Hunt Capital Partners Invests in Utah Paiute Tribal Housing Authority’s First LIHTC Deal
LOS ANGELES, Oct. 9, 2018 – Hunt Capital Partners announced the closing of $1.36 million in federal low-income housing tax credit (LIHTC) and federal solar tax credit equity for the acquisition and rehabilitation of 17 single-family homes by the Utah Paiute Tribal Housing Authority (UPTHA) in Cedar City, Utah. This is UPTHA’s first LIHTC deal, and it is Hunt Capital Partners’ ninth tribal transaction.
The 17 single-family homes will be renovated and leased to households who earn up to 25, 45, and 50 percent of the area median income. The homes will operate under the Native American Housing Assistance and Self-Determination Act (NAHASDA) program guidelines as 12 homes are located within a single subdivision on tribal lands under the control of the Paiute Indian Tribe of Utah while the rest are scattered throughout Cedar City. For the Paiute Indian Tribe of Utah, the median household income is $33,995 and the unemployment rate is 18 percent, demonstrating just how important affordable housing is for the region. Hunt Capital Partners’ investment to improve and update the UPTHA’s homes ensures that those in the community will continue to have access to quality affordable housing and better living conditions.
“Rehabilitating the Utah Paiute Tribal Housing Authority’s single-family homes preserves affordable housing on these tribal lands for years to come,” said Hunt Capital Partners Executive Managing Director Dana Mayo. “We are glad to partner with the Utah Paiute Tribal Housing Authority on their first LIHTC deal, and we hope this will be the first of many in the future.”
Once rehabilitated, the development will provide two-, three-, four- and five-bedroom single-family homes. The construction and renovations are expected to take approximately eight months, providing units with new landscaping, roofing, flooring, counters, appliances and other substantial interior and exterior updates. The development is also committed to serving special needs populations, with a plan to set aside two units for homeless households and two units for the disabled. Supportive services will also be offered to residents, including substance abuse assessment, outpatient treatment, mental health assessment, counseling, and a Native Youth Program.
The total development cost for rehabilitating UPTHA’s 17 single-family homes is $2.73 million. Hunt Capital Partners facilitated the investment of federal tax credit and solar tax credit equity through its multi-investor fund, Hunt Capital Partners Tax Credit Fund 27. UPTHA is the general partner, developer, and management agent for the project; the housing authority also provided a $1.37 million soft construction to permanent loan for the deal.
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 $1.5 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 investors 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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