Affordable Housing & Tax Credit Financing

Notable Experience

• Represented one of the largest affordable housing developers in the country in its issuance of $71.5 million in corporate debentures on the Tel Aviv Stock Exchange. The client originally sought to raise $60 million at an interest rate of 6.25% per annum, but as a result of the client’s strong asset base and successful marketing efforts, the issue was oversubscribed by almost triple, and the bids resulted in an interest rate of 4.9% per annum and an increase in principal amount of debt of over $11 million. We explained the nuances of the transaction to company lenders and investors, reviewed the offering documents, and assisted in obtaining certain approvals and consents from the necessary parties. We also worked with Israeli lawyers and accountants to assure their understanding of the complex nature of tax-credit properties and ongoing regulatory compliance with the affordability restrictions imposed on the properties.
• The culmination of three years of work resulted in the closing on the ground lease of a transformative mixed-use project located in downtown Hollywood, Florida. The construction financing included $74 million from six lenders, a tax credit equity investment of $34 million and an $8.4 million investment by the City of Hollywood. The project is a rare public-private partnership under Chapter 255, Florida Statutes, to develop a transit-oriented, 216 unit two-building affordable housing project. The project will also include 2,000 square feet of ground floor retail space, a 12,000 square foot educational facility to be subleased to Barry University or another college-level subtenant and an adjacent 635 space parking garage linked by pedestrian overpass to the project. The project will replace an old, vacant fire station, shuffleboard courts and a parking lot, long underused by the City of Hollywood and its residents.
• Represented national real estate investment and development company in a 142 unit mixed-use multifamily apartment complex geared towards housing individuals or families earning up to 140% of Area Median Income (AMI) consisting of a six-story building together with all improvements located in the City of Fort Lauderdale in an area known as Flagler Village. The team handled every aspect of land acquisition, equity raise including use of opportunity zone funding (the first in Broward County), negotiation of grant funding from City of Fort Lauderdale Community Redevelopment Agency and construction and permanent loan financing from City National Bank. This extremely complex transaction combined various sources of funding including two different forms of equity funding and both traditional debt and CRA funding in the nature of a loan forgiven over time assuming certain restrictions imposed upon the owner are met.
• For over eight years we represented a client in the various phases of the development of a mixed-use project located in the heart of the Liberty City neighborhood of Miami. The development includes multiple apartment buildings and town homes for affordable and workforce housing, as well as housing for the elderly, a village green, youth enrichment center, ground floor retail, and a centrally located public park.
• Represented client as seller of a portion of its affordable housing portfolio to nations Real Estate Investment Trust in a series of purchase and sale agreements relating to the real property and/or partnership interests owned by the client. The portfolio included 11,000 apartment units and 45 projects that included several layers of financing as well as low income housing tax credits and attendant restrictive covenants. As of 2024, the transaction was the largest single developer sale of affordable housing closed to date, and was closed in an extremely tight time frame.
• Represented client in a multifamily apartment project to be developed primarily for formerly homeless persons and persons with special needs. Financing for the project consisted of financing from Florida Housing Finance Corporation and conventional first mortgage construction loan financing to be paid off at stabilization of the development. Additional funds were obtained through the syndication of low income housing tax credits allocated to the project. We represented the long-term ground lessor who leased property from the Pinellas Housing Finance Authority through a special program administered by Pinellas County. The project also received financial support from project based section 8 rental vouchers.