JV Commits $50M to Mid-Atlantic Affordable Housing
- Sep 05, 2017
A joint venture between TIAA Investments and Enterprise Homes, a nonprofit affordable housing developer, ensured that more than 4,100 units in Maryland, Pennsylvania and Virginia will remain affordable to low-income residents. Both firms invested a combined $50 million in a fund that Enterprise Homes formed to acquire the communities from The Shelter Group.
Located throughout the Mid-Atlantic, the portfolio includes 43 properties. The investment aims to address the growing affordability challenges facing communities across the U.S. “Nearly 19 million low-income families in the U.S. are homeless or paying at least half of their monthly income on housing. TIAA Investments’ $50 million contribution shows a commitment to ending our country’s affordability challenges and improving the lives of hard-working Americans nationwide,” said Chris Herrmann, vice president of conventional equity at Enterprise Community Investment, in a prepared statement.
The 4,153 apartments were originally financed through the Low-Income Housing Tax Credit program, America’s main tool for creating and preserving affordable homes for low-income families, seniors, veterans and people with special needs. “This investment opportunity was particularly attractive given the properties were consistently of high quality, are located in high-demand markets and offer steady cash flows,” said Rekha Unnithan, director of impact investing at TIAA Investments.
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