LIHTC

Hunt Capital Partners announced it has closed $6.4 million in Low Income Housing Tax Credit equity and $2.4 million in state and federal Historic Tax Credit equity for the construction of 48 multifamily housing units in a new building plus 18 additional units in the adaptive reuse of a historic building in Monroe, LA, which dates back to 1929.

The Texas Department of Housing and Community Affairs (TDHCA) posted a list of 2021 nine percent LIHTC Applications that are eligible for an award of tax credits for the 2021 program year. Developers with an appealable interest as a result of changes to the Application List posted on the TDHCA website, should submit a written appeal to the Department by close of business on June 30, 2021, to allow the matter to be considered by the executive director and potentially presented to the Governing Board at the meeting scheduled for July 8, 2021. 

The Ohio Housing Finance Agency is making additional nine percent LIHTCs and Housing Development Loan (HDL) funding available to 2019 and 2020 LIHTC deals struggling with increase construction costs. 

The California Tax Credit Allocation Committee updated its nine percent LIHTC application for the second competitive round

The Illinois state legislate passed the COVID-19 Affordable Housing Grant Program Act (HR 27252), which would require that LIHTC properties in Cook County be assessed using the income-approach, as well as a new property tax incentive policy that would provide reduction in assessed value for both subsidized and market-rate owners that provide affordable units. The omnibus legislation also extends the Illinois State LIHTC through 2026. A full summary of the bill’s provisions is available here from the Illinois Housing Council.  

Hunt Capital Partners and developer Royal Capital Group will use $13.1 million in tax credit equity for the rehabilitation and adaptive reuse of an old school dating to 1902 plus the addition of adjacent new construction to create 82 units of multifamily housing, Hunt said in an announcement. Both Federal Low Income Housing Tax Credits and Federal and State Historic Tax Credits have been allocated for the project.

Red Stone Equity Partners LLC announced the closing of Red Stone Equity – Fund 84 Limited Partnership (Fund 84), a $207-million multi-investor Low Income Housing Tax Credit (LIHTC) investment fund.

Senators Maria Cantwell (D-WA), Rob Portman (D-OH), Ron Wyden (D-OR) and Todd Young (R-IN) along with Representatives Don Beyer (D-VA), Suzan DelBene (D-WA), Jackie Walorski (R-IN) and Brad Wenstrup (R-OH) introduced the Affordable Housing Credit Improvement Act of 2021 (AHCIA).

HUD released the median family incomes and income limits for Fiscal Year (FY) 2021. Median incomes are used as the basis for income limits in several HUD programs, including the Public Housing, Section 8 Housing Choice and Project-Based Voucher, Section 202 housing for the elderly and Section 811 housing for persons with disabilities programs, as well as in programs run by agencies, such as the Department of the Treasury, the Department of Agriculture and the Federal Housing Finance Agency.

The National Housing Trust (NHT) released a 2020 update to its 2017 State Strategies to Increase Energy and Water Efficiency in Low Income Housing Tax Credit Properties, which reviewed hundreds of state Housing Finance Agency (HFA) documents, including QAPs, LIHTC applications, Design and Construction Guidelines and other documents, to identify the ten most prominent strategies in use by HFAs to advance water and energy efficiency.

The U.S. District Court for the Eastern District of Michigan released a new opinion in the matter of SunAmerica Housing Fund 1050 v. Pathway of Pontiac Inc. et al. The court ruled that, in the absence of language otherwise, the right of first refusal (ROFR) was a classic ROFR under Michigan law and common law, requiring intent on the part of the LIHTC partnership to sell its property interest.

The Internal Revenue Service will hold a virtual hearing on its Average Income Test proposed rule on March 24 at noon ET. Register by March 22 by emailing publichearings@irs.gov or contacting Regina Johnson at (202) 317–5177. NH&RA submitted comments and will attend the public hearing.