing gaps at a relatively low per‑unit cost. Directors used the item to revisit earlier board comments about location, environmental tradeoffs and the role of local subsidy in capital stacks.

Where it goes next: Staff will finalize loan documents and proceed to closing under the terms approved by the board.