Cap Pointe Advisors LLC and Greystone have jointly advised on a municipal bond financing of $104,475,000 for a portfolio of affordable multifamily properties backed by Section 8 Housing Choice Vouchers. The financing is secured by 14 newly constructed and renovated apartment communities located across Los Angeles County, with completion dates ranging from 2022 to 2025. The properties are principally occupied by residents utilizing Section 8 vouchers, underscoring the portfolio’s focus on deeply affordable housing.
Cap Pointe Advisors, described as a Los Angeles-based boutique real estate investment banking and advisory firm, worked alongside Greystone Capital Advisors LLC and its affiliate Greystone CARE Broker Inc. as exclusive co-advisors to SoLa Impact Opportunity Zone Fund, LP. The advisory mandate covered the structuring and execution of the municipal bond transaction, which provided capital against the stabilized affordable housing portfolio.
The deal team combined senior leadership and production professionals from both advisory platforms. Cap Pointe’s effort was co-led by founder and managing principal Eliav Dan, together with directors Jarod King and S. Ross Moore. On the Greystone side, the assignment was co-led by Drew Fletcher, president of Greystone Capital Advisors, along with senior managing director Matthew Zisler and vice president Willis Russell. Their collaboration focused on accessing the public municipal markets on behalf of SoLa Impact’s opportunity zone fund.
According to commentary from Dan, the transaction uses the public municipal bond market as a financing vehicle to provide liquidity for affordable housing assets. He characterized the structure as a novel approach for the sector, emphasizing its application to income-restricted properties supported by federal rental assistance. The parties described the bond issue as the first publicly rated, federally taxable and state tax-exempt municipal bond financing secured specifically by Section 8 affordable housing assets.
Wells Fargo Securities acted as the bond underwriter on the transaction, placing the municipals with investors. The California Municipal Finance Authority served as the bond issuer, providing the conduit structure necessary for the tax-exempt element of the financing. Greystone Servicing Company LLC will function as master servicer for the portfolio, overseeing servicing responsibilities tied to the municipal bond collateral.
The financing highlights the use of municipal capital markets to support the long-term capitalization of affordable multifamily portfolios, particularly those relying on Section 8 subsidies. For SoLa Impact Opportunity Zone Fund, LP, the transaction aggregates recently delivered and renovated assets under a single bond-backed capital structure, aligning new investment with the ongoing operation of rent-restricted communities across Los Angeles County.
