Affordable Housing Developer Jim Schmid Inducted into the San Diego Building Industry Association’s Hall of Fame

SAN DIEGO (Jan. 26, 2017) -- Reflecting the importance of the housing affordability issue in San Diego, the local Building Industry Association (BIA) bestowed its highest honor on one of the city’s most respected developers of affordable housing, Jim Schmid, founder and CEO of Carlsbad-based Chelsea Investment Corp. (Chelsea).

In inducting him into the Hall of Fame, BIA President Borre Winckel said of Schmid, “His legacy is about an inspiring stewardship over complex policy initiatives,” that push politicians, civic leaders, and the building industry to pragmatically help the “housing have-nots.” 

During the recent Hall of Fame induction ceremony, Schmid was also praised for demonstrating “how for-profit-builders and builders of affordable housing can and should be partners; and how this fits the public good.”

An attorney with an advanced degree in tax law, Schmid began his 40-year real estate career across all sectors of the industry. In 1992, he narrowed his focus to the development of affordable housing and has since grown the company to over 60 employees and a development portfolio of over 10,000 units, valued at $1.7 billion. 

Although he is a passionate advocate for the creation and preservation of safe, accessible and affordable housing for all, Schmid has a special, personal devotion to creating affordable housing for those with developmental disabilities. 

Last year, Chelsea opened San Diego’s first affordable housing community built with apartments set aside for families with a member who has a developmental disability. The BIA also honored this breakthrough property – Independence Point -- during its 2016 ICON Awards, an annual event showcasing the best in the business. 

“Imagine for a moment that you’re a parent or a family member of a person with a developmental disability,” says Schmid. “Your single biggest fear is, ‘Where will my child, brother or sister live when I’m gone?’ Independence Point is a place where individuals can live independently in homes that are designed to meet their unique circumstances.”


In recognizing Schmid’s groundbreaking vision in developing affordable housing and for his ability to create successful public-private alliances, the BIA’s Winckel said, “Jim changed the dialogue and all for the good.”

 

ABOUT CHELSEA INVESTMENT CORPORATION 

Since 1984, Chelsea has developed nearly 10,000 units of affordable housing at a cost of over $1.7 billion. The firm’s development portfolio includes urban infill, mixed-use, suburban inclusionary, acquisition rehab and rural developments. Approximately 20 percent of the units developed by Chelsea serve specialized populations, including seniors, farm workers, formerly homeless households, and individuals with physical and developmental disabilities. The company is one of the few fully integrated affordable housing developers in the region that offers turnkey development, general contracting, and property/asset management services. Chelsea is a long-term owner and operator and maintains a portfolio in excess of 5,000 affordable housing units. For more information, please visit www.chelseainvestco.com.

San Diego BIA honors Jim Schmid of Chelsea Investment Corp.

San Diego Business Journal

January 16, 2017

A standing ovation comes with the territory for a Hall of Fame induction. That will be the case Saturday when the San Diego BIA honors Jim Schmid of Chelsea Investment Corp. Chelsea specializes in affordable housing development, often misunderstood by the public and certainly less recognized in the industry than its housing peers.

In September Schmid was the surprise recipient of an ICON award for the groundbreaking affordable housing project that reserves 25 apartments for people with developmental disabilities. 

In December, without fanfare, he quietly closed his 100th deal.  

San Diego Business Journal Editor-In-Chief Nels Jensen can be reached via njensen@sdbj.com

Chelsea Investment Corp. and Integral Communities to Build 38 New Affordable Rentals in the City of Oceanside

VillaStoria.jpg

SAN DIEGO (Jan. 12, 2017) – The city of Oceanside will gain 38 new affordable rental homes in 2017, thanks to the collaborative efforts of Integral Communities and Chelsea Investment Corporation, one of the region’s largest developers of affordable housing.

Integral Communities, developer of the 35.5-acre Mission Vista master-planned community (formerly known as Villa Storia), donated the land and a substantial monetary contribution to Chelsea who secured the remaining financing needed to create the project.

Chelsea’s Villa Storia apartment community is the first inclusionary project in Oceanside under the city’s Inclusionary Housing Ordinance, which requires projects of three or more homes to reserve at least 10 percent of the units for low-to moderate-income families, or pay a fee. Integral Communities chose to donate the land and subsidize the development so the inclusionary units were built as part of the overall project.

“We applaud Integral Communities for deciding to build affordable housing within the community, as opposed to paying an in-lieu fee,” said Jim Schmid, Chelsea’s founder and CEO. “As the first inclusionary project to be built in the city of Oceanside, this is an important milestone and we hope it inspires other developers to integrate affordable housing within their new projects.”

