Walker & Dunlop closes $ 240 million Affordable Housing Fund
“Fund 124 represents an exciting milestone that will create a meaningful and lasting change in communities in the US,” said Dudley Benoit, senior director of affordable Equity -investors relationships at Walker & Dunlop, in a statement.
“The focus of the fund on affordable homes, together with our long -standing partnerships with experienced developers, underlines our dedication to offer safe, high -quality housing to those who need it most.”
According to the company, 44% of the units will be supported by project-based section 8-contracts-from which about 62% of the Fund’s developer partners repeat.
The federal LiHTC program encourages private investments in affordable rental properties for people and families with a low income.
As the most important engine of affordable home development, the program offers tax credits to developers who are committed to reserving part of their units in the event of underlying rent for a certain period of 30 years.
Recent efforts of the state legislators have tried to expand the LIHTC program and at the same time send more benefits to rural areas.
The developments supported by Fund 124 is expected to create more than 4,500 jobs and almost $ 900 million contribute to economic impact to local communities. In addition to housing, the properties such as Case Management, financial literacy programs, after -school support and meal services offer services such as case management.
According to business leaders, the Fund maintains an weighted average hard debtlate of 32% of the total development costs.
Fund 124 follows the previous LIHTC vehicle of Walker & Dunlop – Fund 119 – which was concluded last year with $ 167 million in obligations. It supported 19 communities of a total of 1,044 units in 12 states.
Walker & Dunlop is the second largest multi-family provider in the US and has so far raised more than $ 10 billion in LiHTC-own capital.
From 2021 to 2024, the company is more than $ 6.3 billion in affordable and personnel financing from housing US Department of Housing and Urban Development” Fannie Mae” Freddie Mac And other capital market sources.
