Boston Financial has raised a total of $170 million from its fund that will deploy capital to support affordable housing.
Boston Financial Institutional Tax Credits 60 Limited Partnership (ITC 60) attracted six institutional investors. Now closed, the fund received support from banks, and insurance companies. The capital is set to go to 14 affordable housing developers, with 30 percent of them representing nonprofits.
ITC 60 aims to create 1,418 homes in 16 communities. They are located in 13 states including North Carolina, Pennsylvania, Rhode Island, Tennessee, Texas, Virginia, California, Illinois, Louisiana, Maine, Wisconsin, Maryland, and Massachusetts.
One residential community Boston Financial listed that will be impacted by the fund includes Fullerton, California’s Pointe Common. There, households making between 30 and 70 percent of the area’s median income will get access to 65 “quality affordable apartments,” according to the company.
In addition to affordable housing, ITC 60 projects to generate more than $90 million in tax revenue, grow business income and wages by an estimated $250 million, and create over 2,100 employment opportunities.
“At a time when more Americans than ever are facing a lack of affordable housing, it’s critical that we maintain our ongoing commitment to providing affordable housing capital solutions,” Rob Golden, CEO of Boston Financial, said in a statement.
“ITC 60 is the first new LIHTC multi-fund that Boston Financial has closed since I assumed the role of CEO in May of this year, and I am very pleased at this successful closing. I am proud of my team’s hard work in building this fund and grateful for the continued support and trust that our investor partners place in Boston Financial and our platform.”
The move builds on Boston Financial’s past in affordable housing. It has continued to work Meta, which is developing Pointe Common. Together, the two have helped bring almost 2,300 affordable homes to nearly 20 communities.
The latest fund is a part of the firm’s Low-Income Housing Tax Credits program, which originally launched in 1986. Since then, Boston Financial has preserved or constructed more than 360,000 affordable homes with over 200 investors.