A total of 380 homes will be built at Mission Vista, located on formerly vacant property adjacent to the historic Mission San Luis Rey off Mission Avenue. Beazer Homes, a prominent national homebuilder, is now building market rate for-sale housing on several planning areas within the development.

Chelsea’s Villa Storia affordable community will include 12 one-bedroom, 20 two-bedroom, and six three-bedroom units ranging from 550 to 1,000 square feet. Two three-story buildings designed in Spanish Colonial styling will be surrounded by open space, including walkways and benches. Amenities include a tot lot and children’s play area, community room, and generous onsite parking.

Families that earn 50 to 60 percent of the San Diego County Area Median Income (AMI) qualify to rent the units. Leasing activity will start this summer, with move-ins anticipated this fall.


Chelsea is a familiar name in San Diego’s North County, having recently broken ground on Juniper at The Preserve, its fourth affordable new community in the city of Carlsbad. Upon completion of those 64 walk-up apartments, Chelsea will have built 416 homes in Carlsbad for low-and moderate- income families.

For more information, visit www.chelseainvestco.com.


ABOUT CHELSEA INVESTMENT CORPORATION

Since 1984, Chelsea has developed 9,215 units of affordable housing at a cost in excess of $1.5 billion. The firm’s development portfolio includes urban infill, mixed-use, suburban inclusionary, acquisition rehab and rural developments. Approximately 20 percent of the units developed by Chelsea serve specialized populations, including seniors, farm workers, homeless households, and individuals with physical and developmental disabilities. The company is one of the few fully integrated affordable housing developers in the region that offers turnkey development, general contracting and property/asset management services. Chelsea is a long-term owner and operator and maintains a portfolio in excess of 5,000 affordable housing units. For more information, please visit www.chelseainvestco.com.

 

Chelsea Investment Corp. Breaks Ground for 64 Affordable Homes in Carlsbad

SAN DIEGO (Dec. 8, 2016) – Building on its track record as the builder of 352 affordable homes in three projects in the city of Carlsbad, Chelsea Investment Corp. just broke ground on its fourth: Juniper at The Preserve, where 64 affordable garden apartments are now under construction off state Route 78.

“Thank you to Chelsea for this fourth project,” said Carlsbad City Councilman Keith Blackburn, speaking at a recent groundbreaking celebration. “This shows that you have faith in our city.”

Chelsea’s Juniper at the Preserve will fulfill the inclusionary housing requirement for The Preserve’s master-planned developer, Cornerstone Communities of San Diego. The 64 affordable walk-up apartments will be spread across a heavily landscaped site that includes multiple tot lots, barbecue and picnic area, bike racks, and a community room.    

Designed by San Diego architect McKinley & Associates, the project features 12 one-bedroom, 32 two-bedroom and 20 three-bedroom apartments in five two- and three-story buildings. Carports will be fitted with solar panels to provide power for community amenities.

Rents at Juniper at The Preserve are 50 to 60 percent of Area Median Income (AMI), ranging from high $700s to low $1300s. Leasing is expected to begin in October 2017. For more information, visit www.chelseainvestco.com.

“This project is very important, and the city of Carlsbad has done a good job seeing to it that affordable housing gets built in their projects,” said Chelsea Project Manager Walter Heiberg, 

”The goal at Juniper at The Preserve is to create a walkable community, where children can play outside and families can connect to an extensive trail and bike system.”

Juniper at The Preserve is located within a master plan approved by the city of Carlsbad in 2013 and formerly known as Quarry Creek. It is an important segment of what is called the Waterfall to Waves Trail, which will ultimately connect to the coast just three miles away.

“The trail system will be an important amenity for our residents,” said Heiberg, who noted that when completed, this project will bring the total of affordable homes built by Chelsea in Carlsbad to 416.

Other affordable housing neighborhoods completed by Chelsea in the last 30 days include the 52-unit Trolley Park Terrace in Southeast San Diego, and the 28-unit Torrey Vale apartment complex on the northern perimeter of the City of San Diego.

