From Ashes to Amanecer: New Development for Veterans and Families in Los Angeles Demonstrates Perseverance

CREA believes affordable housing is about creating a place where people can thrive, families can grow and hope can flourish. The story of El Nuevo Amanecer in Los Angeles is a powerful testament to the strength of perseverance, the beauty of collaboration, and the unwavering commitment to a cause that will impact lives for generations to come.

Developed by East LA Community Corporation (ELACC), El Nuevo Amanecer was designed to provide 59 affordable homes, including 31 permanent supportive housing units, for families and veterans who have faced unimaginable challenges including homelessness. Translated to “The New Sunrise,” homes at El Nuevo Amanecer serve as a fresh start - a place where families rebuild their lives and veterans find peace and stability. But just as the building neared completion in September of 2020 a devastating act of arson burned it all down, destroying the fully framed and roofed structure while simultaneously shattering the dreams of so many.

In a city like Los Angeles where housing affordability is at a crisis point and natural disasters have left so many vulnerable, places like El Nuevo Amanecer are more crucial than ever. The need for safe, stable and affordable homes is something that cannot be overlooked.

Even in the face of adversity, CREA and its partners knew that the work would not stop due to the fire. It simply required a recommitment to El Nuevo’s vision. As the tax credit syndicator for this development, CREA played a pivotal role in ensuring that El Nuevo Amanecer became a reality. Working closely with the development team and investment partners, critical financial resources and support made this rebuild possible.

The significance of seeing this project through cannot be overstated. This was not just about rebuilding a physical structure, but also about rebuilding a sense of security for families desperately waiting for a chance to thrive.

“The fire at El Nuevo Amanecer was a crisis for ELACC, but we were never alone. CREA stood with us, fought with us and helped us navigate every challenge until we could rebuild. As a small nonprofit, we couldn’t have done this alone—CREA, alongside LA County, helped us reassemble the financing and bring this project back to life.

Today, the evidence of the fire is gone, and even the memories are beginning to fade. But I hope two things will always remain within these walls: the spirit of fighting back and the certainty that we were never alone.”

— Monica Mejia, President & CEO, East LA Community Corporation

CREA is deeply grateful for the unwavering dedication and resilience shown by every partner. From ELACC, whose vision never wavered despite the setback, to fellow investors and stakeholders - each played a crucial role in ensuring the success of this development. CREA extends special thanks to the U.S. Department of Veterans Affairs and The People Concern, who provide invaluable support services to the veterans and residents at El Nuevo Amanecer. Their commitment to helping people transition from homelessness to stability has been vital.

In Spring 2024, the doors finally opened at El Nuevo Amanecer - welcoming families and veterans who had dreamed of this day for so long. The development offers afterschool tutoring, financial literacy classes, case management and support for local businesses with 7,000 square feet of retail space. El Nuevo is focused on creating a community where people feel seen, supported and empowered to build a better future for themselves and their families.

“El Nuevo Amanecer is the ultimate embodiment of persistence and determination, both by its developer and its residents. Despite a heinous act of arson that burned a fully framed and roofed El Nuevo to the ground, ELACC didn’t give up but instead stayed the course. They fought through incredibly difficult hurdles and, after several years, brought El Nuevo back to life, providing homes for people that share that same determination to change their lives for the better.”

- Richard Shea, SVP, Originator

The property also features modern, pet-friendly apartment homes that include walk-in closets, all-electric kitchens, central air and heating and disability access. Community amenities are designed to create a sense of belonging, including beautiful landscaping, a clubhouse and easy access to public transportation. Every corner of El Nuevo Amanecer reflects the dedication and care that went into making it a safe, supportive and welcoming space for all.

CREA believes in the power of home, the strength of community, and the opportunity to make a lasting difference in the lives of those who need it most. Developments like El Nuevo Amanecer are the foundation of a brighter, more hopeful future for all to meet the urgent needs of our communities.

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Financing

In addition to LIHTC equity, El Nuevo Amanecer is financed with tax credit equity from the sale of federal energy credits, a $25MM construction and $9.45MM perm loan from CIT Bank, a $6.85MM HOME and $3.98MM AHTF loan from the County of Los Angeles, a $350K Home Depot grant, and a $3.74MM Veterans Housing and Homelessness Prevention fund loan from the California Department of Housing and Community Development.

Economic Impact

Based on averages provided by the National Association of Home Builders, in its first year, El Nuevo Amanecer will generate over 70 jobs, $4.7 MM in local income, and $487.9k in taxes saved, as well as $1.4MM in local income, and $260.2k in taxes saved annually.

*Source: National Association of Home Builders. Note: Totals are based on national estimates regarding the economic impact of residential construction for the U.S. economy as of April 1, 2020.

*Source: National Association of Home Builders. Note: Totals are based on national estimates regarding the economic impact of residential construction for the U.S. economy as of April 1, 2020.