Red Stone Equity Partners announced that it is coming off of its most successful year of fundraising in 2021.
The privately owned real estate finance and investment firm closed its 12th and 13th national multi-investor low-income housing tax credit (LIHTC) funds and fourth California-only LIHTC fund offering.
Red Stone Equity raised $1.12 billion of tax credit equity from 35 different limited partners last year, comprised of $1.07 billion of affordable housing tax credit equity and $46 million of renewable energy tax credit equity. Within its affordable housing vertical, company-sponsored investment funds invested in 71 LIHTC properties developed by 48 different developer partners. These communities will deliver more than 5,500 affordable rental homes in 24 states. Additionally, the creation or preservation of these affordable homes will provide an estimated 6,900 jobs as well as direct and indirect community revitalization and other economic benefits.
As part of its 2021 LIHTC fundraising and investment activities, Red Stone Equity closed on nearly $575 million of tax credit equity through single-investor, also known as proprietary, funds and on approximately $500 million of tax credit equity through the multi-investor fund format. Within its multi-investor LIHTC product line, the company closed on three new LIHTC fund offerings throughout the year, which included its largest national and California-only investment funds raised to date.
"There is an affordable housing crisis playing out across America, made worse by the COVID-19 pandemic. In order to help bring much-needed affordable housing to individuals and families, Red Stone Equity is pleased to have raised more than $1.1 billion in tax credit equity in 2021, which is a result of strong relationships with our developer and investor partners who work alongside the more than 85 dedicated Red Stone Equity employees to make it all happen. We look forward to continuing and expanding upon these partnerships in 2022 and beyond," said Stephanie Kinsman, Red Stone Equity's managing director of investor relations.
Overall, the firm has raised $7.6 billion in tax credit equity since its inception in 2007. Red Stone Equity-sponsored investment funds have financed the construction and/or rehabilitation of 589 LIHTC properties containing more than 50,000 units of affordable housing and 932 megawatts of solar energy installations.
