SAN JOSE, CA-Core Development Inc. and Charities Housing Development Corp. have lined up funding for an $83-million affordable housing project south of the San Jose CBD in Santa Clara County, where housing prices continue to rank the highest in the country. The 218-unit Paseo Senter will rise next to Kelley Park, which is home to the San Jose Historical Museum, a Japanese garden, a baseball field, running track, and tennis courts.

The complex will consist of two four-story buildings, one with 117 units and the other with 101 units, which will wrap around a five-level parking structure. The buildings' construction will be staggered by three months, with one opening in late 2007 and the other in early 2008.

Lender CharterMac Capital provided over $32.6 million of equity in exchange for low-income housing tax credits worth 10% to 20% more than that amount. In addition, US Bank provided about $11 million in first mortgage permanent financing through the issuance of tax-exempt bonds, and various federal, state and local agencies provided another $35 million.

Both buildings will have a mix of one-, two- and three-bedroom apartments ranging in size from 527 sf to 940 sf. The first floor will contain amenities such as a library, a swimming pool, a computer lab, social worker support spaces, an exercise facility, a playground, an after-school center, a pre-school, a picnic/barbeque area and a car wash. Security features will include perimeter fencing, keyed building access and video surveillance.

Paseo Senter will serve those earnings between 15% and 50% of the area median income. The pricing is in response to the fact that about 33% of the households in the area earn less than 50% of the area median income, according to CharterMac.

Core Development Inc., a San Jose based developer, has completed more than 1,000 apartment units in the market area, including 471 affordable housing units. Charities Housing Development Corp. is a California based nonprofit founded in 1993 by Catholic Charities to address the housing needs of those receiving its services. Since 1993, it has completed 11 developments in six cities within Santa Clara County and currently manages a portfolio of 480 affordable homes.