This is a session on Day 1 of the Federation’s 2021 Conference: “Remembering. Reimagining. Reengaging.” October 19-21.
One of the most critical and catalytic components in the production of affordable housing and community development, tax credit investment in California is now at a crossroads. Investors are faced with unprecedented levels of 4% and 9% credit awards, Disaster Area Credits, continued new State of CA credits, COVID-19 market impacts, and a dizzying array of new State and Federal regulatory proposals. This panel will discuss opportunities and challenges for investing in affordable housing in the current environment of regulatory overhaul and expanded funding at federal and state levels, and the impact on investor appetite, pricing and terms. The conversations will be grounded in exploring how the investor community is working with the broader affordable housing industry to address homelessness, racial justice and equity and the ongoing impacts of COVID-19. The panelists will discuss short and long-term opportunities and challenges, both in California and nationally, recent trends in sponsor/development selection and underwriting, the ability of tax credit investors to meet the unprecedented equity capital demands, and the specific impact on the nonprofit development community in Southern California.