Lending Institutions

• The California Tax Credit Allocation Committee oversees affordable housing tax credit programs for private investment companies.
• California Debt Limit Allocation Committee manages the tax-exempt bond programs for affordable housing development.
• San Francisco's Housing and Community Development office manages for finance housing development and rehabilitation.
•  Multi-family loan programs include affordable housing funds and short-term loan opportunities.
• The Low Income Investment Fund provides development, acquisition, construction, and term financing for affordable housing developers through the Revolving Loan Fund.
• The Partnership for the Bay’s Future offers fund products to investors in affordable housing development.
•  Local Initiatives Support Corporation lends funds based on product type: development, acquisition, construction, mini-permanent, permanent, bridge, and working capital loans.
• The Rogers Family Foundation has compiled a list of Bay Area funding agencies.
• The Bay Area Transit-Oriented Affordable Housing Fund launched a $40 million funding program to promote local development.

Real Estate Investors

• The Satellite Affordable Housing Associates provide quality affordable homes and services.

•  Eden Housing oversees affordable housing development and property management activities.
•  Legacy Partners group owns, develops, and manages multi-family communities.
• The Lara mar Group is a billion-dollar real estate investment company.
• The Partners Group is a full-service development company in commercial and residential buildings.
•  ACRE Investment Company focuses on commercial and residential real estate opportunities.

East Bay and Oakland Real Estate Markets

•  Economists forecast a cooling period for housing prices, with lower inventory and strong buying competition.
•  Experts believe the average annual 30-year fixed mortgage rate of 3.8% will last through 2020.
• Most of the Bay Area will see home prices will remain steady over the remaining months in 2020.
• The Bay Association of Realtor's statistics shows there were 20% fewer homes sold in Oakland.
• There is a slower construction pace for single-family homes because of the pandemic.
• Affordable housing options like Accessory Dwelling Units add more value to low-income families.
• The state of California is enacting restrictive rent and eviction control provisions to manage housing costs.

Opportunities

•  Real estate developers believe the Bay Area will get past the corona virus better than most of the country.
• The Millennial age group is starting to search for first-time buyer homes.
• Much of Oakland’s new construction is centered near convenient downtown areas.
• The Bay Area lost 2,128 subsidized, rent-restricted apartments over 20 years.
•  Affordable housing provides low-income families with stability.

Threats

• There is a high degree of competitiveness for credits among large developers that forces states to award tax credits to smaller developers.
• States are currently seeing most marketing of rental housing projects are targeting eligible families for 100 percent of all units.
• Large technology companies are making their mark on the affordable housing industry by donating billions to low-income housing.
• Real estate experts around the Bay Area did not expect the pandemic economic freeze to cause stronger competition for housing.
• Experts believe the housing market conditions will deteriorate over the coming months as the economy moves past the pandemic shutdown.
• Market trends show banks will tighten lending standards during a wide economic slowdown.

Consulting Companies

•  Bard Consulting offers strategic real estate counsel to investors.
•  Gensler Consulting offers research and design strategies and analytical services for real estate investors.
•  John Burns Real Estate Consulting specializes in real estate market research.

Steps for Market Entry

• The first step to entering a new market involves defining the potential market.
• Before entering the market, conduct an internal assessment to understand how to leverage core competencies.
• When entering a new market, developers must do market research to decide the best possible return on investment for the new market.

• Investors must decide which market to enter based on strategic fit and the company's ability to serve the market.
• It is critical to decide the level of investment required before entering a new market.
• Investors must develop strategies for how they will enter a new market.
• Companies must access market trends to be ready for unforeseeable challenges.

Research Strategy