Well Done Beef Processing Facility Brings Jobs Back to Imperial Valley

TERESA GARCIA, SENIOR WRITER, NOVOGRADAC & COMPANY LLP

Journal of Tax Credits: Chelsea’s Border Communities Capital Co. Provides New Markets Tax Credits Financing to Boost Huge Local Employer  

One World Beef, a California-based premium beef brand, received 1,200 job applications six months before operations even began
in November at its new beef processing facility in Brawley, Calif. That’s what happens when a new business opens in a city with 22.7 percent unemployment, a figure that is more than quadruple the state’s 5.3 percent and nation’s 4.8 percent unemployment rates. One World Beef leveraged new markets tax credit (NMTC) financing to renovate and reopen the plant as a way to put a struggling community back to work.
“Not only do the new markets tax credits make sense economically, but this is a perfect fit from the standpoint of this deal falling directly into the crosshairs of the new markets tax credit mandates for funding those real-estate-oriented deals and job- creation deals in economically distressed areas,” said Armand Nicholi, chief financial officer of One World Ventures, an affiliate of One World Beef. “We literally checked off every box.”
County leaders agreed that One World Beef is a step in the right direction to help the region strengthen its economy. “We have the highest unemployment
rate in California,” said Imperial County Supervisor Ryan Kelley, who helped garner local support for the project. “We have a very depressed community in regards to economic power, but we’re a self-help group.”
 

A Craft Beef Processor
One World Beef president Eric Brandt, a Brawley native and third-generation cattle rancher, was familiar with the meat processing facility long before his company bought the 337,000 square-foot facility. Brandt worked there briefly after a consortium of local cattle feeders built the plant in 2001. The Missouri-based meat processing company, National Beef, bought the Brawley facility from the ranchers in 2006 and processed about 2,400 head of cattle a day until a drought-induced decline in cattle supply from the Midwest caused National Beef to close the facility in 2014. About 1,300 employees lost their jobs.
In 2015, Brandt decided to purchase the shuttered facility and retool it into a “craft processor” that provides specialty beef processing services on a smaller scale. Improvements to the facility include extensive energy efficiency upgrades and enhanced wastewater treatment technology.


Economic Impact of One World Beef Facility on Imperial County, Calif.
NEW MARKETS TAX CREDITS
Sources: Rea & Parker Research, One World Beef, Novogradac & Company LLC
continued from page 1
Nicholi said that OWB Packers, the affiliated entity set up to acquire and run the facility, will employ a unique operating model that helps it mitigate the financial risk that other beef processing plants face. Under the traditional processing model, cattle feeders sell their cattle outright to a processer. In turn, the processor slaughters the cattle, then cuts and packages the meat for sale under its own brand. OWB Packers, however, will offer “custom toll processing,” whereby specialty beef brands can have their cattle processed to their precise specifications and retain ownership throughout the value chain.
Rebranding a Job Creator
Reopening the plant brought jobs back to a city where 23.7 percent of the population lives in poverty. When it began operations in November, OWB Packers had a staff of about 200 employees, some of whom worked at the facility when it was owned by National Beef. OWB Packers plans to increase production slowly over the next five years, eventually creating about 600 permanent direct jobs. Up to 520 of the plant’s permanent jobs will likely be filled by many former National Beef employees, some of whom may have taken lower-paying agricultural jobs while the plant was closed. By modernizing and reopening the plant, OWB Packers creates jobs that many local workers would be qualified to fill. Of the permanent jobs created, about 85 percent will be filled by low-income residents.

Annual Economic Impact

$196,050,000

Jobs Created

1,250

Annual Payroll Increase

$55,693,000

Beyond the jobs created directly through the plant, an economic impact study produced by Rea & Parker Research estimates that another 635 indirect and induced jobs will be created throughout the county.
Regional Impact
The new OWB Packers facility is also a game-changer for the local cattle feeders, who will once again have a local option for processing. “All of the Imperial Valley cattle feeders are spending lots of money shipping cattle to the northern parts of California, to Fresno, to Arizona or Texas, to get their cattle processed,” said Nicholi. “The further you’re shipping cattle, the more you’re eating into your profitability. To be able to process cattle locally is a huge competitive advantage.”
The beef industry accounts for $500 million of the Imperial Valley’s agricultural export business annually, so a local facility that helps streamline meat processing is a critical asset to the entire region, said Kelley. “When National Beef was announcing that they were going to close, there were three feed lots that were in expansion mode to build more pens,” said Kelley. “Now we’re seeing that happening again with feed lots coming back and wanting to expand ... the state of California benefits immensely by being able to anchor the beef industry.”
NEW MARKETS TAX CREDIT www.novoco.comDecember 2016

