$16 million in tax-exempt bonds will help finance the new construction of 192 affordable multifamily rental units in Baton Rouge, LA. A fund sponsored by Red Stone Equity Partners structured and acquired the tax-exempt bonds that were issued by the Louisiana Housing Corporation. Red Stone closed the transaction via its Direct Bond Purchase Program.
Financing for the property, which will be developed by LDG Development, also includes $10.57 in equity from 4% federal Low-Income Housing Tax Credits and $1.5 million of debt capital via the HOME Investment Partnership Program. Louisiana-based First NBC Bank provided a standby letter of credit that will remain outstanding until Port Royal is constructed and stabilized.
