As affordable housing has continued to be a topic of concern across the United States, states are evaluating ways to spur and support affordable housing development. In response to affordable housing needs, Alabama became the...more
The increased interest in installing solar at affordable housing projects is not surprising given that the IRC Section 48 energy investment tax credit (ITC) could subsidize as much as 70 percent of the cost and the Inflation...more
A U.S. Tax Court decision entered on Feb. 20, 2024, in 23rd Chelsea Associates LLC v. Commissioner of Internal Revenue held that bond issuance and related financing costs incurred in connection with the development of a...more
Regulation of the multifamily industry appears to be continuing. Our most recent Alert discussed Maryland Governor Moore’s proposals for the Renters Rights and Housing Stabilization Act of 2024; rent control updates; our Rent...more
On January 19, 2024, the House Ways and Means Committee approved the bipartisan tax legislation, “The Tax Relief For American Families and Workers Act of 2024”. Two proposed changes to Section 42 of the Internal Revenue Code...more
As a follow-up to our recent alert, here are some updates on regional and national legislative activity impacting real estate...more
Texas Governor Greg Abbott (R) recently signed Texas House Bill (H.B.) 1058, making Texas at least the 28th state, plus the District of Columbia, to offer state low-income housing tax credits to bridge the growing affordable...more
What You Need to Know- •The New Jersey Aspire Program has been amended to incentivize developers seeking to close project financing gap costs associated with commercial, mixed use, and residential real estate development...more
Rhode Island joins 26 other states in offering state low-income housing tax credits to bridge the growing affordable housing gap in the United States. Rhode Island Governor Daniel McKee recently signed the FY24 RI Ready...more
The availability of “affordable housing” has become a major issue in many cities, counties and states across the United States, and South Carolina is no exception. To help address the affordable housing shortage, in 2020,...more
For most people, a primary residence is the largest investment they will make over their lifetime. Therefore, it’s no surprise that people will be curious, critical, or even opposed to any type of real estate development in...more
On October 7, 2022, Treasury issued final and temporary regulations on the income averaging rules for the low-income housing tax credit (“LIHTC”) under Section 42 of the U.S. Internal Revenue Code of 1986, as amended (the...more
The federal low income housing tax credit (LIHTC) program, 26 U.S.C. § 42, is the largest driver of affordable housing in the country. In an effort to keep LIHTC projects affordable as long as possible, Congress created a...more
On September 10, 2021, the House Ways and Means Committee (the “Committee”) released proposed legislation providing for an expansion of affordable housing financing incentives in their portion of the $3.5 trillion...more
On May 24, 2021, District of Columbia Mayor Muriel E. Bowser announced plans to invest a record-setting $400 million into the District’s affordable housing production via direct injection into the Housing Production Trust...more
ELIMINATION OF TERMINATION EXEMPTION FOR DISTRICT OF COLUMBIA UNINCORPORATED BUSINESS FRANCHISE TAX - Under District of Columbia Code, resident or nonresident limited liability companies and general and limited...more
Legislation signed into law on December 27, 2020, fixed the rate for the 30% present value low-income housing tax credit (LIHTC), which had dropped to a historic low of 3.07 in 2020, at 4% (the 4% Floor). Congress hopes that...more
The Consolidated Appropriations Act, 2021 (the CCA) became law this past Sunday. The CCA has several features of interest to the low-income housing community. 4% Deal Floor: The 4% low-income housing tax credit is worthy of...more
South Carolina enacted a state low income housing tax credit on May 14, 2020... The South Carolina State Housing Finance and Development Authority (SC Housing) is required to issue an eligibility statement in order for a...more
On January 30, 2020 the IRS recently issued Revenue Ruling 2020-4 that provides additional guidance on calculating income limit designations for units in a project that has selected the Average Income Test to qualify for the...more
"There are a few ways to obtain low-income housing tax credits. Each program has stress points in making it work, so there isn’t always a clear choice. Timing is often a decisive factor."...more
The mission of the U.S. Department of Housing and Urban Development (HUD) is, in part, to bolster the economy by strengthening the housing market, protecting consumers, and working to meet the needs for quality affordable...more
The Tax Cut and Jobs Act of 2017 (TCJA) established a new economic development incentive, known as an “Opportunity Zone”. ...more
On Friday, March 23, 2018, the President signed a $1.3 trillion Omnibus Spending bill that had been passed by Congress. Two (2) provisions of the bill are important to those involved in the Low-Income Housing Tax Credit...more
The Maryland Affordable Housing Coalition (MAHC) held its annual Housing Day in Annapolis today. The event brings together over 200 affordable rental housing advocates to inform legislators of the value of affordable...more