Detroit Senior Housing Project Receives $12 Million in Tax Credit Allocations

HUD Hope VI Development in Detroit Continues Expansion, Bringing 166 Unites of Affordable Housing with Equity from Great Lakes Capital Fund

Detroit, MI—May, 2012—Gardenview IIIC and D are continuations of the new construction HOPE VI development in Detroit, Michigan. The projects combined bring 166 affordable rental townhomes to Detroit seniors.

Newly constructed senior townhomes in Gardenview Estates, Detroit.

Phase III C received $5.4 million in Low Income Housing Tax Credit (LIHTC) equity and will contain 84 affordable townhomes for independent-living seniors. The total development cost for Phase IIIC is nearly $16 million. Phase IIID will contain 82 units, received $5.5 million in LIHTC equity; and its total development cost is $15.5 million.

The $30 million development is located in the existing Gardenview Estates. Construction of Gardenview Estates Phase I is complete Phase II is partially complete, and Phase IIIA & IIIB is currently underway.

“Great Lakes Capital Fund is pleased to partner with MSHDA and enhance the HOPE IV Grant the City received years ago,” said GLCF President and CEO Mark McDaniel. “Through the cooperation of the federal housing department [HUD], state housing department [MSHDA], the Detroit Housing Commission and the City of Detroit, at least 166 more seniors will get the housing they deserve.”

Gardenview Estates is the redevelopment of the former Herman Gardens Public Housing Complex, which spans over 139 acres, just west of M-39, south of Joy Rd, and north of Tireman St. The new construction is part of an established Revitalization Plan, which calls for the development of nearly 500 rental units and 424 homeownership units.

Norstar Development, Inc. and the Detroit Housing Commission have partnered to co-develop Gardenew Estates. . The City of Detroit has put the infrastructure for the entire site in place. As part of the Revitalization plan, the Boys and Girls Club has built a NFL-themed community facility for youth recreation and community events.

In addition to its investment in Phases IIIC & IIID, GLCF is the LIHTC investor in Phases IIC, IIIA and IIIB; and these are the seventh and eighth phases of construction.

Great Lakes Capital Fund Closes $128 Million Affordable Housing Fund

Lansing, MI—May 15, 2012—Great Lakes Capital Fund (GLCF) has closed its most recent fund, Fund 26, with $128 million raised to support affordable, multifamily housing across the Midwest.
The funds will support 23 deals in Illinois, Indiana, Wisconsin, Michigan and upstate New York—which represents GLCF’s entire footprint. Eight investors contributed to Fund 26, including three new investors to GLCF. GLCF’s next fund is expected to close its next fund in the 4th quarter of this year.

CapFund Community Development Entity Allocates $7 Million in New Markets Tax Credits

Great Lakes Capital Fund’s Subsidiary, Capfund CDE Eight,  Plans to Provide $7 Million for $41.1 Million Community College Project

Indianapolis, IN—May, 2012—Ivy Tech Corporate College and Conference Center in Indianapolis has received a $7 million New Markets Tax Credit (NMTC) investment from Great Lakes Capital Fund subsidiary, Capfund CDE Eight.

The investment will support the construction of a large facility for Ivy Tech Community College in a an underserved community in the Meridian Avenue corridor of Indianapolis. Other funding partners include Chase, LISC, and the city of Indianapolis.

Ivy Tech Foundation, Inc. will develop the commercial investment, which represents a $41.1 million investment to the college and the community.

“Ivy Tech does a fantastic job of educating Indianapolis’s residents, and Great Lakes Capital Fund is confident this investment will enhance and advance this very important mission.” Said GLCF President and CEO, Mark McDaniel.

“Quality education opportunities are critical to a community’s vitality and strength and we are proud to have played a role in the new Ivy Tech facilities,” said Dennis Bassett, Chairman of Chase in Indiana. “This is a prime example of the public-private partnerships that Chase is advancing to help spur economic growth throughout our country.”

“Educational institutions are enormous assets to communities, and this one will serve its constituency very well through its affordability, small class-sizes and diverse curriculum,” McDaniel added

The building will house job training, culinary arts, online learning, and other services provided to students at a very affordable rate. A large percentage of Ivy Tech’s enrollment is low-income and the college is the largest provider of undergraduate degrees for minority students in Indiana.

The expansion at Ivy Tech is being built to the U.S. Green Building Council’s LEED Silver specs and will create 9 permanent jobs, 210 construction jobs, and relocate 26 permanent jobs.

Ivy Tech, local CDCs, community organizations, area residents and local churches are serving as partners in this initiative. The building is expected to open in August 2012.

West Allis, Wisconsin, Special Needs Project Receives $2 Million

West Allis, WI—April 2012—In April, Great Lakes Capital Fund invested over $2 million in LIHTC capital for independent, disabled individuals in West Allis, Wisconsin.

