The second piece of a two property New York RAD Portfolio, with rent supplement contract and HUD 236 mortgage was successfully closed last week. The two properties, Cedars of Chili and Indian Trails, were successfully sold to Winn Companies, from Boston, Massachusetts, who are completing tax credit renovations of each. The Cedars of Chili deal was financed with tax exempt bonds and 4% low income housing tax credits (LIHTCs), and Indian Trails was financed with 9% LIHTCs. The buyer [...]
In Sunday’s New York Times, the editorial board published an editorial on the far-reaching benefits of affordable housing development. In the piece, titled “Ending the Cycle of Racial Isolation,” the board references a study on an affordable housing development in Mount Laurel, New Jersey, that was chronicled in Douglas Massey’s book, “Climbing Mount Laurel,” about a development completed over fifteen years ago. In addition to important benefits to the residents, in the area surrounding the development, “crime did not [...]
In September, AHIB closed on a LIHTC sale of a thirty three unit development in Hanover, Pennsylvania. The project was an adaptive reuse renovation of a warehouse, hence the name, Warehouse Apartments. Completing the sale required obtaining soft debt forgiveness form the county. Obtaining this agreement was contingent on procuring a buyer qualified to take on the project’s remaining LIHTC compliance, keeping the property affordable housing, while also making physical improvements desired to improve the quality of tenant life. AHIB [...]
One of my favorite parts of this job is the fascinating people I meet in the affordable housing industry. As a broker I need to be constantly working to understand as much of the market place as possible, and this means meeting with and talking as many owners, developers, managers and specialized vendors as possible. Most of these folks are entrepreneurs who need to apply high levels of creativity to their business. This fact is true [...]
This spring, AHIB worked with a family business selling HAP properties to successfully close on the sale of a portfolio of project-based Section 8 properties totaling nearly 500 units. The portfolio included a senior, mark to market deal with full Section 8 coverage in Hammond, and two family properties that formerly operated with HUD 236 loans and currently had partial Section 8 coverage in Michigan City. The properties were sold to two different buyers after a twenty two day [...]
AHIB recently closed on the sale of a Partial Project-Based Section 8 (HAP Contract) Sale in Kentucky. Mayfeild Gardens is a 72 units family project in the city of Mayfield, Kentucky. Fourteen of the property’s units were covered by project-based Section 8 HAP contract.
In March, working jointly with the St. Louis investment sales team of DTZ (formerly Cassidy Turley), AHIB sells Low Income Housing Tax Credit (LIHTC) Apartments in St Louis, MO at the Lewis and Clark Apartments. The sale included both the real estate and over $1M in remaining LIHTC. The complex was in default with US Bank after the developer who executed the original rehab could not meet high debt service obligations. DTZ was in position to earn the assignment [...]
In December of 2014, AHIB completed an Indianapolis Section 42 Low Income Housing Tax Credit (LIHTC) Sale. The Meridian is a 50 unit, senior-designated property that had been renovated under the Section 42 Low Income Housing Tax Credit (LIHTC) program over fifteen years prior. The buyer in the deal utilized tax exempt bonds and low income housing tax credits as well as historic preservation credits.
After a few short weeks of marketing, a year 15 LIHTC property sells by the team of AHIB and DTZ’s Cincinnati multifamily group procured seven offers on a Section 42 Low Income Housing Tax Credit property in Celina, Ohio, for Miller Valentine. The property, named the Meadows at Grand Lake, had recently exited its initial 15 year LIHTC compliance period and the developer client successfully bought their limited partner’s interest. After pricing the asset appropriately, the marketing team produced several [...]
Sale of Section 42 Low Income Housing Tax Credit (LIHTC) Property and Remaining Low Income Housing Tax Credits (LIHTCs)Kyle Shoemaker
In July of 2013, AHIB completed the Sale of Section 42 Low Income Housing Tax Credit (LIHTC) Property and Remaining Low Income Housing Tax Credits (LIHTCs) at the Fairview Park Apartments in Anderson, Indiana. The eighty unit project was sold for the first mortgage holder and included $840,325 in remaining tax credits. AHIB produced multiple offers within two weeks of marketing. A deal was negotiated with one who closed the transaction after a sixty-six day escrow period. The buyer was [...]