Low-Income Housing Tax Credit fund will create nearly 1,500 affordable homes in five states
Cinnaire announced today the closing of the Cinnaire Fund for Housing (Fund 39), a $151 million multi-investor Low-Income Housing Tax Credit fund. The fund will support the creation of 1,464 affordable homes across 14 new construction and rehabilitation projects in five Midwest states. Fund 39 is the first of our multi-investor funds planned by Cinnaire this year.
“Cinnaire is continuing to see very strong interest from long-time and new investors in our Housing Credit funds,” said Mark McDaniel, Cinnaire President and CEO. “We’re grateful for their trust, and we’re busy deploying this capital into impactful developments that will deliver affordable homes and contribute to thriving communities.”
Fund 39 investors include major national and regional banks, 93% of which are repeat investors with Cinnaire. The fund will focus on 14 properties in Illinois, Indiana, Michigan, Wisconsin and Minnesota. The properties supported by the fund will include 2,628 bedrooms and serve as estimated 3,367 low-income residents with safe, affordable housing.
“We are proud to bring so many affordable units online at a time when affordable housing is in such need,” said Brett Oumedian, Cinnaire CFO. “Families are struggling across our communities, and the positive impact that safe, stable, affordable housing makes in the lives of our neighbors cannot be overstated.”
Two properties representing the diverse investments of Fund 39 are Grandmont Rosedale in Detroit, a 35-unit multi-family affordable housing development which recently broke ground and will include the renovation of two buildings on Detroit’s west side, and Edson School Apartments, an adaptive reuse of a historic school in Milwaukee’s Old North Neighborhood to include 75 affordable apartments and townhomes with 20 reserved for senior housing. Both developments are expected to be completed and available for residents in the summer of 2024.
“The success in closing this fund is a reminder that the work of creating affordable housing is challenging but has the opportunity to transform lives through safe, quality housing,” said Josh Ghena, SVP, Equity Business Funding. “It is an honor to work in pursuit of something so vital to families and communities.”
The fund brings Cinnaire’s total equity investment raised since its inception to 30 years ago to more than $4.2 billion.
