icon Blueprint for January

Bonding

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3 min read

I bonded with Ballotpedia. A few days after November’s election, I was discussing the results of one race with a journalist friend when he suggested we look at the Ballotpedia website (where I had never ventured previously) for actual numbers. While there—where the results of every Election Day contest are catalogued—I began searching for ballot initiatives in a wide variety of states and cities, large and small, throughout the country for multifamily housing bonds and was delighted by the overwhelming supportive results. In this election, Americans voted yes for affordable housing.

Bond is one of those comfort words—like home and family—that provides some warmth in this cold age of acrimony. As both a noun and a verb it kindles feelings of cohesion, support and commitment between parties, whether it be a mother and a baby, friends, teammates or a lender and a borrower. And housing bonds, specifically, are a sharp ray of hope for those looking to develop and house. A friend of mine once said she stopped watching reward shows because, “A handful of people go home happy and a whole lot more people go home heartbroken.” This is a reaction that might also apply to allocation of nine percent tax credits. But bonds send a lot more people home happy – and thus lead to more homes.

In this issue our focus is on bonds. We begin with a primer on the very basics of affordable housing bonds in Darryl Hicks’ interview with our go-to bond expert, attorney Wade Norris of Norris, George & Ostrow. (Talking Heads) Then Scott Beyer presents a menu of current debt options based on a panel discussion that took place at NH&RA’s Fall Forum in Boston (just a few blocks from where the World Series began that evening). (Affordable Housing Bond Menu)

In our cover story, America Votes YES for Affordable Housing, Mark Fogarty reports on those results of last November’s election initiatives in California, Oregon, Austin, Dallas and more. Mark is also the author of a case study of development of Delta Towers and Capital Vista which provide 283 units of low-income housing in Washington’s Union Station neighborhood and was facilitated by short- and long-term multifamily development bonds issued by the DC Housing Finance Agency under management of Wells Fargo Securities.

In this month’s columns, you will find NH&RA Executive Director Thom Amdur’s announcement of plans to create a Multifamily Tax Exempt Bond Policy Toolkit (New Developments) and David. A. Smith’s analysis of the fascination with state and local housing bonds. (The Guru Is In)

In our ongoing monthly Land of OZ series tracing the evolution of the Opportunity Zone program that appears to be creating widespread excitement, Mark Olshaker interviews folks in the process of creating Opportunity Funds on their strategies for educating and attracting investors.

As we kick off a new year, we look forward to chronicling the results and impact of the new bond initiatives approved overwhelmingly by a population that demonstrated their desire for more and better affordable housing, a vote of confidence in the business that bonds us all together.

Marty Bell, Editor