Hunt Capital Partners (HCP) has announced the closing of a $122.6 million national low-income housing tax credit (LIHTC) fund. It is the second multi-investor fund the firm has closed in 2021.
Hunt Capital Partners Tax Credit Fund 43 (HCPTCF 43) is investing in a mix of senior and family housing developments that will create 1,032 affordable homes across nine states sponsored by both nonprofit and for-profit development partners.
The fund will help complete three historic restoration projects, preserving culture while also creating housing that enables social and economic upward mobility for underserved populations, said the firm.
One of the projects in the fund is the adaptive reuse of the historic Miller-Roy building, which served as a center for Black-owned businesses in Monroe, Louisiana.
In addition, 10 developments are adding units for those with visual, hearing, and other physical accessibility needs while eight will offer supportive services. Homes are also being built with green features such as Energy Star appliances, low-flow water fixtures, high-efficiency lighting, a solar photovoltaic system, and a back-up generator.
Rents for units in the fund are on average 35% below comparable market-rate units. Some homes will have as much as a 77% rent advantage. Additional subsidy support was provided for 39% of the homes in the fund.
“This fund introduced and preserved over 1,000 affordable homes,” said Amy Dickerson, managing director, investor relations, at Hunt Capital Partners. “We’re happy to have worked with our for-profit, nonprofit, housing authority, and investor partners to provide homes that are needed more than ever before. The closing of our multi-investor fund, HCPTCF 43, also represents our second multi-investor fund closing in less than 12 months.”
Hunt Capital Partners Tax Credit Fund 41 closed in May, raising more than $132.1 million in equity and creating 1,606 affordable homes. The firm’s two LIHTC funds raised equity from 15 different investors, including 13 financial institutions and 11 repeat investors.
