R4 Capital, a national affordable housing tax-credit syndicator and asset manager, announced the launch of a new business, R4 Capital Funding, a tax-exempt debt platform that provides mortgage capital for affordable multifamily housing properties throughout the US.
James Spound joined R4 Capital on January 25, 2016 to serve as President of R4 Capital Funding. Tara Nussbaum joined R4 Capital as Senior Vice President of its new debt business.
R4 Capital Funding (R4CF) will provide mortgage capital by originating, structuring, acquiring, and
securitizing tax-exempt mortgage revenue bonds issued by state and/or local housing agencies and authorities to finance the new construction or acquisition/rehabilitation of affordable multifamily housing properties.
“Initially, R4CF will offer a Direct Purchase Bond Program that provides affordable housing developers with a highly efficient construction and permanent financing execution,” stated Jim Spound. “On the investor side,” Spound added, “through R4CF, R4 Capital intends to provide innovative investment opportunities founded on R4 Capital’s expertise and ongoing commitment to affordable housing.”
Marc Schnitzer, R4 Capital President and founder, along with his team, anticipate that certain financial institutions who invest with R4CF will receive credit under the Community Reinvestment Act (CRA) for investments in the tax-exempt securities that finance properties in their respective service areas.
Marc Schnitzer and Jim Spound spent 10 years working together at Centerline Capital Group (formerly
CharterMac, a tax-credit syndicator), where they collaborated on the origination, management, and permanent securitization of a $2.8-billion affordable housing mortgage revenue bond portfolio. Before rejoining Marc Schnitzer at R4 Capital, Jim Spound served as president of Red Stone Tax Exempt Funding since 2011, where he led Red Stone’s efforts to raise investor capital and provided financing for approximately 12,000 affordable housing units in 21 states, representing nearly $700 million of tax-exempt bond acquisitions.
Tara Nussbaum joins R4 Capital Funding with over 15 years of private and public sector affordable housing finance experience. She spent 13 years at MuniMae, achieving the position of managing director leading capital markets transactions, including securitizations and hedging, for a $2-billion affordable housing mortgage revenue bond portfolio.
“I am pleased to welcome Jim and Tara to R4. I know Jim well and respect his professionalism in all business dealings. He brings a level of knowledge and client service in his business approach that align with the R4 corporate culture,” said Marc Schnitzer. “And Tara adds depth to our securitization business, along with a keen understanding of how capital markets function in all market cycles. I am excited to be able to even better serve our clients with an enhanced line of investment and financing products as part of our in-house expertise managed by two of the best talents in our industry.”
