Latest news with #LIHTC
Yahoo
3 days ago
- Business
- Yahoo
PNC Multifamily Capital Announces $208 Million Affordable Housing Fund, Increasing Access to Affordable Housing Across the U.S.
PITTSBURGH, June 18, 2025 /PRNewswire/ -- PNC Bank, N.A., a tax credit syndication leader, today announced the closing of Low-Income Housing Tax Credit (LIHTC) Fund 98, which is investing more than $208 million in the development and rehabilitation of affordable rental housing across the U.S. The fund includes investments from PNC and seven other financial services and insurance companies, including two investors that are new to PNC's LIHTC funds. The investment will provide a positive impact nationwide by financing the construction or rehabilitation of more than 2,000 affordable homes in 15 multifamily properties across 11 states: Alabama, California, Hawaii, Illinois, Kentucky, Minnesota, Nevada, Ohio, Oregon, Pennsylvania and Texas. The properties are designed to serve families, seniors, people experiencing homelessness and those with special needs. A few notable projects include1: Albert Einstein Residence Center in Sacramento, California: Originally built in 1981, the renovation of the Einstein 78-unit apartment community will help ensure that the residents — all seniors — have affordable long-term housing. The residents will now benefit from supportive services provided onsite by a local organization. Services include community-building activities, health and wellness services, and coordination of external services. Walnut Square Apartments in Allentown, Pennsylvania: The 38-unit property intends aims to provide affordable homes for individuals and families at or below 20%, 50% and 60% of the area median income (AMI). The units will be highly energy efficient, achieving Leadership in Energy and Environmental Design (LEED) Silver certification from the National Green Building Council and a reduced Home Energy Rating System (HERS) index certification. Residents will also receive onsite supportive services, including career counseling, professional skills development, financial education, and health and wellness support. Stiegel School Apartments in Manheim, Pennsylvania: Focused on serving senior tenants, this 44-unit property is an adaptive reuse of the historic Stiegel Elementary building built in 1914, which operated as an elementary school for over a century. The development intends to offer 44 new, high-quality apartment homes for seniors at 20%, 50%, 60%, and 80% of the AMI. The property will also offer a supportive services program crafted to meet the needs of senior residents, including coordination with local nonprofit organizations. "The LIHTC Fund 98 closing illustrates PNC Multifamily Capital's continued and longstanding commitment to financing new and improved affordable housing across the country," said Megan Ryan, SVP and manager of Tax Credit Equity Syndication for PNC Multifamily Capital. "As the nation continues to grapple with a shortage of affordable housing, the fund, which is made possible by our institutional investors, will bring much needed relief in the form of more than 2,000 affordable homes to communities throughout the country." PNC Multifamily Capital is one of the largest providers of affordable multifamily equity and both affordable and conventional debt in the industry. Through tax credit equity, agency lending programs and traditional bank balance sheet lending, PNC Multifamily Capital supports developers, investors and local organizations in their efforts to finance multifamily housing, rehabilitate historic sites and provide critical community services. As of Dec. 31, 2024, PNC Multifamily Capital manages approximately $15.5 billion in tax credit equity that supports more than 133,000 affordable rental units, 176 New Markets Tax Credits (NMTC) investments and 69 historic properties nationwide, as well as maintaining a $31 billion agency loan portfolio. For more information about PNC Multifamily Capital, visit PNC Bank, National Association, is a member of The PNC Financial Services Group, Inc. (NYSE: PNC). PNC is one of the largest diversified financial services institutions in the United States, organized around its customers and communities for strong relationships and local delivery of retail and business banking including a full range of lending products; specialized services for corporations and government entities, including corporate banking, real estate finance and asset-based lending; wealth management and asset management. For information about PNC, visit PNC Bank and certain of its affiliates including PNC TC, LLC, an SEC registered investment adviser wholly-owned by PNC Bank, do business as PNC Real Estate. PNC Real Estate provides commercial real estate financing and related services. PNC TC, LLC, which operates within PNC Real Estate's Multifamily Capital segment, provides investment advisory services to funds sponsored by PNC Real Estate for LIHTC, NMTC, HTC and affordable housing preservation investments. Registration with the SEC does not imply a certain level of skill or training. This material does not constitute an offer to sell or a solicitation of an offer to buy any investment product. Risks of each fund, as well as information regarding the investments, risks, and expenses of each fund, are described in the fund's private placement memorandum ("PPM") or other offering documents. Please read the PPM and offering documents carefully before investing. Important Investor Information: Investment products are: Not FDIC Insured / Not Guaranteed / May Lose Value 1 The projects listed above are not a complete list, and may not be representative, of all projects in which the fund currently has invested. CONTACT: RJ Tamburri(412) View original content to download multimedia: SOURCE PNC Bank Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Time Magazine
