26 SEPTEMBER / OCTOBER 2022 PSP SHOWCASE Supporting Affordable Housing in Indiana Keith Broadnax Cinnaire Corporation Senior Vice President, Business Development kbroadnax@cinnaire.com Cinnaire Corporation is a Preferred Service Provider of the Indiana Bankers Association. Cinnaire Corporation and the Indiana Bankers Association recently partnered in a Low-Income Housing Tax Credit Equity Fund (LIHTC) to finance the new construction or rehabilitation of affordable housing in communities across the state. Eight IBA-member banks raised more than $10 million in capital as part of the partnership’s regional outreach efforts with the fund, which is part of Cinnaire’s larger Midwest LIHTC equity fund that brought together $145 million in committed LIHTC capital to finance the development or preservation of more than 1,600 affordable homes in five states. Thank you to the IBA-member banks that recently invested in the fund: % 1st Source Bank, South Bend % Centier Bank, Merrillville % The Farmers Bank, Frankfort % Farmers State Bank, LaGrange % First Financial Bank, Cincinnati % First State Bank of Middlebury % The National Bank of Indianapolis % North Salem State Bank These banks generated funding to support four affordable housing projects across Indiana, providing 535 units of high-quality affordable housing. The 2022 fund includes: projects supporting residents with special needs, such as Prominence Commons, Portage; the acquisition and rehabilitation of several sites totaling 38 affordable units; and the construction of a new building totaling 50 units, 30 of which are designated for those who are homeless or at risk of becoming homeless. Over the past 11 years, the partnership between Cinnaire and the IBA has resulted in the creation of five Housing Tax Credit Investment Funds totaling $43.5 million to support the development of 24 apartment communities with 1,883 housing units priced affordably for Indiana families. Tax credit investing is reciprocal; communities prosper, and banks fulfill Community Reinvestment Act and balance sheet goals. The LIHTC program is the nation’s largest and most successful tool for encouraging private investment in the production and preservation of affordable housing. Over the past 30 years, the program has financed nearly 3 million affordable apartments, providing homes to more than 6.5 million low-income households. At a time when more than one in four households struggle to pay rent, preserving and developing affordable housing is more important than ever. Cinnaire has been changing lives and transforming Peppermill Farms Apartments in Indianapolis provides 160 units of affordable housing.
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