Financing
Financing a renovated facility of this scale required public and private cooperation. In part, OWB Packers used a $5 million loan from the Bank of Southern California, a $2.5 million loan from the County of Imperial and a $2.5 million grant from the Imperial Irrigation District.
Unemployment and Poverty Rates in Brawley, Calif.
4.8%
13.5% 5.3%
15.3%
USA
California
Brawley, Calif.
Sources: Rea & Parker Research, One World Beef, Novogradac & Company LLP
Clearinghouse CDFI provided a $5 million loan to fill a financing gap that traditional lenders are generally unwilling to undertake. “The Imperial Valley is a severely distressed area, with high unemployment and limited investment, so it is a location where our mission- based lending can make a significant impact,” said Douglas Bystry, president and chief executive officer of
“This addresses both of those needs.” Hannon called the transaction a model project for the NMTC program.
“As you can tell from the varied financing sources, this project was extremely difficult to finance conventionally and the gap funding need was substantial. The NMTC program provided critical funding that allowed the project to go forward,” said Paul Hoffman, managing director of CityScape Capital Group, whose affiliate CCG Community Partners LLC provided $6.8 million of NMTC allocation authority to the transaction. “The project is an immediate job creator and significant catalyst for economic stability and long-term growth for both Brawley and the greater Imperial Valley with its biggest beneficiaries being the residents within the low- income community.”;

Clearinghouse CDFI. “This project will create hundreds of needed jobs in the region, and establish a high quality meat processing facility within a reasonable distance for local ranchers.”
Additionally, the NMTC program acted as a critical gap filler for the development. “The value [of the NMTC] comes from bringing low-cost capital to a project in need, to restart operations and bring much needed employment to the area,” said Tim Karp, vice president of Chase Community Development Tax Credit Group, which provided $4.9 million in NMTC equity. “Low-cost, flexible capital was integral to the project financing.”
About $8 million of NMTC allocation was provided by Border Communities Capital Company, an affiliated entity of Chelsea Investment Corporation. Jerry Hannon, chief financial officer of Chelsea Investment Corporation, said that the transaction fits squarely with its mission to serve border communities. “Border communities have high unemployment and high poverty,” said Hannon.
22.7%
23.7%

NEW MARKETS TAX CREDIT Novogradac Journal of Tax Credits  December 2016


One World Beef
FINANCING
Š $8 million new markets tax credit (NMTC) allocation from Border Communities Capital Company LLC Š$6.8 million NMTC allocation from CCG Community Partners LLC
Š $5 million loan from Clearinghouse Community Development Financial Institution
Š $5 million from Bank of Southern California
Š $4.9 million NMTC equity investment from Chase Š $2.5 million loan from County of Imperial
Š $2.5 million from Imperial Irrigation District

 

Chelsea Investment Corp. Completes Two New Affordable Apartment Communities in San Diego, Creating 80 Affordable Homes for 55 Years

SAN DIEGO (Oct. 31, 2016) – San Diego’s affordable housing supply got a boost this month, when Chelsea Investment Corp. (Chelsea) completed two new apartment communities: the 52-unit Trolley Park Terrace in Southeast San Diego, and the 28-unit Torrey Vale apartment complex on the northern perimeter of the City of San Diego.

Located at 4985 Market Street, Trolley Park Terrace is a key achievement in the ongoing redevelopment of 60 acres of former industrial property by the Jacobs Center for Neighborhood Innovation. Adjacent to San Diego’s second largest transit station at Euclid Avenue, Trolley Park Terrace is across the street from the Joe and Vi Jacobs Center events and microenterprise pavilion and within walking distance of resident-serving businesses at the Market Creek Plaza shopping center. The building is LEED Gold certified for energy efficiencies. 

Built in partnership with the San Diego Housing Commission, Trolley Park Terrace serves families with incomes from 30 to 60 percent of the San Diego Area Median Income (AMI). Offering one-to three-bedroom apartments with secured belowground parking, the three-story Trolley Park Terrace features a community room, computer lab, sports court and children’s play area. Created by San Diego architect McKinley Associates, the domed Mission-style building features vibrant colors, decorative accent tiles, wood awnings, wrought-iron railing and multiple segmented arches. 

“This is the kind of smart development that our City needs to continue to bring affordable housing to families that need it the most,” said San Diego Mayor Kevin L. Faulconer, at a recent grand opening celebration. Trolley Park Terrace also features after-school programs for children and on-site classes for adults and will remain affordable for 55 years.

Earlier this month in northern San Diego, Chelsea celebrated the grand opening of Torrey Vale Apartments, where 28 affordable homes offer two- and three-bedroom units, each with a private garage, and rooftop solar to power common area utilities. 

