Hunt Capital Partners Closes LIHTC Fund at $194M
The equity package will support the creation of nearly 1,300 affordable apartments.
Hunt Capital Partners has closed its LIHTC equity fund at $193.5 million. Dubbed Hunt Capital Partners Tax Credit Fund 51, the new equity package is set to create 1,291 affordable units throughout 16 communities across the country. It represents HCP’s largest multi-investor fund to date.
HCP will partner with non-profit and for-profit developers to kick off new construction, acquisitions and renovations. Three new developers and four new investors joined HCP in its effort, Amy Dickerson, the company’s COO, said in a company statement.
The fund is slated to add 778 units to the nation’s affordable housing stock while preserving the affordability of 513 apartments. The units will cater to residents earning between 30 and 70 percent of the area median income, providing rental subsidies such as Project-based vouchers, Section 8 and 811, among others. Additionally, more than half of the developments will provide resident services including educational activities.
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The projects will also include set-aside units dedicated to veterans, individuals living with disabilities, people struggling with substance abuse, as well as youth aging out of foster care and individuals living with HIV/AIDS.
Garth Development’s The Vineyards at Cabot Phase II, a 48-unit affordable project in Cabot, Ark., is one such soon-to-open community. Apartments will house individuals earning between 30 and 60 percent of the AMI, allowing future residents rent savings of as much as 67 percent compared to market-rate communities.
Another project is Carrfour Supportive Housing’s Mercy Village, a 79-unit affordable development in Ocala, Fla. Upon completion, residents will have access to supportive services including budgeting classes, mental health and employment assistance, among others. Groundbreaking is scheduled for this month.
Hunt Capital Partners’ focus on affordable housing
Specializing in federal and state LIHTC, as well as historic and solar tax credits, Hunt Capital Partners has raised more than $3.8 billion in tax credit equity since its inception in 2010. Additionally, the company manages approximately 800 project partnerships comprising north of 80,000 units.
One such partnership is HCP’s joint venture with Bonner Carrington and Sycamore Strategies. This August, the trio secured $86.3 million in total financing for Cypress Creek Apartment Homes at Montfort Drive, a 168-unit mixed-income project in Dallas. HCP syndicated $20 million in federal 9 percent LIHTC.
