Cinnaire announced the closing of the Cinnaire Fund for Housing Partnership 41, which is a $175.4 million multi-investor Low-Income Housing Tax Credit (Housing Credit) fund. This fund comprises 14 investors and will support the creation or preservation of 1,228 affordable multi-family homes across 22 properties in Michigan, Illinois, Indiana and Wisconsin.
Fund 41 is the first of three multi-investor funds planned by Cinnaire this year. So far, Cinnaire has closed more than $5 billion in tax credit funds supporting affordable housing in ten states.
Cinnaire raised $417 million in equity and closed 4 funds last year, utilizing $657 million in total development costs and supporting more than 2900 affordable homes in 10 states.
The fund’s investors include major national and regional banks, most of which are repeat investors. The 22 properties in the fund will support approximately 2,825 low-income residents with 1,909 bedrooms.
Two properties representing the diverse investments of the fund include:
- The Sanctuary at Brewster in Detroit, MI – A transformative project providing comprehensive support for youth transitioning out of the Michigan Foster Care System. And the new construction property will provide 52 one-bedroom apartments with 100% serving households at 60% of the area median income. All the units will be Permanent Supportive Housing supported by housing-choice vouchers from MSHDA. This project is being developed by MHT Housing and will be managed by Continental Management – two longtime partners of Cinnaire.
- CC Lane Apartments in Oregon, WI, is a new construction of 70 units of affordable rental housing for families with incomes up to 30%, 50%, and 80% of the area median income. The property will include a mix of garden-style one-bedroom, two-bedroom, and three-bedroom units. Amenities include a community room, business center, parking facilities, and outdoor recreation center with grilling stations and a fire pit. CC Lane is being developed with Northpointe Development. And Cinnaire has a longstanding partnership with Northpointe developing more than 20 affordable projects together, including award winning communities.
Both developments are expected to be completed and available for residents next year.
KEY QUOTES:
“We continue to see very strong interest from long-time and new investors in our Housing Credit funds. We appreciate their trust, and we are deploying this capital into impactful developments – several supporting seniors and special needs population – that will deliver much needed affordable homes in disinvested communities.”
- Matt Hodges, Senior Vice President of Equity Funding at Cinnaire
“Our Housing Tax Credits Funds continue to grow and attract new investors. With this fund, we were seeking new and innovative solutions and partnerships to address the affordable housing crisis, particularly for seniors and special needs populations. Our continued growth means more families in our footprint have safe, quality affordable homes, the foundation for healthy communities.”
- Josh Ghena, Senior Vice President Syndication Funding
