NH&RA follow-up

The NH&RA Conference was a tremendous success from my perspective, and I commend Peter Bell and Thom Amdur for the excellent coordination of panelists, guests, and the Santa Fe setting - well done! 

I was particularly inspired by John Clawson and the work he's doing in the San Francisco Bay Area with structuring financially complex, highly environmentally sustainable projects.

I had the interesting experience of learning more from my panel than I brought to the table. Greg Doran was great as always, and Herb Stevens really sets the bar as far as I'm concerned. The enthusiasm with which he speaks about issues of new markets tax credits, deal structuring - and now Energy Tax Credits - is fun to be around.

My presentation is here for those who might be interested.

- Norris Lozano

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Leveraging New Markets Tax Credits for Land Acquisition & Predevelopment Costs

The National Housing & Rehabilitation Association is holding its Summer Institute in Santa Fe this week, which will give me a great opportunity to talk about three important issues: urban development, sustainability, and how to pay for both.

I'll be speaking on a panel entitled, "Leveraging New Markets Tax Credits for Land Acquisition & Predevelopment Costs" with two colleagues whom I respect a great deal: Herb Stevens and Greg Doran of Nixon Peabody.

The Bethany Square project's acquisition and predevelopment expenses were partially financed utilizing an $11 million allocation of New Markets Tax Credits. The project, which we will discuss on the panel, is located in one of the most economically underserved neighborhoods in South Los Angeles (perhaps the US), about a mile from where the 1992 riots began. As many know, there has been no meaningful mixed-use development in the area in decades.

The project has the strong support of the Community Redevelopment Agency, the City Council, and is featured in the South Los Angeles 5-Year Plan, which is signed by the political leadership of the City of LA.

A key facet of our plan is to develop the project to LEED standards. For the last 6 years I led a team that structured and closed over $650 million in green buildings up to LEED Platinum - so we know how to do this, and we know how to finance it.

Which is where these topics - urban development and sustainable design - come together. Developing sustainable mixed-use real estate projects generates tax credits and other subsidy that help push the green features to higher and better levels. The benefits to investors, owners, tenants and users are broad and long lasting. Win - win - win - win.

I am looking forward to seeing colleagues and industry friends at this conference - there's much to be done together.

- Norris Lozano