Also in partnership with the San Diego Housing Commission, Chelsea developed Torrey Vale Apartments for families with incomes between 50 to 60 percent of the San Diego AMI.  Located at 6525 Rancho Del Sol Way, Torrey Vale satisfies the inclusionary housing requirement for two market rate projects in the area by the master developer, Taylor Morrison.

“This closed escrow in January, so this is 10 months of construction and these families are in,” said Debbie Ruane of the San Diego Housing Commission, during a recent grand opening ceremony. “Twenty eight families are already housed in this amazing community.” 


ABOUT CHELSEA INVESTMENT CORPORATION 

Since 1984, Chelsea has developed 9,215 units of affordable housing at a cost in excess of $1.5 billion. The firm’s development portfolio includes urban infill, mixed-use, suburban inclusionary, acquisition rehab and rural developments. Approximately 20 percent of the units developed by Chelsea serve specialized populations, including seniors, farm workers, homeless households, and individuals with physical and developmental disabilities. The company is one of the few fully integrated affordable housing developers in the region that offers turnkey development, general contracting and property/asset management services. Chelsea is a long-term owner and operator and maintains a portfolio in excess of 5,000 affordable housing units. For more information, please visit www.chelseainvestco.com.

Our City San Diego: Alpha Square Wins Affordable Housing Development Of The Year

Developers: Chelsea Investment Corp., Alpha Project, San Diego Housing Commission, City of San Diego and Civic San Diego 

Architect: Joseph Wong Design Associates

Contractor: Emmerson Construction

Big project, big heart.

This project is all about providing housing — very sweet housing, at that — for San Diego’s less fortunate. 

At seven stories, it boasts 201 furnished studio apartments. It’s located in East Village, where many of San Diego’s homeless congregate.

For years, new apartment and condominium developments rose all around them. How many dreamed that one might be built for them?

“Alpha Square is going to be a home for those who need a little bit of help. It’s a new beginning for San Diegans looking for a fresh start on their lives,” said San Diego Mayor Kevin Faulconer at the ribbon-cutting ceremony in November 2015.

The apartments are restricted to tenants with incomes ranging from 30 percent to 50 percent of the San Diego area’s median Income. Thirty percent is about $16,600 a year.

The project cost $47.6 million and is considered a key component to helping battle homelessness. Many homeless advocates are calling for a so-called housing-first method to battle the problem. With that, the homeless are given shelter, as well as services, to help them stabilize their lives. 

That’s what Alpha Square provides.

Peralta said “Alpha Square presents the opportunity to integrate the most vulnerable actors of our city into its urban growth plans. Inclusive housing is fundamental to a humanized and democratic development of our cities. The architects have been able to make the building fit right in with the rest of new development happening for some time in downtown San Diego. Inclusive low-income housing can also be an asset as well as interesting architecturally.”
- See more at: http://ourcitysd.com/our-city-development-of-the-year/#sthash.SlOSb2lD.yzpovn28.dpuf

Chelsea Investment Corp. Honored for Providing Quality Affordable Housing for San Diegans with Developmental Disabilities

SAN DIEGO (Sept. 22, 2016) -- When Chelsea Investment Corp. (Chelsea) opened Independence Point in Lincoln Park just six months ago, it was San Diego’s first affordable housing community built with apartments set aside for people with a developmental disability.

This breakthrough property was honored by industry, civic and governmental leaders on Saturday night during the annual ICON awards, presented by the Building Industry Association (BIA) of San Diego County to showcase the best in the business. 

In recognizing Chelsea’s groundbreaking vision for Independence Point, the BIA commended Chelsea for its “monumental achievement in terms of quality affordable housing for persons or families with a member who has a developmental disability.”

In presenting Chelsea and Independence Point with a one-of-a-kind Honorable Mention in the Best Affordable Project category, the panel of judges said: “These units being the first ever built for the developmentally disabled population is one thing [but] getting the San Diego City Council, the San Diego Housing Commission, State Department of Housing & Community Development, San Diego Regional Center, and the Foundation for Developmental Disabilities to be all on the same page is an amazing achievement of teamwork and dedication for this very important cause.”

Located in San Diego’s Council District 4, Independence Point was also honored in June by the San Diego Housing Federation at the 2016 Ruby Awards, the county’s largest affordable housing industry recognition event. The award for Best Supportive Housing was presented by The Honorable Myrtle Cole, 4th District City Councilmember, who provided assistance and support for the project since its inception.

