WNC has closed its latest LIHTC Fund with $90million in equity investments. WNC Institutional Tax Credit Fund 10California Series 18 LP will provide institutional low-incomehousing tax credits for the development of 900 affordable housingunits in California. Seven investors participated in the fund,including a new investor. This recent fund brings the firm's totalequity raise to $5.5 billion for the investment and development ofaffordable housing.

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"Originally, the fund was launched with a target raise of $85million, but WNC was able to close the fund with $90 million inequity raise—signaling that demand was slightly higher thanexpected," Christine Cormier, SVP of investorrelations at WNC, tells GlobeSt.com. "Regarding impact fromCOVID-19, investors were focused on any potential delays that wemay encounter as a result of the pandemic."

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The fund will develop and renovate units for five propertieslocated in Los Angeles, Riverside, Sacramento and San Diego. Thesedeals were in place prior to the onset of the pandemic andsubsequent market dislocation. "The fund includes five propertiesthat were under contract prior to the pandemic," says Cormier. "Thereal change in strategy occurred in our underwriting of theproperties and additional sensitivities that were run assuming anypotential delays that may be encountered."

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In fact, the LIHTEC market is expected to perform well throughthe downturn, as it has in prior recessions. "The LIHTC market is avery resilient asset class, as was proven throughout the 2008recession and in the post-impact of tax reform," says Cormier. "Webelieve our tenants appreciate the quality affordable housing theyhave. As we monitored April and May rent collections, it wasapparent that the tenants are making their rent payments apriority."

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WNC is committed to continuing to build its affordable housingplatform and growing the supply of affordably priced housing inCalifornia. As such, the firm has no intention of altering itsstrategy. "There is still a critical shortage of quality affordablehousing," says Cormier. "As such, we expect to continue our currentbusiness plans of acquiring quality new construction as well asrehabilitations of existing affordable housing throughout theUS."

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Kelsi Maree Borland

Kelsi Maree Borland is a freelance journalist and magazine writer based in Los Angeles, California. For more than 5 years, she has extensively reported on the commercial real estate industry, covering major deals across all commercial asset classes, investment strategy and capital markets trends, market commentary, economic trends and new technologies disrupting and revolutionizing the industry. Her work appears daily on GlobeSt.com and regularly in Real Estate Forum Magazine. As a magazine writer, she covers lifestyle and travel trends. Her work has appeared in Angeleno, Los Angeles Magazine, Travel and Leisure and more.