BETHESDA, Md.--(BUSINESS WIRE)--Sep 25, 2023--
Walker & Dunlop, Inc. announced today that it arranged two affordable property sales totaling $54,250,000. The properties, Malibu Gardens and Sunrise Commons, are both Low-Income Housing Tax Credit (LIHTC) communities located near the Miami Metropolitan area.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20230925794973/en/
Sunrise Commons Property (Photo: Business Wire)
The transactions were closed on behalf of Lincoln Avenue Communities and the Miami-based seller, Landmark Companies.
Led by Managing Directors Aaron Hargrove and Eric Taylor, the Walker & Dunlop Affordable Investment Sales team navigated the complexities of the tax credit lifecycle and secured favorable sale prices, including the remaining flow of LIHTCs in Malibu Gardens.
According to Miami Homes for All data, there is a growing shortage of affordable housing, particularly for renters. There is a deficit of 135,000 affordable housing units in the county for renter households, making half the area’s median income or less, up 14,000 units from 2020.
“These properties will further contribute to meeting the high demand for affordable housing in the Miami area,” said Eric Taylor, managing director of Affordable Investment Sales at Walker & Dunlop. “We are grateful to have been engaged by Landmark Companies in the sale of these dynamic communities and congratulate Lincoln Avenue Communities on their execution of this complex transaction.”
Sunrise Commons is a 106-unit LIHTC community located in Homestead, Fla., just south of Miami. Built in 2009, the property was originally financed with 9% LIHTCs and Miami-Dade County / Florida Housing Finance Corporation surtax loans. All 106 units are restricted to 33% or 60% of Average Median Income (AMI) pursuant to the LIHTC and Surtax Land Use Restricted Agreements (LURAs). The property’s initial 15-year compliance period expires in 2024, and the extended compliance period expires in 2059. Sunrise Commons sold for $15,250,000.
Malibu Gardens is a 259-unit LIHTC community in Naranja, Fla., a submarket within the Miami metropolitan area. Built in 1995, the property was substantially rehabbed in 2014 using 4% LIHTCs, tax-exempt bonds, HOME Investment Partnerships Program (HOME) funds, and Miami-Dade County Surtax Loans. All 259 units are currently restricted to 40%, 50%, or 60% of AMI pursuant to the LIHTC, bond, HOME, and Surtax LURAs. The property’s initial 15-year compliance period expires in 2028, and approximately $1,050,000 in outstanding LIHTCs will continue being delivered through 2025. Malibu Gardens sold for $39,000,000.
“Our acquisition of Malibu Gardens and Sunrise Commons will help preserve 365 units of high-quality, affordable housing for Miami families and individuals who face a high rent burden in their community,” said LAC Vice President and Project Partner, Jordan Richter. “Lincoln Avenue Communities is proud to work with Walker & Dunlop on this important opportunity to ensure long-term access to affordable homes in the Miami area.”
Walker & Dunlop is working to achieve its five-year goal of $60B in cumulative affordable and workforce housing finance by the end of 2025. Well on their way to reaching this goal, the affordable team originated $20.4 billion financing over the past two years through HUD, Fannie Mae, Freddie Mac, and capital markets sources. To learn more about our capabilities and financing options, visit our website.
About Walker & Dunlop
Walker & Dunlop (NYSE: WD) is one of the largest commercial real estate finance and advisory services firms in the United States. Our ideas and capital create communities where people live, work, shop, and play. The diversity of our people, breadth of our brand and technological capabilities make us one of the most insightful and client-focused firms in the commercial real estate industry.
About LAC
Lincoln Avenue Communities (LAC) is one of the nation’s fastest-growing developers, investors, and operators of affordable and workforce housing, providing high-quality, sustainable homes for lower- and moderate-income individuals, seniors, and families nationwide. A subsidiary of Lincoln Avenue Capital, LAC is a mission-driven organization with a presence in 26 states and a portfolio of 120 properties comprising 22,000+ units.
View source version on businesswire.com:https://www.businesswire.com/news/home/20230925794973/en/
CONTACT: Investors:
Kelsey Duffey
Investor Relations
Phone301.202.3207
investorrelations@walkeranddunlop.comMedia:
Nina H. von Waldegg
VP, Public Relations
Phone301.564.3291
info@walkeranddunlop.com
KEYWORD: UNITED STATES NORTH AMERICA FLORIDA MARYLAND
INDUSTRY KEYWORD: OTHER PROFESSIONAL SERVICES COMMERCIAL BUILDING & REAL ESTATE CONSTRUCTION & PROPERTY FINANCE BANKING PROFESSIONAL SERVICES URBAN PLANNING RESIDENTIAL BUILDING & REAL ESTATE
SOURCE: Walker & Dunlop, Inc.
Copyright Business Wire 2023.
PUB: 09/25/2023 06:30 PM/DISC: 09/25/2023 06:30 PM
http://www.businesswire.com/news/home/20230925794973/en
