Waterford Property Company and the California Statewide Community Development Authority have partnered to acquire Residences at Westgate, a 480-unit affordable apartment community in Pasadena, for $280 million from Equity Residential. This is the fourth property in Waterford's Pasadena affordable housing portfolio. It will serve as project administrator for the property.

Upon taking ownership, the partnership will immediately lower rents to rent to residents making 60% to 120% of the area median area income. In addition, Waterford and CSCDA will allocate 45% or 216 of the total units to be rented to tenants who make less than 80% of AMI. Another 96 units will be reserved for very low-income tenants making less than 50% of AMI. The average market rent is currently $3,241; however, ownership will reduce rents to $2,354 in the first year, a 37.65% discount to market.

This year, investors have shown increased interest in affordable housing opportunities, closing several notable transactions. In November, The Jonathan Rose Companies' The Rose Affordable Housing Preservation Fund V acquired the Kings Villages Apartments in Pasadena for $223 million. The property includes 313 LIHTC and HUD-regulated Section 8 and Section 42 LIHTC units. The property features a mix of one-, two, three-, and four-bedroom floor plans spread over 58 buildings in a garden-style complex, as well as clubhouse, swimming pool, on-site laundry facility, two playgrounds, a basketball court, and leasing office.