Housing Trust Silicon Valley is providing a pre-development loan in the amount of $500,000 to Fuji Towers, a HUD-financed 140 apartment senior housing development in the Japantown neighborhood of San Jose.
Fuji Towers opened 40 years ago to house low-income Japanese-American residents. The resident population has diversified over the years, but remains a vibrant and close knit community. Major aspects of the building have fallen into disrepair, including hot water shut offs and elevators out of commission.
The owner, a single-asset nonprofit, is working with HUD to restructure and syndicate but they cannot afford the upfront costs of the necessary due diligence reports, tests, and financing paperwork. That is where the Housing Trust comes in – our loan allows the owners to proceed with the necessary due diligence to ultimately invest in much needed significant capital improvements and preserve affordability into the future.