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Boston Financial To Close $164 Million Fund

 ITC is committed to creating and preserving affordable housing and providing supportive and other services to the residents.

November 7, 2023

Boston Financial, widely regarded as the largest and established syndicator of the U.S. Low Income Housing Tax Credits (LIHTC) announced the closing of Boston Financial Institutional Tax Credits 59 Limited Partnership, a $164 Million LIHTC fund. ITC 59 represents its commitment to providing creative affordable housing capital solutions. 

ITC 59 also secured commitments from seven institutional investors such as a mix of regional and national banks to deploy capital with 14 affordable housing developers. The fund will be used to provide capital for new construction as well as the preservation of 22 affordable housing properties across ten states which include Montana, Louisiana, Kentucky, California, North Carolina, Ohio, Tennessee, and Massachusetts. 

Building affordable housing in these times is challenging because of the developers facing high interest rates, and investors struggling to generate satisfactory returns. 

ITC 59 is projected to generate approximately 1,980 new jobs, contributing an estimated $223 million in wages and business income to local communities, along with roughly $77 million in tax revenue. Around 70% of the properties are slated to provide affordable rental homes to minority communities, with certain properties including units specifically for seniors, individuals with physical or mental disabilities, and those who were previously homeless.

With nearly 20 Million Americans spending 30% of their income on rent and thousands of homeless people, there is an affordable housing crisis in the country. 

The communities included in the ITC 59 are Vanderbilt Apartments which was a senior property that was originally a hotel and turned into affordable housing. The apartment provides support services and helps residents access the support and medical services to live independently in their homes. 

Boston Financial has worked with around 200 investors to preserve or build 360,000 affordable homes since the beginning of the LIHTC program.

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The content provided in this article draws inspiration and includes quotes from various reputable sources, including news articles, government data, and interviews. Affordable Housing 411 strives to ensure accuracy and credibility, but the information presented may be based on some external sources. We encourage readers to refer to the referenced materials for more in-depth insights and verification.

Yahoo Finance. “Boston Financial Closes $164 Million National Multi-Investor Fund”. Yahoo Finance, November 2, 2023, 

Boston Financial Closes $164 Million National Multi-Investor Fund (yahoo.com)

 

Last Updated: September 20, 2021