Tax Credit Advisor Article Archives

In order to be competitive for new housing subsidies in most jurisdictions, the implementation of a resident services program is practically a threshold requirement. Of course, funding an effective program is a challenge.

Boston-based WinnCompanies has cut its electric bill for common areas by 25% at Loft 27, a 173-unit apartment building, as the result of efficiency retrofit and solar projects completed in 2012. The apartment development was created from the adaptive re-use of an historic former mill.

Boston Capital planned to launch a new national multi-investor fund in July with a projected after-tax IRR to investors of 6.75%, according to Tom Pereira. The fund is expected to close in October.

The U.S. Department of Housing and Urban Development (HUD) estimates that the shortfall in federal appropriations for the Public Housing Operating and Capital Funds has created a backlog of more than $25 billion in needed physical improvements to the nation’s 1.2 million public housing units, or roughly $24,000 per apartment.

RAD, the public housing Rental Assistance Demonstration is in jeopardy of stalling for want of a simple legislative fix: Passage by Congress of a bill raising the current cap of 60,000 units to at least 185,000, or, better yet, eliminating the cap entirely.

In the first 10 years of the federal new markets tax credit (NMTC) program, 8,060 investments totaling $31.1 billion were made in 3,849 businesses and projects throughout the country, according to new data and a companion summary released by the Community Development Financial Institutions (CDFI) Fund.

On August 5, the Community Development Financial Institutions (CDFI) Fund issued a notice of allocation availability (NOAA) to open the federal new markets tax credit program’s twelfth funding round.

Iowa’s state historic tax credit program has been strengthened and made more predictable for developers by legislative changes that took effect July 1, 2014.

In the immediate Washington, D.C. metropolitan area, which has about four million people and high housing costs, local governments are using a variety of approaches to address affordable housing needs even as they differ in their priorities and available resources.

Owners and managers of affordable multifamily rental housing properties are faced with a relatively new conundrum: The growing number of states that have legalized the use of marijuana for medical or recreational purposes. The challenge includes what policies to adopt to remain in compliance with federal and state laws, such as regulations of the low-income housing tax credit program, U.S. Department of Housing and Urban Development, and USDA Rural Housing Service.

If you ask Jeff Kittle what he likes about being a tax credit developer, he has a quick answer: “It’s a very interesting, complicated business, oftentimes like a puzzle. And I enjoy challenges.”

CohnReznick’s Housing Tax Credit Monitor