LIHTC SAIL Sale in Palatka, FloridaKyle Shoemaker
Affordable Housing Investment Brokerage, Inc recently represented the seller of the Kay Larkin and Grand Pines Apartments in Palatka, Florida. Kay Larkin and Grand Pines were both developed using both Low Income Housing Tax Credit (LIHTC) and State Apartment Incentive Loans (SAIL) from the Florida Housing Financing Corporation (FHFC) and are subject to regulatory agreements for 50 years from their placed-in-service date. Kay Larkin is a 60-unit garden style LIHTC property that was placed in service in 2000. Grand Pines is a 78-unit low rise style elderly LIHTC property that was placed in service in 2004. Both properties have reached the end of their initial compliance period and are in their 35-year extended use periods of the LIHTC use agreements.
Kay Larkin has 9 units rent restricted at 35% AMI, 21 units rent restricted at 50% AMI and 30 units rent restricted at 60% AMI. The property has 16 tenants using Section 8 vouchers. Grand Pines has 12 units rent restricted at 40% AMI and 66 units rent restricted at 60% AMI. The property has 40 tenants using Section 8 vouchers. At the time of sale, Kay Larkin had a trailing cap rate of 4.5% while Grand Pines trailing rate was 3.66%. Affordable Housing Investment Brokerage, Inc. received multiple offers from national buyers for this SAIL, LIHTC property.