The Emerging Minority Developer Fund (EMDF) "helps address the biggest LIHTC barrier minority developers face—guidelines that require $1 million of liquidity and $5 million in net worth,” Lydia Smith explains in "$147 Million Emerging Minority Developer Fund Broadens LIHTC Access" in Affordable Housing Finance. Learn more about how EMDF "helps facilitate LIHTC access for affordable housing developers of color" in the article.
EMDF was launched as a new approach to building the capacity of developers of color that primarily focus on developing affordable housing utilizing the LIHTC program. The $132 million fund includes a group of investors who share NEF's commitment to create impact through LIHTC investments and to provide developers of color with access to capital for the development of affordable housing.
The developer entity is majority owned and managed (for profit) or majority governed and/or managed (non-profit) by an individual(s) identifying as members of one or more racial minority groups that have been historically underrepresented in LIHTC.
The developer will have materially participated in the development activities of at least one completed LIHTC development as developer, co-developer, or have other transferrable real estate development experience.
Developers must demonstrate their long-term commitment to LIHTC development.
*Matching this profile does not guarantee eligibility for participation in EMDF.
The fund will provide limited guarantee backstops to bridge any gaps between the developer's financial capacity to provide guarantees and underwriting requirements as needed.
The fund will provide LIHTC equity to the approved partnership entities of participating developers.
The fund will provide technical support funds to pay for various consultants and/or other professionals that assist with growing the capacity of the developer as needed.
KEY CONTACT:
Lydia Smith, Vice President
