AHEAD was launched as an approach to building the capacity of non-traditional developers that primarily focus on developing affordable housing utilizing the LIHTC program. The initiative includes a group of investors who share NEF's commitment to create impact through LIHTC investments and to provide non-traditional developers with access to capital for the development of affordable housing.
The developer has a history of being undercapitalized despite their extensive experience. Guidelines set by the Affordable Housing Investor Council (AHIC) typically mandate developers to have a minimum of $1 million in liquidity and $5 million in net worth. For developers with limited financial resources, these requirements often prevent them from securing the necessary equity to finance their projects.
The developer will have materially participated in the development activities of at least one completed LIHTC development, from concept to placement in service, as developer, co-developer, or have other transferrable real estate development experience acceptable to NEF.
Developers must demonstrate their long-term commitment to LIHTC development.
*Matching this profile does not guarantee eligibility for participation in AHEAD.
Limited guarantee backstops, as deemed necessary, to assist with bridging gaps between the developer's financial capacity to provide guarantees and underwriting requirements.
LIHTC equity for the approved partnership entities of participating developers.
Technical support funds to assist with paying for various consultants and/or other professionals that assist with growing the capacity of the developer as needed.
These developments came to fruition with assistance through Affordable Housing Equitable Access for Developers (AHEAD). NEF established AHEAD to build the financial capacity and experience of non-traditional developers to help them overcome today’s high barriers of entry in accessing LIHTC equity to create new affordable housing.
Plymouth Avenue Apartments offers 63 affordable homes in Minneapolis, Minnesota and was developed by Matrix Development, LLC. Located in the northwest side of the city, the new construction development is affordable for 25 households with incomes at 30% of the area median income (AMI) and for 39 households at 50% AMI. Plymouth Avenue Apartments also provides 14 units of permanent supportive housing -- seven units for high priority homeless single households and seven units for people with disabilities -- with access to on-site supportive services.
Developed by Kingsley + Co and Serving Older Adults Through Changing Times (SO-ACT), Victory Vistas provides 50 units of affordable housing for seniors in the Paddock Hills Community of Cincinnati.
These developments are under construction with assistance through Affordable Housing Equitable Access for Developers (AHEAD).
KEY CONTACT:
Lydia Smith, Managing Director
