BOSTON, MA - Boston Capital announces two new debt initiatives which will offer developers a seamless process for managing debt and equity, issuing fixed-rate, first-priority mortgages collateralized by Low Income Housing Tax Credit (LIHTC) multifamily housing properties. The funds will be managed by Boston Capital Finance, LLC (BCF).
The initiatives include the Boston Capital Intermediate Term Income Fund, a fixed-rate, construction financing fund and the Boston Capital Long Term Mortgage Fund, a fixed-rate, forward permanent loan financing fund. The funds can be used together as well as independent of each other and are intended to be used in conjunction with Boston Capital's equity offerings.
"We are very excited to offer a fixed-rate construction loan with a complementary fixed-rate forward permanent loan," said Jack Manning, president and CEO of Boston Capital. "Boston Capital has built a reputation over the past 37 years of providing our developer partners the best in equity financing and on-time closings. With the introduction of these funds, our developer partners can satisfy all their financing needs at one closing."
About the Boston Capital Intermediate Term Income Fund:
Product Type: Construction Loan Loan Size: $750,000 to $10,000,000 Term: 2 Years construction, lease-up and stabilization Amortization: Interest only Interest Rate: Spread over the 10-year Treasury yield Seamless process as both debt and equity are underwritten, closed and serviced at Boston Capital
About the Boston Capital Long Term Mortgage Fund:
Product Type: Permanent Loan Loan Size: $1,000,000 to $11,000,000 Term: 15 Years Amortization: 30 Years Interest Rate: Spread over the 10-year Treasury yield Seamless process as both debt and equity are underwritten, closed and serviced at Boston Capital
BCF provides both construction and permanent mortgage financing on LIHTC properties syndicated by Boston Capital. BCF originates construction, permanent and construction/permanent loans in loan sizes that will be between $750,000 and $11,000,000. BCF's previous fund, the Boston Capital Affordable Housing Mortgage Fund LLC, is fully invested. In addition to its debt products, Boston Capital provides equity for affordable multifamily housing developments and is currently launching Boston Capital Tax Credit Fund XXXV, a $305 million fund which is expected to close by the end of 2011.
About Boston Capital:
Boston Capital, headquartered in Boston, MA, is a real estate investment and advisory firm specializing in tax advantaged investments in affordable multifamily housing, energy, film, economic development and equity investment in market rate apartment communities. Boston Capital's holdings include more than 2,400 multifamily apartment properties in 49 states and the District of Columbia, constituting nearly 159,000 apartments with a development cost in excess of $13.4 billion. Boston Capital is the largest owner/investor of apartment properties in the US.