Presented May 8, 2014. Rental Production Program Competitive 9% credits Capital subsidy Special Needs Program Small scale Grant commitments Flexible Preservation.

Presented May 8, 2014

Rental Production ProgramCompetitive 9% creditsCapital subsidy

Special Needs ProgramSmall scaleGrant commitmentsFlexible

PreservationNon competitiveTax exempt bonds4% creditsExisting projectsExpiring affordability restrictions

Cost Per Unit Comparison

Debt

NHH Subsidy

Tax Credit Equity

OtherTotal Per Unit

Cost

$51,000

$3,000

$17,000

$14,000

$85,000

Preservation

$28,000

$18,000

$138,000

$26,000

$210,000

New Construction

40% ofNew Construction

37 Projects

2,460 Units

$210,000,000 - Total Development Activity

Average Rehabilitation $40,000 Per Unit

New Hampshire Housing Preservation Activity

Section 8

HUD 236, 202, 221(d)

Other RD 515 LIHTC Mod Rehab LIHTC/ Section 8 NHHFA

24

8

4

Concord

Wamesit Apartments, Portsmouth

McKee Inn, Lancaster

Total Development Costs $210 million

Total Loans Financed $126 million

Total Outstanding Balance $100 million

NHHFA’s Risk Exposure $50 million

Extended affordability restrictions

Stabilized financial structure

Project upgrades including energy efficiency improvements

Stabilize and expand NHHFA loan

portfolio

CHALLENGE: A non-profit sponsor seeks financing to acquire an existing 40-unit Section 8 property in need of renovations.

SOLUTION: Structure a tax-exempt financing that gives the sponsor access to the 4% low income housing tax credit. Provide capital subsidy for repairs that will improve energy efficiency and lower operating expenses.