Project Name: Sample
Project Manager
Greenleaf
Project Location
Anywhere, USA
Partners
TBD
Brief Description
Development site includes 23 AC of vacant land.
The plan for new construction is to be developed but will include a mix of townhomes / multi multi-unit buildings.
We anticipate developing 240 market market-rate / 60-70 mod-income senior and are collaborating with the seller on a purchase / sale.
Alignment with Mission
The project will create affordable housing in a desirable area and will expand our footprint in this market.
Acquisition Plan and Terms
- Acquisition Price: $1M
- Sale Price to Develop Per Unit: +/- $10k
- Deposits and Other Payments: $10k
- Due Diligence, Financing and Other Contingency Periods: 12-month due diligence upon execution of agreement, 12-month extension available for up to $15k
- Predevelopment – Design & Approvals: $325k
H.T.C. Financing Plan
Greenleaf will be the sponsor of a 4% application for LIHTCs and subordinate financing from HFA. The project will also seek a PILOT agreement with the local IDA or jurisdiction.
Timing – H.T.C.
- Application: Summer 2022
- Potential Award: Winter 2022
- Construction Closing: Winter 2022
- Permanent Conversion: Winter 2024
Predevelopment Cash Needs
Up to $900k for land acquisition + $325k, which includes $25k in deposits for site control and approximately $300k for predevelopment expenses, which totals $1,225,000.
Guarantees
Construction completion guarantee and tax credit delivery guarantee.
Revenue and Profit Potential Potential
- Developer Fee: Presuming 100 units, anticipate a $2 -3 million paid developer fee
- Construction Contract: Presuming 60-70 units, anticipate a $15 million construction contract
Market Rate
- Land Sale: $2.4M – 10,000/unit, so net $1.7M
- Approval: Fall 2022
- 3-Story walkups with garages and clubhouse
- Project Total: $58M, 2 Phases
