As affordable housing deals with agency, HUD and other perm conversions options get more complicated in their capital stack and in the specific populations they target, there is higher scrutiny and more deals are needing to extend their construction loans and having challenges with lease up to convert to perm. Also, depending upon myriads of sources, these take longer than 90% occupancy for 90 days at the targeted DSCR. Also, if property financing has an equity partner different than your construction lender and your agency perm lender, a sponsor developer needs to have experience on these upfront. And if you want to upsize the perm, what does this entail and what are the third parties that need to be in place for agency conversion? Moreover, there are also local challenges in getting sign off from buildings dept, water and power, planning, fire and safety, etc. This session covers how to manage the conversion to perm process and how to prevent missteps in conversions.
Moderator:
Matthew Haas, KeyBank CDL Affordable
Panelists:
Matthew Schauer, Holos Communities, Senior RE Director
Michael Jaboury, Dreyfuss Construction
David Galst, Community Preservation Corp