FOR IMMEDIATE RELEASE
Tech CU Partners With Housing Trust Silicon Valley on Affordable Housing Development in Sunnyvale
The two will support MidPen Housing with a $7.8 million loan to build affordable housing units near public transit.
San Jose, Calif. (August 18, 2015) —Tech CU (Technology Credit Union) and the Housing Trust Silicon Valley are partnering to support the MidPen Housing Corporation with a $7.8 million commercial real estate loan, of which Tech CU is underwriting $4.9 million of the total commitment. This financing will be used to acquire and redevelop a rundown commercial site in Sunnyvale, located at 460 Persian Avenue. MidPen Housing plans to build 60 units of affordable housing for low-income families, with convenient access to public transit. Three homes will be reserved for households transitioning out of homelessness.
“Tech CU is working with several community partners throughout the Bay Area to find solutions to the rising cost of housing,” said Tech CU’s Chief Banking Officer, Joe Anzalone. “This includes serving as a commercial lender and business partner to developers who are working on affordable housing projects, such as MidPen and the Housing Trust, both of whom have a track record of success. Tech CU is honored to support these fine organizations as they bring this project to the market and help alleviate the Bay Area’s significant affordable housing challenge.”
Tech CU also offers a range of financial products to help individuals and families secure housing, including a personal loan, which can be used to pay the first and last month’s deposit on a rental. In addition, Tech CU’s Global Members program helps individuals who are new to the country establish credit, and in many cases, eventually purchase their first home. When it comes to mortgage and home equity loans, Tech CU typically offers faster approvals and more flexibility on applications due to local decision-making, as well as lower interest rates and fees.
Tech CU also participates in the Housing Trust Silicon Valley’s affordable housing loan pool, created in 2013 to provide from $500,000 to $2 million in initial startup financing to developers working on affordable, multi-family housing projects throughout the Bay Area. The program is projected to help finance 24 developments by 2018 — creating 1,800 permanently affordable rentals for low income working families, seniors and others with special needs.
“The Housing Trust has partnered with Tech CU for a number of years because we share a commitment to meeting community needs,” said Kevin Zwick, CEO of the Housing Trust. “Both of our organizations explore financial innovations that generate results with significant impact in our region. The loan to MidPen is the most recent example of how we work together to find solutions.”
ABOUT TECHNOLOGY CREDIT UNION
Tech CU is a $1.9 billion credit union serving more than 70,000 members throughout the San Francisco Bay Area— including employees of such companies as Tesla, eBay, Applied Materials, Nvidia and Facebook. A federally insured, not-for-profit organization, we put the financial interests of our members ahead of shareholder profit by helping members achieve their financial goals on their terms and sharing the benefits of our growth. Founded in 1960 by a group of forward-thinking employees at Fairchild Semiconductor, today we continue to be an industry leader, providing innovative financial products for all stages of our members’ lives, including personal banking, wealth management, private banking, commercial lending and business banking. Tech CU consistently achieves a customer satisfaction rating above 95 percent and maintains a 5-star rating from Bauer Financial, the nation’s largest independent rating service for financial institutions. And, with mobile and online banking, 65,000+ surcharge-free ATMs, and convenient branch access to our financial experts, Tech CU makes 24/7 banking easy and empowering.
ABOUT HOUSING TRUST SILICON VALLEY
The Housing Trust was formed by community and corporate leaders in 2000 with the goal of making Silicon Valley a more affordable place to live. It makes loans and grants to increase the supply of affordable housing, assists first-time homebuyers, prevents homelessness and stabilizes neighborhoods. Housing Trust Silicon Valley has invested $94 million in affordable housing solutions to date and created more than 12,700 affordable housing opportunities. Earlier this year, Housing Trust Silicon Valley became the first nonprofit Community Development Financial Institution (CDFI) in the U.S. to earn a credit rating from Standard & Poor’s Ratings Services. It was awarded an AA- rating because of its strong capacity to meet financial commitments.