The Richman Group Affordable Housing Corporation, an affiliate of The Richman Group, has closed on $535 million of equity commitments for two national affordable housing tax credit multi-investor funds. According to the company, the capital will be used to support the acquisition, rehabilitation, and ground-up development of nearly 50 affordable housing properties across 27 states. The combined projects backed by these funds represent more than $1.5 billion in total development costs.
The new funds are designed to create and preserve affordable housing for a diverse resident base, including families, seniors, veterans, and formerly homeless individuals. More than 40% of the units in the funded communities are expected to serve households earning below 50% of the local area median income, underscoring a focus on deeply affordable housing. All homes supported by the funds are planned to incorporate energy-efficient features, with the goal of enhancing long-term operating performance and reducing utility burdens for residents.
Richman notes that the developments financed by the funds are anticipated to generate jobs and contribute to the expansion of the affordable housing supply in the markets where they are located. The investor base for the two funds includes some of the nation’s largest banks and insurance companies, reflecting continued institutional participation in the low-income housing tax credit equity space.
Stephen M. Daley, executive vice president, led the fundraising effort from The Richman Group’s Charleston, SC office. He stated that, with these latest closings, the firm has raised more than $1.4 billion of equity across both multi-investor and single-investor affordable housing funds over the past year. Daley attributed ongoing institutional interest in Richman-sponsored vehicles to the organization’s experience in the affordable housing sector, a conservative underwriting approach, and a record of delivering results for investors.
The two newly closed funds extend Richman’s footprint as a national sponsor of affordable housing tax credit vehicles at a time when demand for income-restricted housing remains elevated. By channeling bank and insurance company capital into LIHTC-backed developments, the firm expects to support a substantial pipeline of projects aimed at increasing and preserving affordable rental options while also promoting energy-efficient building practices.
