Multi-Family Bond Issues

Download a complete list of all bond issues the HFA is currently involved with by clicking the above link.(Word document)

HFA Background

The HFA was created for the purpose of addressing a housing shortage in the County by stimulating the construction and rehabilitation of housing through the use of public financing.

Home Ownership Programs

The HFA currently offers four first mortgage options with rates as low as 4.99% (actual APR to be disclosed by the lender). Down payment and closing cost assistance is available with three of the four loan options in the form of a grant. For more information, see the Single-Family Program Page. For more information, see the Home Ownership Program page.

Developers: For more information on the application process contact:
Mark Hendrickson
850.671.5601
zdog416@aol.com

Multi-Family Bond Programs

HOUSING FINANCE AUTHORITY OF HILLSBOROUGH COUNTY OPEN NOTICE OF FUND AVAILABILITY/REQUEST FOR APPLICATIONS

FIRST-COME FIRST-REVIEWED BASIS

2010 MULTIFAMILY MORTGAGE REVENUE BONDS, including the New Issue Bond Program (NIBP)

The Housing Finance Authority of Hillsborough County (the "Authority") announces the availability of funds and is requesting applications for the consideration of providing tax-exempt revenue bond financing for qualified multifamily housing developments, which meet the goals of the Authority and comply with applicable federal and state law. The Authority has adopted the following guidelines to set forth the general requirements and procedures that apply to the financing of multifamily housing developments. The Authority may waive specific provisions of these guidelines where good cause is shown and adequate supporting documentation is provided. Any waiver is at the sole discretion of the Authority. In addition, these guidelines may be amended, revised, repealed or otherwise altered by the Authority with or without notice.

After the initial round of applications, the Authority has remaining bond allocation for 2010. Accordingly, applications will be accepted on a first-come first-reviewed basis. As applications are submitted, they will be reviewed by the Authority's Financial Advisor, who will make a recommendation to the Board, The Board will decide if the Applicant will be invited into credit underwriting. Submission of an application does not entitle the Applicant to bond financing, even if sufficient bond allocation remains to fund the development.

The estimated amount of 2010 tax-exempt bond authority that is available for multi-family development is approximately $50,000,000. After the initial application period, all allocation is still available. Any request for bond allocation that seeks to utilize the New Issue Bond Program (NIBP) must meet all requirements of that program.

The Hillsborough County Housing Finance Authority is encouraging:

*Family developments located anywhere within the County, other than within the city limits of Plant City;

*Elderly developments of 160 units or less located anywhere within the County; and,

*Rehabilitation developments of at least $20,000 of rehabilitation per unit, located anywhere within the County.

For purposes of this NOFA, "anywhere within the County", includes all locations within Hillsborough County, not just unincorporated parts of the County.

The Authority will not consider issuing obligations to provide financing for any development unless the applicant has satisfied the general requirements set forth in these guidelines, submits a timely, complete, and acceptable application, and complies with all of the procedures and requirements contained within the Authority's Application Procedures and Program Guidelines Handbook. Copies of the Application and of the Handbook are available at the Authority's website (www.hillsboroughcountyhfa.org). The Authority reserves the right to impose additional requirements on any particular development. Compliance with these guidelines does not and shall not create any right by an applicant to a commitment or assurance that the Authority will provide the requested financing.

The Authority provides below market rate loans of bond proceeds for construction, rehabilitation and permanent financing of multifamily housing developments. The funds are made available through the issuance by the Authority of revenue bonds (the "Bonds"). If the Authority requires credit enhancement on the Bonds, the borrower must arrange to secure or collateralize the bonds. The Bonds are secured solely by the credit enhancement provided by the borrower and/or by revenues from the development. In no event shall public revenues ever secure the bonds. The Authority is merely a conduit and shall not be liable on any Bonds. From time to time the Authority may approve other financing structures to the extent permitted by law. The multifamily program has been undertaken by the Authority in order to alleviate the shortage of affordable housing available to persons and families in Hillsborough County; to generate affordable multifamily rental capital for investment in Hillsborough County, to stimulate economic development; and to create jobs. Applicants are strongly encouraged to consider participating in Hillsborough County's MBE Program.

NO CONTACT WITH BOARD MEMBERS AFTER NOFA ISSUED. As of November 6, 2009, no Applicant, Applicant Agent and/or Representative may contact HFA Board members concerning their application, any other applicant's application, the merits of their firm, or any other aspect of the application and selection process. Violation of this prohibition will result in the disqualification of the Applicant and all of their developments from the 2010 Cycle.

The 2010 Multi-Family Application is currently available, and may be submitted at any time to the Authority. For more information, contact Mark Hendrickson (contact information below).

All links below are in Word .doc format

View copy of 2010 Notice of Fund Availability Click here

View copy of Application Click here

View copy of Handbook Click here

Firms participating with the Housing Finance Authority of Hillsborough County:

Investment Banking Firms acting as senior managing underwriters and remarketing agents for the issuance of the Authority's multifamily housing revenue bonds

Investment Bankers
RBC Capital Markets
100 2nd Avenue S. Suite 800
St. Petersburg, FL 33701
Telephone: (727) 895-8892
Contact: Helen Hough Feinberg Helen.feinberg@rbccm.com

Citigroup Global Markets Inc.
777 South Flagler Dr., Suite 801-E
West Palm Beach, FL 33401
Telephone: (561) 655-1122
Contact: Michael G. Hole michael.g.hole@citigroup.com

Financial Advisor
The Hendrickson Company
1404 Alban Avenue
Tallahassee, Florida 32301
850.671.5601
Contact: Mark Hendrickson zdog416@aol.com

Bond Counsel
Bryant Miller Olive P.A.
135 West Central Boulevard, Suite 700
Orlando, Florida 32801
(407) 426-7001
Contact: Randy Clement rclement@bmolaw.com

The HFA has also issued multifamily bonds to finance the construction or acquisition and rehabilitation of apartment complexes. Because the interest paid to the investors who buy these bonds is exempt from federal income tax, the interest rate on the mortgage to the developer is generally lower than conventional interest rates. More importantly, tax-exempt bonds bring automatic federal Housing Credits to each deal, providing private sector equity investment that makes the transaction economically feasible.

To date, 19 rental developments have been financed with HFA bonds, producing 4,202 units with tax exempt bond loans of $190.705 million ($45,384 per unit). Each development has also received an additional federal subsidy (bonus federal Housing Credits) which was be sold to private sector investors to raise capital to help build the development, and many have applied for State SAIL loans. The 19 developments have a total cost of $379.4 million-- $112.2 million of the costs have been paid for by private sector investment equity raised through the Housing Credits, and another $39.3 million of SAIL loans have been received. The remainder of development cost has been paid for with local government SHIP and HOME funds, plus deferred developer fees.

By federal law, at least 20% of the units must be rented to families earning 50% of the area median income or less, or 40% of the units must be rented to families earning 60% of the area median or less, both adjusted for family size. Additionally, federal law limits the rent charged to the residents, and the development must remain affordable for an extended time period. In practice, the actual rental developments financed by the HFA have 100% of the units set-aside for families earning less than 60% of area median for a 50 year period.

Complete list of HFA of Hillsborough County Multifamily Bond Issues(in word format)