The Cove

NEWPORT BEACH, CA

Goal: Transform an underutilized property into permanent affordable and supportive housing for vulnerable populations, such as homeless veterans and low-income seniors, by combining sustainable upgrades, thoughtful design, and essential on-site services to foster community and well-being.

Located just steps from Coast Highway and public beaches, The Cove Apartments provide permanent affordable and supportive rental housing for homeless veterans and low-income seniors 62+ earning 30-60% of the area median income. 

This laid-back, beach complex features a courtyard with an organic community garden and shared outdoor dining and meeting spaces with peaceful views of the neighboring wetlands. The American flag proudly flies over the courtyard and staircases showcasing patriotic and inspirational quotes. Several units even have private patios with ocean views. Crucial to the project’s success are the supportive services offered to the veteran and senior tenants provided by Mercy House in conjunction with the VA.

CDP acquired the 12-unit property, which was formerly a rundown market rate complex, and completed extensive upgrades before transforming it into affordable rental housing. The GreenPoint Rated property now features a refreshed exterior, all new unit interiors, a new laundry room, and a courtyard with a community garden. Supportive services are provided by Mercy House in conjunction with the VA.

DEVELOPMENT

Financing was provided from the sale of 4% Low Income Housing Tax Credits (LIHTC),Tax Exempt Bond financing from bonds issued by CSCDA with construction debt provided by Citi Community Capital. Additional permanent debt was provided by City of Newport Beach Housing Funds, California Housing Finance Agency (CalHFA), and grants from the Affordable Housing Program (AHP), CITI Salute program, and The Home Depot Foundation.

DATA
  • Number of units: 12
  • Lot size: .16 acres
  • Density: 75 units/acre
  • Unit size: 402 ft2 average
  • Unit mix: 12 1BD/1BA
  • Parking Spaces: 13
  • Affordability: 30% - 60% AMI
  • Sustainability: Certified Green Point Rated
  • Total Cost: $7M
TEAM
  • Architect: Rand Kruse
  • Contractor: Precision General Contractors
  • Property Management: FPI
  • Non-Profit General Partner: Mercy House; Integrity Housing
WEBSITE

PARTNERS

CDP is proud to partner with these organizations, dedicated to bettering the lives not only of The Cove’s residents, but of those lower-income residents in surrounding communities.

Mercy House

Mercy House was founded by Father Jerome T. Karcher with a vison to serve the local homeless and at-risk communities. Since beginning services in 1990, Mercy House has grown from a single transitional housing program to a complete system of care designed to span the spectrum of services. These range from outreach and homeless prevention programs to emergency shelters and permanent housing, which incorporates both Housing First projects serving chronically homeless populations and affordable housing serving very low to low-income populations. On an annual basis, Mercy House programs and services touch the lives of over 7,000 adults and children across Orange, Los Angeles, San Bernardino, Riverside, Ventura, and Kern Counties in California as well as Maricopa County, Arizona. Their growth over our 30-year tenure has been tied to clarity of vision and purpose, always bearing in mind the organization’s ultimate goal: to end the homelessness of all who enter their unique system of care.

U.S. Department of Veterans Affairs (VA)

Veterans Affairs provides comprehensive services to veterans, their families, and survivors. Its mission is to honor and serve those who have served in the military. The VA focuses on ensuring the well-being of Veterans through support in healthcare, financial assistance, education, and honoring their service.

Santa Ana Housing Authority

The Santa Ana Housing Authority serves Orange County with a mission to provide affordable housing for the community’s most vulnerable members, empowering them to achieve self-sufficiency and independence from housing assistance.