$174 Million Financing Package Unlocks Major Santa Maria Housing Development

2026-01-17 companies

Santa Maria, Friday, 16 January 2026.
Priority Capital Advisory has secured a strategic $174 million financing package for Blosser Ranch, directly addressing a severe supply-demand imbalance in Santa Maria where population growth has outnumbered new housing deliveries by nearly ten to one over the last decade. This capital injection funds the immediate construction of 302 apartment units and recapitalizes land for a future 1,500-unit master-planned community near Vandenberg Space Force Base. Backed by Centennial Bank and Lionheart Strategic Management, this deal signals strong institutional confidence in the region’s agricultural and aerospace-driven economy, with the first phase expected to open by summer 2027.

Structuring the Capital Stack

The transaction, orchestrated by Priority Capital Advisory on behalf of Canfield Development, involves a complex layering of debt to facilitate both immediate construction and long-term site preparation [2]. The $174 million total financing is bifurcated into senior and mezzanine debt, a structure necessary to cover the costs of the 12-acre initial phase while recapitalizing the remainder of the 160-acre site for future expansion [2][4]. Centennial Bank, represented by Managing Director Garron Robinson, originated the senior construction loan amounting to $111.5 million [1][3]. Complementing this, Lionheart Strategic Management provided $62.5 million in mezzanine financing, a deal component led by Andy Klein [1][4]. This dual-funding approach provides the liquidity required to execute the horizontal and vertical construction of the project’s inaugural phase [1].

Phase One Specifications and Timeline

Located at the intersection of South Blosser Road and West Battles Road, the first phase of Blosser Ranch will feature a three-story, garden-style apartment complex comprising 302 units [2][4]. The development is designed to offer a mix of studio, one-, two-, and three-bedroom floor plans, ranging in size from 490 to 1,188 square feet (approximately 45.5 to 110.4 square meters) [1][4]. Future residents will have access to a suite of Class A amenities, including a swimming pool, spa, fitness center, business center, and a dedicated pet park [3][4]. Construction is currently underway, with the project team targeting a completion date in the summer of 2027 [1][4].

Addressing the Housing Deficit

The Blosser Ranch development arrives at a critical juncture for Santa Maria, a city where housing production has significantly lagged behind demographic shifts. Between 2010 and 2020, the city’s population expanded by more than 10,000 residents, yet only 1,102 new housing units were delivered during that same decadal period [1][3]. This disparity highlights a chronic under-supply in a region that serves as a major agricultural hub—boasting an annual crop value exceeding $1.4 billion—and hosts the Vandenberg Space Force Base, the area’s largest employer [3]. Zachary Streit, Founder and President of Priority Capital Advisory, noted that closing a loan that recapitalizes land for a master plan’s inaugural phase required “creativity, persistence, and the right project,” emphasizing the development’s role as a “place-making” project for Santa Barbara County [2][3].

Master Plan and Advisory Growth

Upon full buildout, the Blosser Ranch master plan is envisioned to encompass approximately 1,500 residential units, blending multifamily and single-family homes [2][4]. The broader community design includes provisions for retail space, a public park, a school, and a water retention basin, effectively creating a new neighborhood ecosystem within the city [1][4]. For Priority Capital Advisory, this transaction marks another significant milestone. Since its inception in mid-2024, the firm has closed more than $800 million in debt financing across 29 transactions, solidifying its foothold in the capital markets just under two years into its operations [3]. The successful closing of the Blosser Ranch deal on January 14, 2026, underscores the continued appetite among institutional lenders for well-structured multifamily assets in supply-constrained markets [3][5].

Sources

Real Estate Construction Finance