Multifamily Housing Resources for Rural Veterans and Seniors - Jerry Floyd

301 views

Published on

Jerry Floyd of the Iowa Finance Authority on multifamily housing resources. Presentation from the Housing Assistance Councils symposium "Housing Seniors & Veterans in Rural America: Preservation, Development and Services" in Council Bluffs, IA on August 28-29, 2013

Published in: Education, Business, Real Estate
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
301
On SlideShare
0
From Embeds
0
Number of Embeds
3
Actions
Shares
0
Downloads
3
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Multifamily Housing Resources for Rural Veterans and Seniors - Jerry Floyd

  1. 1. Iowa Finance Authority Jerry Floyd HOME Program Analyst
  2. 2. Iowa Finance Authority Mission: To finance, administer, advance and preserve affordable housing and to promote community and economic development for Iowans.
  3. 3. Overview 5 Divisions • HousingIowa • Iowa Agricultural Development Division (7/1/13) • Section 8 • Title Guaranty • Water Quality At a Glance: • Self-funded • 89 employees
  4. 4. Affordable Rental Project-based Section 8: • Oversight of 223 Section 8 properties • Serve 12,000 low-income Iowans in 73 counties HOME Program: • Administrator since July, 2010 • Appropriated under $6 million • Rental • Homebuyer Assistance • Tenant-based Rental Assistance Low-income Housing Tax Credits: • Allocating agency for tax credits since 1986 • Nearly $7 million in tax credits annually. • Nearly 21,000 units in more than 580 projects located in 83 counties
  5. 5. Investing in All of Iowa
  6. 6. Rural Development Preservation Demonstration • In 2007, IFA received an award of funds from the USDA-RD office to assist current RD projects in rehabilitation. • The program initially began with IFA working with select developers on their portfolio of properties. • But then IFA had an influx of disaster tax credits and ARRA funds making the demonstration project not as attractive.
  7. 7. Rural Development Preservation Demonstration • Late 2011, IFA issued a Request for Proposal seeking project proposals for Rural Development Section 515 projects to participate. • Received 12 applications with 7 projects selected to proceed. • Projects evaluated based upon readiness to proceed, long-term feasibility, experience of the qualified development team, and an established relationship with a Syndicator/Investor.
  8. 8. Funding • In years 2009, 2010, and 2011, IFA set- aside 10 percent or approximately $1.67 million in tax credits which has equated to about $12.8 million in equity. • Also set-aside $1.6 million in HOME loans; and the $2 million in Preservation Revolving Loan Funds received from the USDA. • Roughly $16.4 million dedicated to these projects.
  9. 9. Approved Projects • Three projects have closed to date. • Three more projects are slated to close by year end. • Two selected projects did not move forward.
  10. 10. Approved Projects • Valley View in Columbus Junction by CHI. • Only project from 1st RFP to be approved. • Finances: – Tax Credits of $299,649 – HOME of $527,325 – IFA MF loan of $133,098 – RD assumed loan of $436,588 – 24 units – $3.34 million of total project costs
  11. 11. Approved Projects • Boyer View in Logan by Landmark Group. • Finances: – Tax Credits of $172,833 – HOME of $205,000 – IFA MF Loan of $129,337 – RD assumed loan of $203,837 – 24 units – $2 million of total project costs
  12. 12. Approved Projects • Prairie Village of La Porte City by Newbury Management. • Finances: – Tax Credits of $342,590 – HOME of $442,000 – IFA MF loan of $115,000 – RD assumed loan of $160,674 – LP Seller Note of $180,000 – 32 units – $3.83 million of total project costs
  13. 13. Problems Encountered • Rules, rules, rules. • Forging the confluence of three highly technical and regulated programs was difficult – no big shock. • Took much longer than anticipated to get approval of the property transfers by USDA RD. • One property Boyer View also has a HUD contract so that added another layer of difficulty.
  14. 14. Problems Encountered • IFA ended up returning the loan funds to USDA. Instead IFA used its own funds through multifamily loans. • Lack of flexibility across the board makes it difficulty to utilize the programs together.
  15. 15. Keys to Successful Projects • Owner entity that pushed the bureaucracy to get it done. • Syndicator who understood the complexities of the programs. • Stubbornness on the part of staff and legal counsel at all levels to bring these projects to fruition.
  16. 16. THANK YOU!
  17. 17. IowaFinanceAuthority.gov Twitter.com/IowaFinance Facebook.com/IowaFinance Youtube.com/IowaFinance Foursquare.com/IowaFinance

×