Webcast: Introduction to the LIHTC Financial Model - Development Costs, Basis, 15-Year Operating Pro Forma & Tax Benefits (TC Series Part II)
Register for the Entire Series
- Partnership Agreement Essentials for Tax Credit Projects - A Seasoned Asset Manager's Perspective (TC Series Pt I)
- Introduction to the LIHTC Financial Model - Development Costs, Basis, 15-Year Operating Pro Forma & Tax Benefits (TC Series Part II)
"Our CFO and I...really learned a lot from your webcast. We’ve been through other seminars, but this approach was definitely the best. You seemed to cover a great deal and touch upon areas which others didn’t - ie. the practical issues/concerns that actually come up in deals." (President & CEO of NY property management company)
About This Training
While the limited partnership agreement is the legal contract for a LIHTC project, the financial model is the roadmap of investor expectations to which the tax credit developer is held accountable. The ability to navigate the model is an essential skill for asset managers and other project stakeholders. If financial model training is on your To-Do list in 2019 or you're new to the industry and would benefit from guided tour of this multi-layered investment tool, then this training is for you.
Join Vinnie Viola, Principal of Birch Island Real Estate Consulting, LLC, for an insightful 90-minute overview of the key assumptions and exhibits in a typical tax credit financial model. The training examines development sources & uses, depreciable & eligible basis, income & expense drivers and make-up of overall investment yield for a fictitious project known as Jackman Village Apartments, LP. The training also include a series of 'what if' scenarios to illustrate how seemingly small variances from initial underwriting can adversely impact a LIHTC project's operations, expected investor benefits and capital contribution amount.
At the completion of training, attendees will be able to:
- Identify key exhibits in a LIHTC financial model.
- Understand sources of information used in the creation of the tax credit projections.
- Describe and spot key assumptions that drive tax benefits (credits and losses) and operating cash flow.
- Understand the concepts and terms used to mitigate perceived / real risks for a typical LIHTC project.
- Understand how seemingly small variances from underwriting can impact a project's long-term financial health and developer fee.
- Position the asset manager to "hit the ground running" when the deal closes.
Is this Training for Me
This training is designed for stakeholders of LIHTC projects that would benefit from a guided tour of how the many inputs and exhibits to a typical investment model drive key outputs, mainly tax benefits, cash flow and residual value. The webcast is ideal for:
- Junior fund managers
- LIHTC asset managers and analysts
- Developers that want an asset manager's perspective on the financial model
- Junior acquisition analysts
- Agency staff that review LIHTC projections for financial feasibility
- Project managers responsible for delivering a project "on time" and "on budget."
- Third-party service providers that work in the LIHTC field (e.g., construction monitors and architects)
- A basic understanding about the LIHTC program and real estate financial analysis is recommended.
Contact Vinnie at 617-905-6340 or firstname.lastname@example.org with any questions.
About the Presenter
Vinnie Viola, HCCP, MPA is Principal and Founder of Birch Island Real Estate Consulting, LLC, located in Milton, MA. Building on 25 years of broad affordable housing experience, Vinnie's company provides consulting and training services to developers, investors and operators of multifamily housing financed with LIHTC equity. As team leader and senior asset manager with a combined ten years at Boston Financial and Boston Capital, Vinnie participated in hundreds of investment committee discussions on proposed investments for single- and multi-investor tax credit funds. Through his syndicator experiences, Vinnie has an intuitive understanding of the tax credit financial investment model, assumptions that drive investor benefit projections as well as options to mitigate real and perceived operating and tax credit compliance risks.
Vinnie earned a BA from University of Massachusetts at Boston and a Master of Public Affairs from University of Texas-Dallas.