This is the second Ruby Award for Independence Point. In spring 2015, while under construction, the social service visionaries at the San Diego Regional Center and the Southern California Housing Collaborative were honored as Housing Heroes for their leadership in the project. 

With 25 of 32 apartments reserved for families with a disability, this private, gated complex is located at 327 S. Willie James Jones Ave. Originally designed for market rate for-sale town homes, this blighted piece of vacant land was acquired by Chelsea and transformed in favor of a community devoted to serving this almost invisible, special needs population. 

“Imagine for a moment that you’re a parent or a family member of a person with a developmental disability,” said Jim Schmid, president and CEO of Chelsea Investment Corp. “Your single biggest fear is, “where will my child, brother or sister live when I’m gone?” Independence Point is a place where individuals can live independently in homes that are designed to meet their unique circumstances.”

Thanks to its funding and development agreements, Independent Point will maintain its affordable designation for 55 years. It is convenient to grocery stores, schools and public transportation and benefits from on- and off-site social services provided by the Southern California Housing Collaborative, through the San Diego Regional Center.

Affordable apartments at Independence Point offer three or four bedrooms and a private, attached garage. The development includes a community center with offices, a community room, laundry facilities and three accessible flats for people with mobility challenges, all served by an interior elevator. 

“Though this is a relatively small project in a city with huge needs for this type of affordable housing, we believe this project can be replicated by willing partners in both the public and private sector,” said Schmid. “We were blessed by a coalition of dedicated social service providers, governmental agencies and our innovative planners, designers and contracting partners at Emmerson Construction. We can’t wait to do this again.”

This is the second year in a row the BIA Icon awards have recognized Chelsea, which won Best Affordable Project last year for Alpha Square, a 203-unit building serving homeless and very low income individuals in downtown San Diego.

ABOUT CHELSEA INVESTMENT CORPORATION

Since 1984, Chelsea has developed 9,215 units of affordable housing at a cost in excess of $1.5 billion. The firm’s development portfolio includes urban infill, mixed-use, suburban inclusionary, acquisition rehab and rural developments. Approximately 20 percent of the units developed by Chelsea serve specialized populations, including seniors, farm workers, homeless households, and individuals with physical and developmental disabilities. The company is one of the few fully integrated affordable housing developers in the region that offers turnkey development, general contracting and property/asset management services. Chelsea is a long-term owner and operator and maintains a portfolio in excess of 5,000 affordable housing units. For more information, please visit www.chelseainvestco.com.

Border Communities Capital Co. Helps Fund A Job-Generating Beef Processing Plant Through New Markets Tax Credit Financing

Border Communities Capital Company, LLC (BCCC), an affiliated entity of Chelsea Investment Corporation (Chelsea), has closed a $7.76 million loan financed through the New Markets Tax Credit (NMTC) program with One World Beef (OWB) for the acquisition and rehabilitation of the former National Beef processing plant located in Imperial County in the City of Brawley, Calif. The project includes a 337,000-square-foot beef processing facility and is located on approximately 100 acres of land. 

Financing for the project involved a consortium of lenders and equity investors. Cityscape Capital Group, LLC provided an additional $6.6 million of NMTC loans and JPMorgan Chase was the equity investor for the full NMTC allocation. In a strong show of local support, the County of Imperial and the Imperial Irrigation District each provided $2.5 million loans. Clearinghouse Community Development Financial Institution and Bank of Southern California each provided $5 million loans. 

One World Beef owner/operator Eric Brandt is a third-generation Imperial Valley cattle feeder and veteran beef marketer who bucked industry trends in the early 1990s by eliminating the use of hormones. Brandt Beef is currently the only beef producer to receive the prestigious Master Chefs’ Institute Seal of Excellence for its commitment to producing a superior culinary product.

“The significance of this deal to the community cannot be overstated,” said Jerry Hannon, Chelsea’s Chief Financial Officer. “When the beef processing plant was closed by the prior owner in April 2014, it had a tremendous negative impact on the County of Imperial, which has one of the highest unemployment rates in the nation at 23.7% as of June 2016.”  

With a comprehensive renovation now underway, OWB will initially hire approximately 200 people, growing to approximately 600 people as the facility ramps up production over a four-year period. 

“We are overjoyed to have the opportunity to re-fire the shuttered beef plant in Brawley and extremely grateful to Border Communities Capital for helping us realize our goal,” said Eric Brandt, OWB chief executive officer. “Bringing beef processing back to the Imperial Valley will have a tremendous positive economic impact on the City of Brawley and surrounding areas and we’re thrilled to be able to act in concert with Border Communities Capital and our other lenders to help reinvigorate the area.” 

