Freddie Mac has closed its first Low Income Housing Tax Credit Fund and its first equity investment within that fund, with Enterprise Community Investment Inc. This marks Freddie Mac’s re-entry into the housing credit market.
The fund will invest to create and preserve affordable housing nationwide, focusing on areas and transactions that have been underserved over the past 10 years, such as those located in rural communities, developments that provide intensive supportive services to residents and four percent LIHTC financing. The fund will provide as much as $100 million in targeted affordable housing investments, with more possible as additional deals close.
With this partnership, the two companies will be investing $8.2 million in Wintergreen West, which will provide 40 apartments for residents living in Summit County, Colo. Units will be offered in one-, two- and three-bedroom floorplans for those making between 30 and 60 percent of the area median income. The community will be part of a larger, mixed-income project.
“Our Low-Income Housing Tax Credit equity investing program is designed to expand our affordable housing efforts and help provide stability to this market,” Dave Leopold, vice president for Targeted Affordable Sales & Investments at Freddie Mac Multifamily, told Multi-Housing News. “We are pleased to partner with Enterprise on this fund and this transaction, which is the first of many that will deliver quality, affordable housing to communities that need it. We look forward to continuing to work together to invest in additional projects that will bring much-needed affordable housing to families across the country.”
Rendering courtesy of Freddie Mac