Real Estate Development & Affordable Housing Finance

Multi-Family Housing Bonds

As a complement to our affordable housing finance practice, the firm has an active multi-family housing bond practice. Our bond lawyers serve as bond counsel and borrower’s counsel for many multi-family housing bond deals. This experience includes developer driven transactions for apartment projects, as well as transactions driven by local housing authorities. Often these transactions involve funding from a variety of sources, including bonds, federal, state, and local governmental grants, and equity raised with 4% federal low income housing tax credits. For example, the bond attorneys at Howell Linkous & Nettles have served as bond counsel and borrower’s counsel in the two largest HOPE VI revitalization projects funded with bonds in South Carolina. These projects, directed by local housing authorities, replaced traditional public housing projects with mixed use communities, including both affordable housing and market rate units.

Tax exempt bonds for these programs can be issued by either the local authority or the State authority: we have experience with both structures. In addition, we have served as bond counsel and borrower’s counsel for more typically structured apartment projects that include a set-aside affordable component, thereby qualifying for low interest bond financing. Acquisition and rehab 4% tax credits may also be available to raise equity funds in these types of deals.

On the other hand, Howell Linkous & Nettles has served as bond counsel for some of the more innovative housing finance structures seen in the market. Recently, we were bond counsel for a first of its kind in the nation pool transaction involving the renovation of 20 different properties originally financed by Rural Development (USDA) under its RD 515 program. Bonds provide a portion of the permanent financing for these projects, and facilitate 4% tax credit equity funds.

If bonds are a smart component for your multi-family housing development, the bond lawyers at Howell Linkous & Nettles can provide the experienced guidance the development team needs to obtain the optimum result for the deal.