“It is with great excitement that the City of Brawley welcomes One World Beef,” said Brawley Mayor Don Wharton. “The positive impact that the re-opening of the beef plant extends beyond the city limits. Job creation on this level does not happen often, therefore the significance of this industry returning to Brawley is immeasurable.”

Headquartered in San Diego, BCCC provides below market-rate financing to projects that create jobs, spur development, enhance infrastructure, and create services and opportunities for underserved communities and people located near the United States-Mexico border. Financing products offered include equity equivalent loans and a mixture of development, construction and permanent loans. 

BCCC’s Advisory Board member and longtime resident of Brawley, Tom DuBose added, “Imperial County’s largest agricultural commodity is cattle. We are grateful to the Brandt family for stepping up to restore this important job-generator to the community.”

 

Chelsea Investment Corp., San Diego’s 2015 Builder of the Year, Announces 100% Occupancy at its Newest Complex of Affordable Homes

SAN DIEGO (April 28, 2016) – A new community of 95 affordable apartment homes along San Diego’s popular SR 56 corridor is now fully occupied. The Rancho Del Sol rental complex was built in association with Pardee Homes and developed by Chelsea Investment Corp., a privately held company honored in 2015 as San Diego’s Builder of the Year by the Building Industry Association of San Diego County.

Created for households earning at or below 60 percent of the San Diego area median income,

Rancho Del Sol’s family friendly amenities include a pool, jungle gym-style playground, courtyard with picnic area and a community clubhouse with free access to computers and printers. The one-, two-, and three-bedroom rental homes are located on Carmel Valley Road in Pacific Highlands Ranch.

Children living at Rancho Del Sol are able to attend some of San Diego’s most highly regarded schools including Solana Ranch Elementary, Pacific Trails Middle School and a choice of two high schools in the San Dieguito Union High School District: either Torrey Pines High or Canyon Crest Academy.

Founded in 1984 by Jim Schmid, Chelsea Investment Corp. is ranked among the top 50 affordable housing developers and owners in the country. The firm’s local portfolio includes housing for families with special needs, as well as homes for low-income seniors and the homeless.

“San Diego is privileged to have Jim Schmid as an excellent builder of affordable housing who has a rare combination of great compassion and great intellect,” said Rick Gentry, president and chief executive officer of the San Diego Housing Commission. “With his first-class approach, Jim accomplishes quality affordable housing for San Diegans in need.”

In 2015, Chelsea.was recognized for developing San Diego’s Best Affordable Project, the 203-unit Alpha Square, serving homeless and very low income individuals in downtown San Diego.

The firm has also been honored by Affordable Housing Advocates of San Diego, a group of legal professionals dedicated to enforcing housing laws and tenants’ rights, and representing the interests of low income individuals. Chelsea received a Celebration of Justice award for the development of affordable and inclusionary housing throughout San Diego County, including Fairbanks, Mariposa, The Crossings and Windwood Village. For more information, please visit www.chelseainvestco.com.

Chelsea Investment Corp. Completes Alpha Square, a $47.6 Million Studio Apartment Complex for Homeless and Low-Income San Diegans

SAN DIEGO (Dec. 2, 2015)  -- Chelsea Investment Corp. has celebrated the grand opening of Alpha Square, a transit-oriented mixed-use complex offering 201 affordable rental apartments at 550 14th Street in the heart of San Diego’s East Village. Serving the homeless and low-income population, Alpha Square will be home to some 30 veterans of military service.

In the development pipeline since 2008, the $47.6 million complex replaces a dilapidated single-room occupancy hotel, The Metro, located a few blocks away. Formerly homeless and low-income residents moving to Alpha Square will find studio apartments more than twice of the size of their rooms at The Metro, and amenities including private bathrooms, cooktops, air conditioning, telephone service and internet access. Built on a 20,000-square-foot lot, the six-story building includes one level of subterranean parking.

Alpha Square was developed by Chelsea and Alpha Project for the Homeless in partnership with the San Diego Housing Commission and the City of San Diego. With case management and supportive services provided in-house, Alpha Square features a computer lab, multipurpose room, laundry facilities, commercial kitchen for resident meals, a community courtyard and a landscaped rooftop deck and terrace. The street level has space for income-producing microenterprises intended to provide training and employment opportunities for Alpha Square residents.

