Marin County supervisors unanimously approved $33 million in bond financing for a housing complex for seniors in Santa Venetia.
The developer, Security Properties, seeks to borrow funds for its acquisition and rehabilitation of the Parnow Friendship House at 164 N. San Pedro Road. The developer is in negotiations with property owner Interfaith Housing Inc.
Parnow is a 72-apartment, affordable housing property for low-income residents ages 62 and over. The 43-year-old complex has 79 residents, according to EAH Housing, a nonprofit that manages Parnow.
“I’m optimistic that it’s going to result in a great quality of life and much-needed improvements,” said Supervisor Mary Sackett, who represents Santa Venetia.
As required by the IRS, Security Properties needed approval from a local governing body in order to have tax-exempt financing from the California Municipal Finance Authority. Assistant County Executive Daniel Eilerman said the funding is effectively a private loan. He said that the effort is not a county project.
With the supervisors’ approval on Aug. 20, the state will reimburse the county $14,400 for administrative costs.
Eilerman addressed residents’ concerns over losing their federal housing eligibility and current rents after Security Properties completes its acquisition of the property. He said that current residents’ housing eligibility and rents will not change.
The Parnow project’s plans are to provide affordable rents to tenants who earn one-person household incomes of 30%, 50% or 60% of Marin County’s area median income. For a household of one, 30% of area median income would mean $45,750 and 60% would be $84,000, according to a county staff report.
Sackett stressed that she wanted to make sure the property’s future owner communicates with the residents. She also raised the issue of whether residents will have to leave if renovations are performed.
“These are folks where if something were to change with this property, they won’t have a lot of other options within the county on places to go,” Sackett said.
Sean Burrowes, the affordable housing director for Security Properties, said his staff met with tenants to discuss the planned changes for Parnow and mentioned that “short-term, temporary relocation may be required” for residents in some cases.
He also said the property’s acquisition is not done yet.
“Going forward, we’re still at the 10-yard line of being able to put this together in closing a transfer of the property,” Burrowes said.
Burrowes, in an interview, said Parnow will be preserved as affordable housing for the next 55 years and the federal rent subsidies will be extended for 20 more years.
“We’re very grateful for the board’s approval of the bonds and their continued support of the preservation and renovation of this important and irreplaceable affordable property in Marin County,” he said.
Plans are to spend up to $6 million in renovating Parnow, including new roofing, flooring and fixtures.
“The site will also benefit from extensive accessibility upgrades and enhanced common area amenities,” Burrowes said.
He told supervisors that the plan is to begin renovations early next year and complete them within six to seven months.
Parnow resident Bill Hale told supervisors that he favors the bond financing for the complex.
“I speak in support of this and in carrying forward the assurance of the environment of dignity and respect for seniors as we continue our way there,” he said.
