The LIHTC fund will create 1,233 homes across 13 states
BOSTON–(BUSINESS WIRE)–Boston Financial, one of the largest and most established syndicators of Low-Income Housing Tax Credits (“LIHTC”) in the U.S., today announced the closing of Boston Financial Institutional Tax Credits 57 Limited Partnership (“ITC 57”), a $164 million LIHTC fund. ITC 57 is the third LIHTC fund syndicated by Boston Financial this year, representing the firm’s ongoing commitment to equity initiatives that enable investors to contribute to meaningful social impact strategies and goals in affordable housing developments across the country.
ITC 57 will provide capital for the new construction and preservation of existing affordable housing properties in 16 communities in 13 states: Arizona, California, Delaware, Florida, Kentucky, Massachusetts, Montana, Ohio, Rhode Island, Tennessee, Texas, Virginia, and Washington. Six of the properties in ITC 57 will bring affordable homes to majority Black, Indigenous and people of color (BIPOC) communities, and one property will have 20% of its units designated for persons with disabilities.
In addition, four of the properties included in ITC 57 will provide fully funded supportive services for residents including: elder care, case management for formerly unhoused people, employment assistance, care for those escaping domestic violence, health and dental care, food and utility assistance, legal assistance, and childcare resources. One of these communities, Samma Senior Apartments in Bothell, WA, which is run by Imagine Housing, a mission-driven, nonprofit affordable housing developer, will bring a total of 76 new affordable homes to the community, as well as on-site case management for formerly homeless households, resource and referrals for employment assistance, domestic violence support, childcare resources, and more, all at no cost to the residents.
ITC 57 has secured commitments from six investors, one of whom is new to Boston Financial, demonstrating the firm’s ability to bring in new capital as well as grow relationships with existing clients. Similarly, it attracted fourteen developer partners, including two new partners to the firm. The fund is expected to create nearly 2,100 new jobs, bringing an estimated additional $233.4 million in wages and business income to the surrounding communities, as well as over $81 million in federal tax revenue.
“As we navigate an increasingly complex deal-making landscape while continuing to maintain quality fund offerings for our investors, Boston Financial could not be more satisfied and grateful for the collaboration and commitment of our developer and investor partners,” said Todd Jones, Head of Tax Credit Equity Production at Boston Financial. “It’s the resiliency of these partners that enables us to continue tackling the tremendous affordable housing crisis across the country – even in the midst of the many micro and macro-economic challenges communities are facing at this time.”
Since the beginning of the LIHTC program in 1986, Boston Financial has worked with over 200 investors to preserve or build over 360,000 affordable homes. ITC 57 is Boston Financial’s third LIHTC multi-investor fund closing of the year, following the California-focused $83 million fund in March 2022 and the landmark $290 million ITC 56 fund in April 2022, the single-largest multi-investor fund syndicated by Boston Financial in the last 15 years.
About Boston Financial:
Founded in 1969 and acquired by ORIX Corporation USA in 2016, Boston Financial is the largest Low Income Housing Tax Credits (“LIHTC”) syndicator in the country, managing a $15.8 billion portfolio comprising over 2,100 properties. Boston Financial’s vision is to create a future where everyone has a home, one investment at a time.