Recap Advisors

Contact

Cameron Booth
T: 617.338.9484 x229

Year 15 Disposition Services

Services for portfolios with affordable properties reaching the end of their 15-year LIHTC compliance period.

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The Year 15 wave is just beginning

Nearly one third of LIHTC properties have already passed the end of their compliance period and nearly another half a million units will reach Year 15 before 2013. A large portfolio might have hundreds of such properties, rural, suburban, and center city, past or approaching the end of compliance.

You should be taking a close look at each of your properties

Optimum financial performance requires assessment and decision on each property individually. Neglecting analysis and decision negatively affects value, through lost opportunities and continued carrying costs.

To handle Year 15 issues successfully:

  • Each property’s opportunities and risks need to be understood
  • Transactions must be structured to take advantage of the opportunities and minimize the risks
  • Negotiations with all stakeholders must be successfully completed
  • The decision to execute must be made
  • The transaction must be closed


That’s for each investment or property, at the right time, with full consent of all participants. Not taking care of this can mean leaving a lot of money on the table.

But how in the world can you take care of it?

It’s an issue of peak load and specific skills

Keeping the skills and capacity on hand to deal with Year 15 issues can create an unacceptable burden. Asset management staff already has a full-time commitment to monitoring and managing the complete portfolio.

The best response to Year 15 opportunity is a third-party team that can provide peak-load skilled resources for a limited time, working closely with internal asset management staff until the job is done.

Recap provides a portfolio solution

Recap provides skilled Year 15 capacity as a turnkey service, at the portfolio level. Working with the client’s asset management staff, we will

  • Evaluate the portfolio
  • Develop a strategic plan for the portfolio
  • Execute the plan and the transactions


all without interrupting the client’s day-to-day asset management operations. The client can make management decisions at the portfolio level, while having full access to detailed information about each asset and its status.

Recap provides comprehensive Year 15 disposition services

Recap Advisors is an acknowledged nationwide expert in the finance, restructuring, and asset management of affordable properties. Our deep knowledge of the affordable housing market, along with our financial models and our experience in facilitating open, mutually beneficial negotiations, enable us to deliver comprehensive Year 15 services to large portfolios,.

Service elements

  • Complete review of financial statements, partnership agreements, and other documents
  • Assessment of rights and options
  • Assessment of possible qualified contracts, on a state-by-state basis
  • Assessment of consents
  • Assessment of the financial, operational, and physical performance of the underlying affordable housing asset
  • Creation of financial model to evaluate hold, disposition, and recapitalization options
  • Creation of action plan
  • Representation of client in asset disposition
  • Offer solicitation through marketing and specific communications to potential buyers
  • Negotiation of approvals from other stakeholders, including local general partners, lenders, investors, and regulators
  • Management of transaction
  • Management of third-party professionals, including lawyers and accountants
  • Transaction closing

Get a portfolio solution for your Year 15 assets

Call Cameron Booth
Vice President, Director-Special Assets
T: 617.338.9484 x229