12-06-2025
- Business
- Time Magazine
The History of the Low-Income Housing Tax Credit—And How it Could Improve Trump's ‘Big Beautiful Bill'
This April, over 150 Republicans and Democrats in Congress came together to introduce the Affordable Housing Credit Improvement Act. The bill aims to address a crisis plaguing nearly every U.S. city: the shortage of low-income and moderate-income housing. Nearly half of American renters spend over 50% of their income on housing, a level that experts consider 'cost burdened," according to the National Low-Income Housing Coalition. The bill works by expanding a tool—the Low-Income Housing Tax Credit (LIHTC) —which has a long and bipartisan history. Everyone from businesspeople to housing advocates have enthusiastically supported it. The credit helps underwrite nearly all construction of affordable housing in the U.S. Whether Congress can pass the Affordable Housing Credit Improvement Act (AHCIA) may come down to whether its Republican boosters can get it into President Donald Trump's ' Big, Beautiful Bill," which the Senate is now working on. It would add cost to the legislation, which could cause rifts between GOP legislators. Yet, history indicates that including it could improve a key source of housing for America's 'working poor.' At the heart of the LIHTC is the idea of giving investors subsidies for building housing. This concept dates back to the era after World War II. Americans may be familiar with the Servicemen's Readjustment Act, the ' GI Bill,' which set up low-interest mortgages for veterans and other home buyers. It produced broad rings of single-family suburban homes around every city. Much less well-known, however, are a series of incentive programs the government enacted to spur the building of rental housing. Read More: A Look at Community Land Trusts and How They Combat the Affordable Housing Crisis During the late 1940s and early 1950s, the administration of Democrat Harry Truman used a tool called FHA 608 to quickly house veterans returning from World War II and the Korean War. It offered long-term loans and free project-planning assistance to apartment developers and guaranteed them a profit. In many cities, that produced more low-rent units than did the nascent U.S. Public Housing program. In the 1960s, another Democratic President, Lyndon B. Johnson, pushed a new set of subsidies. Housing was a top concern for Johnson as part of his War on Poverty —leading to his creation of the Department of Housing and Urban Development (HUD) in 1965. His administration used two programs, FHA 221(d)3 and HUD 236, to provide depreciation tax breaks and ultra-low interest loans to private developers of low- and moderate-income apartments. As nationally syndicated financial columnist Sylvia Porter reported excitedly, 'There are unparalleled opportunities for profit awaiting you, the investor, in low-cost housing … as a result of the meshing of giant new housing and tax laws.' A savvy investor could use the 'big deductions … to offset your other highly taxed income'—a technique called a "tax shelter." As with the earlier Truman program, these subsidies to private developers 'far outdistanced the traditional public housing program' in producing new units, according to the United States Comptroller General Elmer Staats. During the 1980s, federal housing efforts ran headlong into a rising conservative movement, led by President Ronald Reagan. The right was determined to pare back government spending and slash programs. Congress moved to wipe out most aid to help build affordable housing and replace it with Section 8 vouchers. Instead of subsidizing construction, the government would pay landlords the difference between what a renter could afford and the market rate for rent. But business leaders and housing activists revolted. They insisted that Congress should create a strategy to stimulate construction of new units. In 1986, their efforts paid off as part of the sweeping, seminal bipartisan Tax Reform Act. Among its many provisions was the Low-Income Housing Tax Credit. LIHTC gave investors a tax credit—an update of the tax shelter idea—if they developed affordable housing or provided dollars to a non-profit doing that work. From 1986 through to today, the majority of affordable housing in the U.S. has been constructed with this credit. Local or state dollars often supplement it, but without LIHTC, many projects simply would not get built. The credit has worked pretty well for nearly 40 years, an impressive longevity. But two shortcomings have become apparent. The first is that when the Reagan Administration launched the program, the idea of mixed-income housing was not yet a goal. So LIHTC regulations favor projects that serve households that make 60% of an area's median income (AMI). That's an important demographic, including teachers, nurse assistants, food service managers, and other similarly situated individuals. But this target