SENIOR APARTMENTS GET TOP RATING FOR BOND FINANCING.Byline: Daily News Staff and Wire Services A senior citizens apartment complex planned with help from the Santa Clarita Valley The Santa Clarita Valley is the valley of the Santa Clara River in Southern California. It stretches through Los Angeles County and Ventura County. Its main population center is the city of Santa Clarita. The valley was part of the 48,612-acre (19,672. Senior Center won Standard & Poor's triple-A rating for its bond financing. The Bouquet Canyon Senior Apartments will be the largest complex for the city's elderly and will be financed in part by California Statewide Communities Development Authority's revenue bonds. The top rating reflects Fannie Mae Fannie Mae: see Federal National Mortgage Association. credit enhancement Credit Enhancement A method whereby a company attempts to improve its debt or credit worthiness. Notes: Credit enhancements take many different forms. An example of a credit enhancement would be conversion rights added on to a debt instrument in order to lower the issuing of the mortgage backing the bonds through a collateral agreement and mortgage-backed security Noun 1. mortgage-backed security - a security created when a group of mortgages are gathered together and bonds are sold to other institutions or the public; investors receive a portion of the interest payments on the mortgages as well as the principal payments; guarantee, triple-A-rated investments and healthy cash flow. Bond proceeds will be used to fund a $13.75 million mortgage for construction of the 264-unit senior complex. The developer is Hamilton Larkin Inc., and the project has been approved by the Santa Clarita Santa Clarita, city (1990 pop. 110,642), Los Angeles co., S Calif., suburb 30 mi (48 km) NW of downtown Los Angeles, on the Santa Clara River; inc. 1987. Situated in the Santa Clara valley and nearby canyons, Santa Clarita includes the former towns of Canyon Country, City Council in cooperation with the senior center. The mortgage is backed by a Fannie Mae collateral agreement upon closing on the bonds. Fannie Mae pledges under the agreement to cover missed mortgage payments and any shortfalls after an involuntary mortgage prepayment or acceleration of bond maturities. The complex will offer low-rent apartments and will be built on Bouquet Canyon Road between Festividad and Espuella drives. It will include recreational areas for the residents, and various programs will be offered through the senior center. |
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