Development Finance Options - LIHTC, PE or Hard Money
I am looking to develop a property. I own the dirt and have preliminary entitlement from local agencies. Cap Rates in my market are 4.5 and return on costs for the project are 7.7%. Currently in architect phase, need additional equity to close on the construction costs. What are my options if I partnered with a developer for LIHTC (I don't have the experience with one of these deals), Private Equity? What would be their cut on the project and how would the deal get structured?
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