Presentation on theme: "Presented May 8, 2014. Rental Production Program Competitive 9% credits Capital subsidy Special Needs Program Small scale Grant commitments Flexible Preservation."— Presentation transcript:
Rental Production Program Competitive 9% credits Capital subsidy Special Needs Program Small scale Grant commitments Flexible Preservation Non competitive Tax exempt bonds 4% credits Existing projects Expiring affordability restrictions
Cost Per Unit Comparison Debt NHH Subsidy Tax Credit Equity Other Total Per Unit Cost $51,000 $3,000 $17,000 $14,000 $85,000 Preservation $28,000 $18,000 $138,000 $26,000 $210,000 New Construction 40% of New Construction
37 Projects 2,460 Units $210,000,000 - Total Development Activity Average Rehabilitation $40,000 Per Unit
Total Development Costs$210 million Total Loans Financed$126 million Total Outstanding Balance $100 million NHHFAs Risk Exposure $50 million
Extended affordability restrictions Stabilized financial structure Project upgrades including energy efficiency improvements Stabilize and expand NHHFA loan portfolio
CHALLENGE: A non-profit sponsor seeks financing to acquire an existing 40-unit Section 8 property in need of renovations. SOLUTION: Structure a tax-exempt financing that gives the sponsor access to the 4% low income housing tax credit. Provide capital subsidy for repairs that will improve energy efficiency and lower operating expenses.