WNC, a national investor in real estate and community development initiatives, announced it has closed its first institutional fund dedicated to preserving affordable housing communities in California.

WNC California Preservation Equity Fund is expected to acquire and preserve $120 million of affordable housing communities.

Will Cooper Jr.
Will Cooper Jr.

“The demand for affordable housing in California outweighs the available supply, resulting in a crucial need to preserve aging low-income homes,” said Will Cooper Jr., WNC president and CEO, in a statement. “WNC is pleased to close this fund with the support of five CRA-qualified investors as we work to preserve and protect these vitally needed affordable housing communities.”

To date, WNC has invested equity from the fund into the preservation of five low-income housing communities in the counties of Los Angeles, Madera, Orange, and Riverside. Combined, the five properties offer 507 affordable housing units to seniors and families.

The new fund is anticipated to be fully invested by the fourth quarter of 2017. The fund is structured to provide investors a cash-on-cash return. WNC says it’s an institutional fund rather than a low-income housing tax credit (LIHTC) fund.

Headquartered in Irvine, Calif., WNC is a leading LIHTC syndicator. It has acquired more than $7.7 billion of assets totaling in excess of 1,300 properties in 45 states, Washington D.C., and the U.S. Virgin Islands.