Friday, May 24, 2019

Generate listing PDF reports

Why a QCT/DDA?

What is a QCT / DDA?

A QCT is a census tract where the average median income is less than 60% of the county median income, or where the poverty rate is greater than 25%. A DDA is an area that has high construction, land and utility costs, relative to the Area Median Gross Income (AMGI).

Featured QCT/DDA/LIHTC Listings

5 pts (out of 5) for Local Housing Needs Score and 30% Eligible
Vacant Land, Non-QCT/DDA
Vincennes, Indiana
10.00 Acres
R-1, see attached for restrictions

Enterprise Zone, Tax Abatement and City Support-Danville Needs a Senior Deal
Vacant Land, QCT
Danville, Illinois
2.20 Acres
R-3 Renaissance District, requires a rezone to B-4 or PUD. Density is unlimited.

High Density Site in Infill Incentive Zone and Enterprise Zone
Vacant Land, QCT
Phoenix, Arizona
1.25 Acres
R-3, 17.1 units per acre
Live QCT/DDA/LIHTC Statistics

134 Total Available Listings

Historic Buildings - 24
DDA - 18
Vacant Land - 103
Non-QCT/DDA - 9
Apartments - 7
QCT - 107
Click here to start browsing LIHTC listings! Click here to view sample documentation!
Why a QCT / DDA?

Eligible Basis multiplied by 130% of what it otherwise would be.

Example Eligible Basis Calculation
Non-QCT Calculation QCT Calculation
Total Development Cost of Property (Total Uses) $8,000,000 Total Development Cost of Property (Total Uses) $8,000,000
Less: non-eligible basis (i.e. land, syndication fees, closing costs) ($1,000,000) Less: non-eligible basis (i.e. land, syndication fees, closing costs) ($1,000,000)
Eligible Basis (Total Uses minus land) $7,000,000 Eligible Basis (Total Uses minus land) $7,000,000
Non QCT (100%) $7,000,000 QCT Boost (130%) $9,100,000
Credit Percentage (4% or 9%) 9% Credit Percentage (4% or 9%) 9%
Total annual tax credits (Eligible Basis x Credit Percentage) $630,000 Total annual tax credits (Eligible Basis x Credit Percentage) $819,000
Ten Year Total Credits $6,300,000 Ten Year Total Credits $8,190,000
  Additional QCT Credits (via a QCT) $1,890,000
QCT / DDA Trend

The 30-percent boost in LIHTCs associated with QCTs has helped finance more than one-fourth of all LIHTC projects and approximately one-third of projects in recent years.

In 2004, the latest year for which data is available, 47.5 percent of LIHTC projects and 56.1 percent of LIHTC units were located in a QCT

The chart below suggests an increase of 3.3% (in units) per year, at this rate all units will be located within a QCT/DDA by 2016!

QCT/DDA Trends

*Source: U.S. Department of Housing and Urban Development

Sponsors
Tax Credit Advisor Newsletter - Click for details Tax Credit Advisor Newsletter - Click for details Tax Credit Advisor Newsletter - Click for details Tax Credit Advisor Newsletter - Click for details