, October 2, 2025
News Summary
KeyBank Community Development Lending and Investment is providing a $25.9 million construction loan for a new three‑story, 75‑unit affordable housing building at 1434 W. Compton Blvd. The development will split units between permanent supportive housing and general affordable apartments, all restricted at or below 50% of area median income. On‑site amenities include laundry, a community room, tot lot, landscaped courtyard, amphitheater seating, a basketball/multi‑court, parking and a resident manager. The Coalition for Responsible Community Development and LandSpire Group are developing the project, with social services delivered by CRCD and community partners.
KeyBank Provides $25.9M Construction Loan for 75-Unit Affordable and Supportive Housing in Compton
What happened: A $25.9 million construction loan has been provided to finance a new 75-unit affordable housing development at 1434 W. Compton Boulevard in Compton, California. The loan was arranged by KeyBank Community Development Lending and Investment and will support a three-story project that pairs general affordable apartments with permanent supportive housing.
Top details
The project, organized as 1434 W. Compton Blvd LP, is a joint development between the Coalition for Responsible Community Development and LandSpire Group, LLC. Half of the units will be set aside as permanent supportive housing and the other half as general affordable housing. All apartments will be restricted at or below 50 percent of area median income.
Financing and schedule
KeyBank CDLI provided the primary construction loan. Additional financing layers include Low-Income Housing Tax Credit equity and a Freddie Mac TEL permanent loan originated by Walker & Dunlop. Two KeyBank CDLI bankers structured the financing. The project is expected to be completed by May 2027.
Design, unit mix and amenities
The three-story development will include studio, one-bedroom and two-bedroom units. On-site features will include laundry facilities, a community room, a tot lot, a landscaped courtyard with amphitheater-style seating, a basketball/multi-use play area, on-site parking, and a resident manager. Social services will be delivered on-site by the Coalition for Responsible Community Development and other community partners.
Partnership and long-term goal
This is the first joint project between the Coalition for Responsible Community Development and LandSpire Group. The partnership is intended as the first step in a plan to produce more than 1,000 permanent supportive and affordable housing units across the Greater Los Angeles area over the next decade.
Who the developers are
The Coalition for Responsible Community Development is a nonprofit organization founded in 2005 that focuses on improving quality of life in South Los Angeles through jobs, education, training, affordable housing, and supportive services. Since its founding, the organization has facilitated roughly $160 million in investments and helped create 464 housing units, with additional development activity amounting to about $665 million. LandSpire Group, founded in 2019, is a Southern California private equity firm that invests in ground-up developments in markets facing affordability challenges. LandSpire currently holds about 500 market-rate and workforce housing units, with an additional 400 affordable and workforce units scheduled for delivery by the end of 2025.
Context in the local pipeline
The Compton project joins several recent affordable housing moves in the region. Another developer recently broke ground on a separate 51-unit affordable community nearby, and local agencies continue to fund projects that include deep income targeting and supportive services. Large-scale pipelines in the broader Los Angeles region continue to include thousands of affordable units in various stages of development and delivery.
Why it matters
The combination of targeted income restrictions, an explicit permanent supportive housing allocation, and on-site services is designed to connect housing stability with health, employment, and social supports. The financing structure—construction loan followed by tax-credit equity and a Freddie Mac TEL permanent loan—reflects a common approach for bringing affordable projects from ground-up construction to long-term operation.
Bank and lender background
KeyBank Community Development Lending and Investment finances projects nationwide that aim to stabilize and revitalize communities, with products that include construction, acquisition, bridge-to-re-syndication and preservation loans, lines of credit, Agency and HUD permanent mortgages, and equity investments for low-income housing projects. Recent institutional information provided in financing materials lists KeyCorp assets and notes its banking footprint across multiple states. The bank has a long-standing record on federal community investment evaluations.
Project timeline and next steps
With construction financing in place, the project team will move deeper into site work and vertical construction. Completion and occupancy are anticipated by May 2027, subject to typical construction, permitting and funding timelines.
Frequently Asked Questions
What is the total number of apartments and unit types?
The development will contain 75 units made up of studio, one-bedroom and two-bedroom apartments.
Who will qualify to live there?
All units will be restricted at or below 50 percent of area median income. Fifty percent of the units will be reserved as permanent supportive housing.
Who is financing the project?
The construction loan comes from KeyBank Community Development Lending and Investment. Additional financing includes Low-Income Housing Tax Credit equity and a Freddie Mac TEL permanent loan arranged by Walker & Dunlop.
When is the project expected to be finished?
Construction completion and readiness for occupancy are expected by May 2027, barring delays.
What on-site services will be available?
Social services will be provided on-site by the nonprofit sponsor and community partners, coordinated with resident support and case management resources.
How does this project fit into broader housing goals?
The project is the first collaboration between the nonprofit sponsor and a private equity partner that aims to produce more than 1,000 affordable and supportive homes across the Greater Los Angeles area over the next decade.
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Key Project Features
| Feature | Detail |
|---|---|
| Location | 1434 W. Compton Boulevard, Compton, California |
| Unit count | 75 units |
| Unit types | Studios, 1-bedrooms, 2-bedrooms |
| Income targeting | All units at or below 50% AMI |
| Supportive housing | 50% of units set aside as permanent supportive housing |
| Primary construction loan | $25.9 million from KeyBank CDLI |
| Other financing | LIHTC equity and Freddie Mac TEL permanent financing via Walker & Dunlop |
| Developers | Coalition for Responsible Community Development and LandSpire Group, LLC |
| Expected completion | May 2027 |
| On-site amenities | Laundry, community room, tot lot, landscaped courtyard, amphitheater seating, basketball/multi-court, parking, resident manager |
| On-site services | Social services delivered by the nonprofit sponsor and community partners |
Deeper Dive: News & Info About This Topic
Additional Resources
- CSRWire: KeyBank provides $25.9M construction financing for Compton affordable housing
- Wikipedia: Affordable housing
- Multi-Housing News: LINC breaks ground on Los Angeles affordable project
- Google Search: LINC breaks ground Los Angeles affordable project
- Spectrum News1: Permanent supportive housing development — Compton
- Google Scholar: permanent supportive housing Compton
- Commercial Observer: Six LA affordable housing projects receive federal funding
- Encyclopedia Britannica: Affordable housing Los Angeles (search)
- LAist: Los Angeles churches, SB 4 and housing on religious properties
- Google News: SB4 California religious properties housing
Author: Construction TX News
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