is too narrow on both ends. It often prices out the poorest Americans, who make 30% AMI or less, and it also offers nothing to people making 80% AMI, who increasingly need help with today's skyrocketing rents. A second shortcoming of LIHTC is that funding has not expanded since 1986, when both the population and its needs were dramatically smaller. The result is that, now, meaningful projects are excluded simply because of lack of available money. As Scott Farmer, the head of the North Carolina Housing Finance Agency told me in an interview, 'The worst part of our job is that we get 120 applications a year and can only fund 30 to 35. Those other deals are great deals, we just don't have enough resources to go around.' The new AHCIA bill recently introduced in Congress aims to address both of those problems. It would encourage landlords to mingle tenants at all incomes. Mixed-income projects have been considered best-practice for some 30 years now; the AHCIA will help regulations catch up with that reality. The AHCIA would also dramatically expand the available credits. It would re-institute a temporary increase of 12.5% that Congress approved in 2018 but later allowed to lapse. And it would boost the total by an another 50%, allowing hundreds of additional projects to become reality. The AHCIA has serious support on both side of the aisle in Washington. Its Senate co-sponsors include conservative Republicans Todd Young of Indiana and Marsha Blackburn of Tennessee, along with liberal Democrats Ron Wyden of Oregon and Maria Cantwell of Washington. The House version of the bill already has 130 cosponsors. The difficulty in passing the bill may not be opposition. Rather, it's that relatively small tax-related proposals like AHCIA rarely get enacted as stand-alone legislation. Instead, they often get swept up into fierce and partisan debates over taxes and spending. That's precisely what's happening right now in the Capitol—President Trump's 'Big, Beautiful Bill' includes massive tax cuts along with reductions in social service programs such as Medicaid and SNAP (food stamps), increased funding for deportations and border security, and much more. Despite its broad support, the AHCIA could be overlooked amid the bigger battles. The question will be whether advocates of AHCIA can push some pieces of their legislation into this larger bill. The history provides at least some modest hope. The use of tax credits has deep roots, both among Republicans and Democrats, and a long track-record of success. When Congress adopted LIHTC back in 1986, it came as part of much bigger legislation—so that path is a genuine possibility. Will leaders in Congress take action in 2025? If they do, the Affordable Housing Credit Improvement Act has the potential to do a lot of good, to expand the housing supply, spur the economy, and help address the affordability crisis plaguing America. Tom Hanchett is a North Carolina-based historian. His new book Affordable Housing in Charlotte: What One City's History Tells Us About America's Pressing Problem is published by UNC Press.
Yahoo
10-06-2025
- Business
- Yahoo
CPP & Beacon Communities Announce Acquisition of Brewery Square Apartments in New Haven, Connecticut
Former brewery turned apartment community to undergo historic rehabilitation, preserving affordability and enhancing resident experience Brewery Square Apartments NEW HAVEN, Conn., June 10, 2025 (GLOBE NEWSWIRE) -- CPP (Community Preservation Partners), a mission-driven affordable housing preservation developer, and Beacon Communities, one of the nation's leading affordable housing development and management companies, have announced the acquisition and planned rehabilitation of Brewery Square Apartments in New Haven, Connecticut. This is the second community for CPP in the Fair Haven neighborhood, following the recent completion of nearby Fairbank Apartments. Located at 1 Brewery Square along the Quinnipiac River, Brewery Square is a two-building, 104-unit apartment community originally constructed in 1896 as a brewery and later converted to housing in the early 1980s. With this acquisition, the team will extend affordability protections and implement significant renovations while preserving the historic character of the property. 'This acquisition allows us to increase and deepen affordability while also extending the life of a property that is deeply cherished by the community,' said John Fraser, Vice President of Development at CPP. 'We are proud to protect the historic fabric of this neighborhood while delivering modern upgrades that respond directly to resident needs.' The total development investment of approximately $43 million includes extensive renovations estimated at $112,342 per unit. Planned upgrades include all-new stainless-steel appliances, updated bathrooms, quartz countertops, new windows, refinished floors, and the installation of advanced security systems. The site will also feature enhanced landscaping, cobblestone walkways, and the adaptive reuse of the historic gatehouse into a secure indoor bike storage area — an amenity specifically requested by residents. Additionally, the renovations are expected to improve the property's energy performance by more than 15%, enhancing efficiency and reducing utility costs. "Brewery Square serves as a model for high-quality, architecturally interesting, mixed-income housing,' said Sarah Miller, Fair Haven Alder. 