Does ETOD financing keep you awake at night? Transit orientation, appropriate parking ratios, structured parking and community desires for higher-quality products and public spaces around rail stations all add to the costs of completion and, in turn, can make financing more difficult to obtain. Adding affordable housing to the mix makes things even more difficult. But in an era of increasing income disparity, the importance of providing equitable housing near our transit systems looms large. Hear from developers about the financial tools they have used to ensure a wide range of financial accessibility to their transit-oriented projects. Seeing how the financial puzzle can be solved with insights and examples from people who have made it work. Then, get some sleep. Moderator: Eric Rothman, President, HR&A Advisors, Inc., New York, New York Ryan Tobin, Director of Real Estate Development, Denver Housing Authority, Denver, Colorado Dan Lofgren, Principal, Cowboy Partners, Salt Lake City, Utah Amy Rowland, Field Director, National Development Council, Salt Lake City, Utah Sherman Roberts, President and Chief Executive Officer, City Wide Community Development Corporation, Dallas, Texas

1. Amy Rowland
Field Director – Salt Lake City, UT

2. Improving Communi-es
Enhancing Lives
NDC is the na-on’s oldest
non-­‐profit provider of
community and economic
development, technical
assistance and training.

3. Training
Financial
Products
Development
Services
Technical
Assistance
NDC’s Services
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National Development Council

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5. • In Utah Only – GSLDC Loan Fund
Financial Products
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National Development Council
• NDC Corporate Equity
Fund, L.P. (CEF) – Low
Income Housing Tax
Credit Equity
• Grow America Fund
(GAF) – Small
Business Loans
• HEDC New Markets,
Inc. (HEDC-­‐NM) –
New Market Tax
Credit Investment

6. GSLDC Loan Fund
Ini-al Capitaliza-on of $10MM
4 Ini-al Lending Par-cipants – Morgan Stanley, GE Capital,
Synchrony and Zions Bank
Primary Loan Types
ü SBA Guaranteed for Small Businesses-­‐ can be up to 25 years
ü Non SBA-­‐eligible real estate loans – 3 to 5 year term
ü Land Acquisi-on or bridge loans for mixed use projects
Loan Loss Reserves (6%)
National Development Council
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7. What Keeps
Lenders Up at
Night?
RISK!
Parking ra-os not typical
Unproven demand
Homeownership
Market rate housing
Higher Density
Add’l Design or Use Criteria
Environmental Issues
Limited Comparables

8. Wide Market Differences
NYC or Chicago
Community Norms for TOD
• Paying to park is standard
• Higher rents for easy access to
transit
• Mix of uses near residen-al
• Transit stops in areas where dense
development is already typical

9. Salt Lake (or Denver
or Dallas)
• Car-­‐centric
• Varying degrees of
density phobia
• Lack of experience/
comfort with mix of
uses
• Akemp-ng to shape
future growth through
rail-­‐based transit

10. ETOD Assump-ons
Mature Market
Young Market
Land costs near stops are higher
Yes
Maybe
Demand near stops is higher
Yes
Maybe
Reduced need for parking
Yes
Maybe
Affordable housing more difficult to finance
Maybe
No

11. Loan Pool Advantages
Shared risk among mul-ple lenders
Provides underwri-ng exper-se in specific
financing tools
LIHTC
NMTC
Public Sources
Loan Loss Reserves or Top Loss Lender provides
addi-onal security
Primarily nonprofit, founda-on and public sector
sources

12. Utah ETOD Fund
• $30MM Pool with same lenders as GSLDC
• Managed by exis-ng nonprofit – Utah Center for
Neighborhood Stabiliza-on
• Predevelopment, acquisi-on and construc-on loans for
affordable housing located within ½ mile of rail transit
or frequent bus service

13. Remaining Gap for ETOD Financing
Fixed Rate, Permanent Financing (25+ year term and
amor-za-on)
Some Availability for Affordable Housing
HUD 221 (d)4, Fannie/Freddie, T.E. Bonds
Some Conven-onal Lenders (especially with LIHTC Equity)
Small project/loans are more difficult
Mixed Use Especially Tricky