Fannie Mae Announces $145 Million Investment in Low-Income Housing Tax Credit (LIHTC) Funds

WASHINGTON, Nov. 8, 2018

The Federal Housing Finance Agency (FHFA) approved Fannie Mae's re-entry into the LIHTC market as an equity investor in November 2017. Fannie Mae's return to the LIHTC market expands the company's efforts to increase and improve affordable housing stock and help those markets most in need of support.

"Fannie Mae plays an increasingly important role in supporting underserved markets in rural America," said Dana Brown, Vice President, LIHTC Investments, Fannie Mae. "These funds will allow us to channel much needed capital to support neighborhoods that need it most."

"It is good to have Fannie Mae back as a low-income housing tax credit investor," said Bill Shanahan, President of The National Association of State and Local Equity Funds (NASLEF) and President of Northern New England Housing Investment Fund. "Working with our nonprofit NASLEF members, Fannie Mae is helping bring much needed capital to the rural, underserved markets. It can be a challenge to attract capital to these markets."

The three funds with investments from Fannie Mae announced today are members of NASLEF. NASLEF is a professional, nonprofit association that promotes efficient management of state and local equity funds.

Cinnaire Fund for Housing
Fannie Mae committed to invest up to $35 million in the Cinnaire Fund for Housing LP 33 with Cinnaire Corporation. The fund manages a total of $150.8 million and will invest in partnerships that own LIHTC properties located in Illinois, Indiana, Michigan, Minnesota, and Wisconsin. Thirty-seven percent of the Cinnaire Fund portfolio supports affordable housing in rural markets.

Ohio Equity Fund for Housing
Fannie Mae committed to invest up to $50 million in Ohio Equity Fund for Housing LP XXVII with Ohio Capital Corp. The total amount of the fund will be $250 million to $275 million. Ohio Equity Fund will invest in LIHTC housing projects in Ohio, Indiana, Michigan, Kentucky, Pennsylvania, Tennessee, and West Virginia. Thirty-four percent of the fund's investments support affordable housing in rural markets.