'We look forward to CPP and Beacon building upon and extending this legacy, preserving both affordability and quality for another generation." The renovation will transition 84 of the 104 units into the Low-Income Housing Tax Credit (LIHTC) program, with affordability levels ranging from 30% to 80% of Area Median Income (AMI), averaging just below 60%. The property's existing HAP contract, currently set to expire in 2034, will be extended by an additional 20 years, ensuring long-term affordability. Brewery Square is made up of two continuous buildings and features a unit mix of two efficiency units, 41 one-bedroom units, 55 two-bedroom units, and six three-bedroom units. The property offers ample parking with 151 total spaces split between a 107-space front lot and a 44-space rear lot. Occupancy has consistently exceeded 95%, and residents have played a key role in shaping planned improvements, particularly those that preserve the community's historic charm and enhance daily living. 'The adaptive reuse of Brewery Square Apartments will modernize and expand affordable housing options In New Haven, while breathing new life into a piece of the City's history,' said Dara Kovel, CEO, Beacon Communities. 'We're honored to bring our exceptional property management to a new community of New Haven residents. Thank you to our partners at Community Preservation Partners, who share our commitment to creating quality housing that will remain affordable for generations to come.' Brewery Square marks the fifth property for Beacon Communities in New Haven. The company currently manages Ninth Square Apartments, Edith Johnson Towers and Monterey Place, and started construction last year on The Atwater at Ninth Square, which is expected to be completed in 2026. The project leverages LIHTC 4% tax credits and tax-exempt bonds. Financing partners include NewPoint as the construction and permanent lender, KeyBank as the tax credit and EBL investor, Eversource as the state historic tax credit investor, and JPMorgan Chase as the federal historic tax credit investor. Heritage Consulting has been retained to ensure all work complies with National Park Service historic guidelines. About Community Preservation PartnersIn 2004, Community Preservation Partners was established by their parent company, WNC & Associates, a national investor in affordable housing and community renewal initiatives. Since then, CPP has successfully acquired, developed, and rehabilitated more than 15,000 affordable multifamily and senior housing units nationwide. From the very beginning, they've done things differently. As more than a consultant or an investor, CPP is a true partner in every sense. By joining leading nonprofits and strategic partners, they can provide essential social services to residents, support neighborhood initiatives and transform multifamily affordable housing communities. Creativity, Performance, and Purpose are their core values and embody everything they do. Together they define A Different Way to Home for their excellent employees, partners, and communities. To learn more, visit: About Beacon Communities Beacon Communities LLC is an owner, developer, and manager of affordable and mixed-income housing across the northeast, with nearly 19,000 apartments in eleven states. Beacon's developments include new construction, historic adaptive reuse, public housing redevelopment and the preservation of existing housing. The organization's driving passion is to create and manage well-designed, healthy homes that improve lives and enhance neighborhoods. Learn more at MEDIA CONTACTSIDEA HALLAndy VernierAndy@ Liberty Square GroupEmma Balagueremma@ A photo accompanying this announcement is available at in to access your portfolio
Yahoo
09-06-2025
- Business
- Yahoo
KeyBank Provides $58 Million of Financing for Affordable Multifamily Housing in California
CLEVELAND, OH / / June 9, 2025 / KeyBank Community Development Lending and Investment (CDLI) provided a $58 million construction loan to finance the new construction of an affordable multifamily housing property in Palmdale, California, within Los Angeles County. Maison's Village II will include 66 single family lots totaling 191 units. There will be 64 one-bedroom units, 46 two-bedroom units, 57 three-bedroom units, and 22 four-bedroom units available to families earning at or below 30%, 50%, 60%, and 70% of area median income (AMI). Each site will include a garage, with additional on-street parking, and amenities such as a pool, recreation building, and an on-site management office. The project is nearly identical to Maison's Village I, an adjacent housing development, which KeyBank provided construction financing for in 2022. The sponsor and developer, Ravello Holdings, is a Southern California based real estate development firm with decades of experience in affordable multifamily projects. Maison's Village II received additional funding in the form of a $30 million permanent loan and $1.6 million soft financing from the California Housing Finance Agency (CalHFA) and $36.8 million in low-income housing tax credit equity (LIHTC) from WNC & Associates. Matthew Haas of KeyBank CDLI structured the financing. About KeyBank Community Development Lending and InvestmentKeyBank Community Development Lending and Investment (CDLI) finances projects that stabilize and revitalize communities across all 50 states. As one