Alliant Strategic, a Los Angeles based multifamily real estate investment firm, has closed more than $70 Million in efforts to preserve affordable housing during the pandemic alone. With job losses rising across the country, affordable housing for those who are considered rent burdened (spending more than 30% of their income on housing – some as high as 50 or 60%) is increasingly critical.
$70 Million in investments is comprised of three buildings in areas heavily impacted by the coronavirus pandemic, particularly California. The properties house over 460 residents in California, Maryland and Massachusetts.
“Now, more than ever, housing matters. The global pandemic has impacted how we live. These uncertain times have intensified the critical need for housing amidst widespread economic hardship,” shares Russell Ginise, Alliant Strategic’s President. “Access to safe, quality housing is a fundamental part of a healthy life and strong communities. Our aim is to help address this crucial need by working to ensure that people have access to good housing.”
According to the firm’s data, over the last 10 years, renters have grown from 31% to 37% of all US households. This is especially pertinent to understand when the eviction moratorium ends. Those who have lost their jobs and are unable to afford their rent will face potential eviction as that deadline nears. This could lead to a steep increase in homelessness across the country. Making up those most impacted are minority and younger populations; those who are currently being hit hardest by the pandemic and related economic challenges.
“The economic challenges created by COVID-19 are anticipated to increase the number of renters by necessity and those who are at risk of losing their homes,” Ginise adds. “Over 54% of minority households currently rent, ~twice as likely to rent as white households. Additionally, 65% of individuals under 35 years old are renters; this tells us that these two populations continue to suffer the most from both the health and economic challenges presented by this pandemic.”
About Alliant Strategic Investments
Alliant Strategic Investments (ASI) focuses on socially responsible multifamily investments that directly impact the lives of America’s low-income and workforce residents. The preservation of affordable housing allows residents to enjoy the benefits of a safe, healthy and stable environment. With extensive experience underwriting, investing in, and managing affordable and market-rate multifamily properties, our principals bring deep industry knowledge and invaluable relationships with the nation’s top multifamily partners.
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