National Equity Fund Partners with Community HousingWorks for Housing Preservation

Housing Preservation Initiative

On June 5, 2025, the National Equity Fund (NEF), a prominent non-profit manager focused on affordable multi-family real estate investments, announced the successful closing of a significant deal at the NOVO Apartments located in Rowland Heights, California. This transaction, undertaken in partnership with Community HousingWorks (CHW) and the California Housing Finance Agency (CalHFA), aims to preserve 126 units of unrestricted housing for at least a decade, offering stability for many residents in the community.

The Significance of NOVO Apartments

The NOVO Apartments, once grappling with low occupancy rates and challenges in maintaining affordability, have now transitioned into a protected zone for low-income families. Through a competitive bidding process against market-value buyers, Community HousingWorks acquired the property, protecting current residents from the threat of displacement due to skyrocketing rents. The deal marks a commitment to maintain the affordability of housing, with all units designated for families earning at or below 80% of the Area Median Income (AMI).

Kevin Leichner, Senior Vice President of Housing and Real Estate Development at CHW, emphasized the long-standing partnership between CHW and NEF. They have worked collaboratively since 1992, completing over twenty transactions utilizing Low-Income Housing Tax Credits (LIHTC). This deal serves as a landmark achievement, not only preserving existing naturally affordable housing but also ensuring deeper affordability, with 10% of the apartments reserved for families earning at 50% AMI.

A Partnership for Change

The collaboration between NEF, CHW, and CalHFA highlights the essential nature of partnerships in tackling the affordable housing crisis. This project signifies NEF’s first venture into preservation equity investments, with NEF allocating over $16 million in support of this venture. The organization previously made strides in the LIHTC syndication landscape but has progressively expanded its strategies to address evolving affordable housing challenges.

Brandon McCall, Vice President of Structured Finance at NEF, articulated NEF's commitment to innovative housing solutions. By diversifying its approach toward affordable housing, NEF aims to meet the critical needs of low- and middle-income renters effectively.

CalHFA’s Role in Preserving Housing

CalHFA's involvement in this initiative is pivotal. The agency aims to reinforce its mission to protect affordable housing and is exploring ways to contribute effectively. Rebecca Franklin, CalHFA Chief Deputy Director, mentioned the necessity of preserving the affordable housing stock, showcasing the collaborative approach with experienced partners like NEF and CHW.

Amenities and Future Prospects

The NOVO Apartments, comprising 19 one-bedroom units and 107 two-bedroom units, come with a variety of amenities such as a cabana, a pool, a fitness center, an outdoor picnic area, and a landscaped courtyard. Its prime location also provides residents easy access to shopping centers and public parks, catering to a vibrant community life.

In conclusion, the partnership between NEF and Community HousingWorks highlights a productive path forward in combating the affordable housing crisis. By preserving existing housing stock and committing to long-term affordability, these organizations set a standard for future housing development initiatives across the nation.

For more information about NEF’s mission and initiatives, please visit NEF's website.