“The opening of Alpha Square is going to be a home for those who need a little help,” said San Diego Mayor Kevin Faulconer during recent grand opening ceremonies on the building’s rooftop garden. “It’s a new beginning for San Diegans looking for a fresh start in their lives.”

The City of San Diego provided a $17.6 million loan for the construction of Alpha Square and owns the land, which is subject to a 70-year ground lease. The Project will benefit from 135 section 8 vouchers provided by the San Diego Housing Commission which will allow the tenants to pay no more than 30% of their income, and the federal government will pay the balance of the monthly rent. Rental assistance will stay with the unit when an occupant moves out.

Alpha Square was recently honored as San Diego’s best affordable project in 2015 by the leadership of the Building Industry Association of San Diego County (BIA), who also recognized Chelsea Investment Corp. as San Diego’s 2015 Builder of the Year.

Last month, Chelsea Founder and CEO Jim Schmid was presented with the BIA Chairman’s Award for starting the “Housing You Matters” initiative, an effort to achieve regulatory relief and to improve affordability across the spectrum of housing.

Schmid, who founded Chelsea in 1984, currently presides over what is ranked as the nation’s 16th largest developer of affordable housing. The firm’s local portfolio includes housing for families with special needs, as well as homes for low-income seniors and the homeless.

“Alpha Square is a model of collaboration between public and private interests to help ease the plight of homeless San Diegans,” said Schmid, who noted that Alpha Square will remain affordable to very low- and extremely low-income renters for 55 years. 

Chelsea Investment Corp. Honored as San Diego’s Builder of the Year and for Developing San Diego’s Best Affordable Housing Project

CARLSBAD, Calif. (Oct. 14, 2015) – Carlsbad-based Chelsea Investment Corp. has been honored as San Diego’s 2015 Builder of the Year by the leadership of the Building Industry Association of San Diego County (BIA). Chelsea’s recognition came during the 2015 ICON awards ceremony, an annual event honoring excellence and innovation in the local home building industry from a field of approximately 250 entries.

“BIA San Diego owes its current high standing in the affordable housing policy arena -- the hottest industry topic in the region -- thanks to the tireless guidance provided by Chelsea Investment Corp. and in particular, by its CEO, Jim Schmid,” said Borre Winckel, BIA San Diego CEO, who noted that this is the first time the Builder of the Year award has been presented to a provider of affordable housing.

Schmid, who was elected Chairman of the Board of Directors of the San Diego BIA in 2014, currently presides over what is ranked as the nation’s 16th largest developer of affordable housing. Founded by Schmid in 1984, the firm’s local portfolio includes housing for families with special needs, as well as homes for low-income seniors and the homeless.

“San Diego is privileged to have Jim Schmid as an excellent builder of affordable housing who has a rare combination of great compassion and great intellect,” said Rick Gentry, president and chief executive officer of the San Diego Housing Commission. “With his first-class approach, Jim accomplishes quality affordable housing for San Diegans in need.”

Chelsea was also honored for developing San Diego’s Best Affordable Project in 2015, the 203-unit Alpha Square, which will serve homeless and very low income individuals in downtown San Diego’s East Village. Alpha Square will replace Hotel Metro, a nearby single-room occupancy hotel whose current residents will be welcomed to Alpha Square when it opens later this month.

Alpha Square is a $47.6 million transit-oriented, mixed use development, built with financial assistance from the San Diego Housing Commission and Civic San Diego. Built on a 20,000-square-foot lot, the six-story building includes one level of subterranean parking.

“Chelsea Investment was an outstanding development partner in this public/private partnership,” said Reese A. Jarrett, president of Civic San Diego. “Alpha Square has raised the bar in providing quality affordable housing in our downtown community to a vastly underserved population of very low income individuals and those in need of supportive services.”

Averaging 260 square feet, all fully furnished studio apartments at Alpha Square will feature a full bathroom, cooktop and air conditioning, plus internet access, cable television and telephone service for all residents. Building amenities will include a computer lab, multipurpose room, laundry facilities, a community courtyard and a landscaped rooftop deck and terrace. Case management and an array of supportive services will be provided by Alpha Project for the Homeless, a nonprofit organization that also operates the Hotel Metro.

Through vouchers provided by the San Diego Housing Commission, the tenant will pay 30% of their income, and the federal government will pay the balance of the monthly rent. Rental assistance will stay with the unit when an occupant moves out.

“Alpha Square is a collaborative solution to the problem of homelessness in downtown San Diego,” said Schmid, who noted that Alpha Square will remain affordable to very low- and extremely low-income renters for 55 years.