Project Review

Affordable housing viability

A church based in Oakland, California was seeking financing for an affordable housing development project. Time was of the essence due to the imminent expiration of local agency approvals. Our client, a national faith-based lender, asked us to review the viability of the project and make a financing recommendation based on the lender’s underwriting guidelines. AIM conducted a site visit and reviewed the property zoning and land use approvals, the preliminary plans, the development teams experience and track record, existing contracts, the proposed deal structure, and the development budget and cash flow statements and assumptions. We also reviewed the borrower’s financials, prior experience and capacity. We provided the church with recommendations on improving the project plan and incorporating risk mitigation strategies. The church incorporated our recommendations and the lender was able to obtain Board approval to finance the project. The project, which will be completed Q1 of 2021, will provide 20 affordable housing units to Returning Citizens and was approved for a $4.3M multi-year grant to subsidize rents and provide residents with wrap-around services.   

Development potential

AIM was asked by a national faith-based organization to assess the preliminary development potential for seven church properties on the islands of Hawaii. AIM conducted site visits that included interviews with church leaders, property, and neighborhood site visits. Items considered included the ownership structures; history, age and condition of buildings; existing zoning and land use designations, regulatory restrictions and property assessments; current space utilization and programming; and a review of the proposed missional uses, preliminary plans, and cost estimates.

AIM provided recommendations for each of the seven properties which included strategic approaches for project positioning and next steps on predevelopment work, such as ordering neighborhood needs studies, market studies or appraisals.