Fountains of West Allis is a 35-unit, acquisition and rehabilitation and special needs project. The project has and will continue to provide rental housing to disabled individuals collecting social security disability benefits or doctor-certified visually-impaired individuals.

The rehabilitation represents a $3.3 million investment to the West Allis neighborhood, situated in the Milwaukee-metropolitan area in Wisconsin.

“This investment will allow the Fountains of West Allis to provide services, amenities and the quality of life that its residents deserve,” GLCF President and CEO Mark McDaniel said. He added, “This particular sort of housing, one that serves disabled and blind individuals, is very rare in the Milwaukee Metro area.”

The rehabilitation of the property will include new windows, roofs, exterior doors, parking lot repairs, side walk repairs, flooring, appliances, cabinetry, landscaping, new boilers, and updated elevator equipment and signage.

Rehabilitation will cause as little disturbance to its disabled residents as possible. In fact, all tenants will remain in their homes during the rehab—no overnight stays are scheduled for the residents.

Keystone Development, LLC and Alliance Housing Development, LLC, will co-develop the property. Management of the property will remain with the existing property management company. Sako, Inc. Excel Engineering (Architect), Northcentral Construction Corporation (General Contractor) are also members of the development team. Capital Fund Title services provided insurance for the deal.

A GLCF Subsidiary will provide $1.25 million in conventional debt financing.

GLCF President, CEO Receives High Honors

Lansing, MI—April 25, 2012—Mark McDaniel was honored to receive the Bernice R. Bensen Service Award from Habitat for Humanity Michigan, for his advocacy and service to the organization. As a founding board member, McDaniel helped established Habitat Michigan in 1993 to provide services to the 76 local affiliates serving families in nearly every county throughout Michigan.
The Bernice R. Bensen Service Award was established in 2001 to recognize an individual who demonstrates an outstanding supportive and leadership role on behalf of Habitat for Humanity of Michigan. Before her death, Bernice supported the work of Habitat for Humanity of Michigan for 15 years as a dedicated volunteer and staff member.

"We are deeply grateful for Mark’s commitment to Habitat for Humanity and the Michigan neighborhoods and communities we serve,” said Sandy Pearson, CEO of Habitat for Humanity of Michigan.
“He is a founding member of Habitat Michigan and has consistently and generously supported Habitat in its mission to serve families in need of simple, decent affordable housing. His faithful support over many years has made a huge impact in our organization and our ability to partner with more Michigan families,” Pearson continued. “We are delighted to present Mark with the Bernice R. Bensen Service Award for outstanding service to Habitat for Humanity of Michigan."

With 76 affiliates, Michigan is one of Habitat for Humanity’s most active states in the nation. Nearly every county in Michigan is served by a Habitat for Humanity affiliate. Habitat affiliates in Michigan built, rehabbed and repaired 279 homes in 2011. Since 1982, Habitat for Humanity has built nearly 4,000 homes in Michigan, providing almost 16,000 individuals with decent, affordable housing.

McDaniel received his B.S. in Urban Planning from Michigan State University in 1977, and is a Kalamazoo, Michigan native.

Piquette Square, a home, treatment and rehabilitation center for homeless veterans, located in Detroit, Michigan, was honored in the ‘Best Exemplifies Major Community Impact’ category of the Novogradac Achievements. Piquette Square serves as a sterling example of how tax credits may be used to meet community needs.

“Piquette Square is making a small, but instrumental impact in helping and housing the nearly 4,000 homeless veterans in the Detroit area by providing them with a safe and affordable place to live,” said GLCF President and CEO, Mark McDaniel. “These types of developments perfectly demonstrate how vital housing credits are.”

Veterans living at Piquette Square have access to substance abuse counseling, mental health counseling, on-site job training, educational programs with computer labs and other services to help them develop independent and healthy living skills. The development is located a mile and a half from the Veterans Hospital where other resources are available for them.

The Developments of Distinction Awards were established as an annual event to recognize excellence and outstanding achievement in the development of tax credit projects using the low-income housing tax credit (LIHTC), historic tax credit (HTC), renewable energy tax credit (RETC), Section 1602 Exchange Program grant funds and/or tax credit projects using U.S. Department of Housing and Urban Development (HUD) program financing.

“Each year we gather to honor the best and the brightest in the tax credit industry, and each year I’m amazed at the caliber of so many deserving projects; this year’s winners truly are members of an elite group,” said Michael J. Novogradac, managing partner of Novogradac & Company LLP. “It is heartening that there are so many deserving housing, historic and renewable energy tax credit developments being built to serve residents in need and, more broadly, serve communities in which they are located. I congratulate this year’s winners and invite all with a housing, historic and renewable energy development to enter next year.”

For more information on Piquette Square and other runners-up for the 'Major Community Impact' category please visit: http://www.novoco.com/low_income_housing/dod_awards/2011/community_impact.php.