Hunt Capital Partners Invests in Four Low-Income Housing Tax Credit (LIHTC) Developments in the Southeast
LOS ANGELES, May 9, 2018 Capital Partners provided $13.3 million in LIHTC equity financing to assist in the acquisition of four affordable housing developments in Tennessee and Arkansas. The properties include Windsor Pointe in Memphis, Tenn., and three Cypress Grove Homes properties located in Lake Village, Warren and McGehee, Ark. Together, these developments provide 158 single-family homes to residents that earn up to 50 and 60 percent of the area median income.
Hunt Capital Partners’ equity investment assisted Fallbrook Capital in acquiring the properties out of the portfolio of a failed New Orleans-based bank; the investment helps to ensure families in need will continue to have access to quality, affordable housing for years to come in underserved, rural Southeast markets. Securing funding for affordable rental housing in rural areas can be a challenge. Hunt Capital Partners’ financial backing supports the long-term sustainability of the three Cypress Grove Homes properties, all located in areas with populations under 6,000
“We are proud to invest in Windsor Pointe and Cypress Grove Homes to guarantee the preservation of affordable housing,” said Hunt Capital Partners Executive Managing Director Dana Mayo. “There was outstanding collaboration between our team and Fallbrook. Because of the close partnership, we were able to close all four deals in just two months.”
Constructed in 2013, Windsor Pointe offers 50 single-family homes. Built in 2014 and 2015, Cypress Grove Homes provide 36 homes at each Arkansas location. Each home is furnished with Energy Star appliances as well as a private storage area, patio and carport. Windsor Pointe and Cypress Grove Homes all maintain a high occupancy rate, averaging 95 percent between the four sites. All properties also include an onsite leasing office or clubhouse with an attached manager’s unit.
For each development, Hunt Capital Partners facilitated the investment of 9% federal LIHTCs through its multi-investor funds. Hunt Capital Partners provided $2.9 million in tax credit equity for Windsor Pointe, $3.2 million for Cypress Grove Homes of Lake Village, $3.5 million for Cypress Grove Homes of Warren, and $3.6 million for Cypress Grove Homes of McGehee.
About Hunt Capital Partners
Hunt Capital Partners (HCP) is the syndication division of Hunt Companies, Inc. (Hunt). HCP specializes in the syndication of Federal and State Low-Income Housing, Historic and Solar Tax Credits. Since the successful launch of its first fund in the fall of 2011, HCP has raised over $1.4 billion in tax credit equity. Founded in 1947, Hunt is a privately held company that invests in businesses focused in the real estate and infrastructure markets. The activities of Hunt’s affiliates and investees include investment management, mortgage banking, direct lending, loan servicing, asset management, property management, development, construction, consulting and advisory. For more information on Hunt Capital Partners, please visit www.huntcapitalpartners.com, or for Hunt Companies, please visit www.huntcompanies.com.
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