of the top affordable housing capital providers in the country, KeyBank's platform brings together construction, acquisition, bridge-to-re-syndication, and preservation loans, as well as lines of credit, Agency and HUD permanent mortgage executions, and equity investments for low-income housing projects, especially Low-Income Housing Tax Credit (LIHTC) financing. KeyBank has earned 11 consecutive "Outstanding" ratings on the Community Reinvestment Act exam, from the Office of the Comptroller of the Currency, making it the first U.S. national bank among the 25 largest to do so since the Act's passage in 1977. About KeyCorp In 2025, KeyCorp celebrates its bicentennial, marking 200 years of service to clients and communities from Maine to Alaska. To learn more, visit KeyBank Heritage Center. Headquartered in Cleveland, Ohio, Key is one of the nation's largest bank-based financial services companies, with assets of approximately $189 billion at March 31, 2025. Key provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states under the name KeyBank National Association through a network of approximately 1,000 branches and approximately 1,200 ATMs. Key also provides a broad range of sophisticated corporate and investment banking products, such as merger and acquisition advice, public and private debt and equity, syndications and derivatives to middle market companies in selected industries throughout the United States under the KeyBanc Capital Markets trade name. For more information, visit KeyBank Member FDIC. ### CONTACT :Laura Mimura216-471-2883Laura_J_Mimura@ KEY MEDIA NEWSROOM: View additional multimedia and more ESG storytelling from KeyBank on Contact Info:Spokesperson: KeyBankWebsite: info@ SOURCE: KeyBank View the original press release on ACCESS Newswire Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
05-06-2025
- Business
- Yahoo
Regions Affordable Housing Names David Payne Head of Originations
Payne brings over 20 years of industry experience to lead teams helping clients create and expand access to affordable housing BIRMINGHAM, Ala., June 05, 2025--(BUSINESS WIRE)--Regions Bank on Thursday announced David Payne has been elevated to Head of Originations for Regions Affordable Housing. In this role, Payne will oversee all affordable housing originations by relationship managers supporting developers in many key growth markets across the country. Through low-income housing tax credits (LIHTCs), comprehensive financial solutions, and a holistic suite of additional banking options, Payne will provide business development and leadership to the group. He has 23 years of industry experience in affordable housing and will leverage that work to guide the Originations team to deepen support with developers. Payne will report directly to Katie Such, Head of Regions Affordable Housing. "Regions Affordable Housing is uniquely positioned to provide financial services and solutions clients need to expand affordable housing access and strengthen our communities for the long-term," Such said. "David Payne is an advocate for affordable housing, an intentional collaborator and a respected industry leader. We look forward to his work helping current clients grow and welcoming future clients to experience the Regions approach to affordable housing." Payne previously served as co-head of Originations for Regions Affordable Housing and led the bank's work in sourcing and originating transactions across the Southeast. He served as a relationship manager and credit underwriter before that. Additionally, Payne has leadership experience with various state-level affordable housing trade groups over the years. "Regions Affordable Housing has skilled bankers with deep industry experience in affordable housing finance, and it is a real honor to lead the Originations team into the future," Payne said. "At a time when affordable housing is critically needed to support continued economic growth, Regions can make a difference in helping developer clients and community leaders with the resources to create safe and affordable housing options for residents. The result is stronger communities and improved quality of life for the long term." Regions Bank, through Regions Affordable Housing LLC, is a national leader in affordable housing. Through the LIHTC program, Regions is one of the nation's largest participants in affordable housing finance, providing comprehensive real estate banking and capital markets services to meet the debt and equity capital needs of developers and investors. Regions Bank is also a Fannie Mae DUS MAH Lender, HUD/FHA Affordable Lender, and Freddie Mac Optigo TAH lender. About Regions Financial CorporationRegions Financial Corporation (NYSE:RF), with $160 billion in assets, is a member of the S&P 500 Index and is one of the nation's largest full-service providers of consumer and commercial banking, wealth management, and mortgage products and services. Regions serves customers across the South, Midwest and Texas, and through its subsidiary, Regions Bank, operates approximately 1,250 banking offices and more than 2,000 ATMs. Regions Bank is an Equal Housing Lender and Member FDIC. Additional information about Regions and its full line of products and services can be found at View source version on Contacts Media Contact: Jennifer ElmoreRegions BankRegions News Online: Regions Media Line: 205-264-4551 Sign in to access your portfolio
