BOSTON--(BUSINESS WIRE)--Boston Financial Investment Management (“Boston Financial”) today announced the closing of Boston Financial Institutional Tax Credits 56 Limited Partnership (“ITC 56”), a $290 million Low Income Housing Tax Credit (“LIHTC”) fund. ITC 56 is comprised of 23 tax credit investments that will finance more than 2,500 affordable housing units across 17 multifamily and six senior living communities in 15 states.
ITC 56 is the single largest multi-investor fund syndicated by Boston Financial in the last 15 years, and it represents the firm’s continued focus on equity initiatives that help new and longstanding investors execute on social impact and diversity and inclusion goals. ITC 56 will provide capital for the new construction and rehabilitation of affordable housing properties in the following 15 states: Alabama, California, Colorado, Connecticut, Florida, Illinois, Indiana, Kentucky, Louisiana, Missouri, New Jersey, Pennsylvania, Tennessee, Texas, and Washington. Most of its equity will fund the development of communities with a minority population of 50% or greater, and Boston Financial estimates that the investment and development of the resulting properties will lead to the creation of approximately 3,900 full-time jobs across the 15 states listed.
In addition, the development and operating budgets for the properties include $6.4 million for tenant-focused social services for designated locations to help close the persistent economic gap in historically underserved areas. These include (but are not limited to): adult education, afterschool services, health and wellness, and skill building classes. Notably, Boston Financial’s partnership with developer Aurora Housing Authority (AHA) will provide senior Veteran-specific services at the Liberty View affordable housing facility in Aurora, Colorado, including on-site coordinated access to medical care and transportation services.
“There is a continued need for affordable housing that has been exacerbated by economic factors including rising inflation and disproportional wage growth, and ITC 56 underscores our firm’s and our clients’ continued commitment to address that need,” said Todd Jones, Senior Vice President, Director of Institutional Sales. “The capital provided not only fuels the development of safe, quality, affordable housing, but also supports and empowers residents in a meaningful way through the wide range of social services delivered. We are extremely proud of our syndicated platform, through which we have invested nearly $1.3 billion over the last 12 months, and are grateful for our clients’ continued confidence in us helping to build healthier and more sustainable communities.”
“AHA is pleased to again partner with Boston Financial on this exciting project. We’ve worked with Boston Financial for nearly 20 years on three different developments and feel fortunate to have them on the team for Liberty View,” added Craig Maraschky, Executive Director for AHA. “Aurora has a long history of serving Veterans going back to World War I with the opening of the former Fitzsimons Army Base. This commitment continues with AHA’s development of Liberty View apartments for senior Veterans. AHA has worked on this project for over 10 years, so seeing it finally built is a rewarding experience.”
One third of the institutional investors who participated in ITC 56 were new to Boston Financial, representing $100 million in new investor capital. Additionally, 89% of the 21 for-profit and non-profit developers have partnered with Boston Financial previously, a testament to the strength of the firm’s capital base and longstanding developer relationships. This fund follows Boston Financial’s recent close of a California-focused $83 million multi-investor fund in March 2022 and a $221 million national multi-investor fund in September 2021.
About Boston Financial Investment Management:
Founded in 1969 and acquired by ORIX Corporation USA in 2016, Boston Financial is a national leader in the affordable housing industry, with a proven track record syndicating Low Income Housing Tax Credits (“LIHTC”) on behalf of institutional investors, as well as asset and portfolio management. Boston Financial currently manages a $15.7 billion portfolio comprising over 2,100 properties, making Boston Financial one of the largest and most experienced syndicators in the tax credit industry.
