The Real Estate Organization will explore a number of business opportunities that position properties for future syndication, preserve affordable housing and/or dispose of limited partner interests, and preserve community facilities. This is accomplished through the following initiatives:

• Acquire and hold properties for the short-term (under one-year) and long-term (three years or more) based upon strategies unique to each property.
• Find opportunities to partner with non-related development companies to purchase existing projects and serve as a co-General Partner.
• Develop disposition plans for properties that are approaching Year 15.

There are a number of LIHTC developments that are nearing the end of their 15-year compliance period. There are also a number of General Partners that would like to sell their interests but are unable to due to the high exit taxes that must be paid upon the sale of these properties. To add to this, declining prices for LIHTC’s has made exiting these developments even more difficult. We will identify these properties and consider acquiring the General Partner interests through a bargain sale, with the ultimate goal of resyndicating the development within one year and preserving the affordable housing. The holding period allows the developer to re-position or finalize take-out financing. These projects will have good cash flow. We may hold some properties for three years or more as circumstances warrant. We will also look at market rate developments in suburban communities with the goal of preserving or providing needed affordable housing in these communities. A number of in-house financing options, such as an acquisition lending program to acquire the interests in these properties are available.

GLCF will consider investing in non-related development companies. We will evaluate the role that is most beneficial to GLCF and the communities in which we work to determine if our role will be solely as a co-developer or as part of the ownership structure. We have a number of in-house development and financing options at our disposal such as our Pre-Development Lending Program, Triple Bottom Line Funds, NMTC Fund, and LIHTC Funds.

We are developing action plans for disposition of LIHTC properties after year 15. Through this analysis, we will have a multitude of options when determining exit strategies.

Contact

To learn more about the Great Lakes Real Estate Organization or how we can help you reposition your property, contact:

Keith Broadnax (608) 260-0050 or This e-mail address is being protected from spambots. You need JavaScript enabled to view it