CHICAGO—National Equity Fund, Inc. (NEF), raised $835 million in low-income housing tax credit LIHTC) equity in 2010, a record for the 23-year-old tax credit syndicator.
The capital will support 105 affordable housing developments with some 6,100 apartments and will generate an estimated 11,500 local jobs, both temporary and permanent.
“We raised a tremendous amount of equity, and we were able to support a range of projects meeting the needs of low-income families and at-risk individuals all over the country,” said Joe Hagan, president and CEO, in a statement.
The strong year also allowed NEF to make a $7.8 million grant to its parent, Local Initiatives Support Corp. (LISC), as part of its annual program to help LISC stimulate revitalization in disadvantaged neighborhoods.
Hagan noted how important it is for NEF to have kicked off 2011 with a strong pipeline of secured deals that are set to close in the first few months of the year.
“If this market is characterized by anything it is uncertainty,” he said. “Conditions have been shifting rapidly and may yet do so again.”
Experience has taught the firm that having a lean organization, a rational approach to underwriting, a keen understanding of its partners’ needs, and an equal focus on productivity and service are critical, said Hagan.
Since 1987, NEF has invested $8.8 billion in 2,022 projects providing 121,720 affordable housing units. It has also provided $105 million in community development capital to LISC.