National Equity Fund, Inc (NEF) is a national

non-profit A nonprofit organization (NPO), also known as a nonbusiness entity, nonprofit institution, not-for-profit organization, or simply a nonprofit, is a non-governmental (private) legal entity organized and operated for a collective, public, or so ...

syndicator of Low Income Housing Tax Credits (LIHTC). Created in 1987 as an affiliate of the

Local Initiatives Support Corporation The Local Initiatives Support Corporation (LISC) is a US non-profit organization, non-profit community development financial institution (CDFI) that supports community development initiatives across the country. It has offices in nearly 40 citi ...

(LISC) and headquartered in

Chicago Chicago is the List of municipalities in Illinois, most populous city in the U.S. state of Illinois and in the Midwestern United States. With a population of 2,746,388, as of the 2020 United States census, 2020 census, it is the List of Unite ...

, NEF is one of the largest non-profit LIHTC syndicators in the

United States of America The United States of America (USA), also known as the United States (U.S.) or America, is a country primarily located in North America. It is a federal republic of 50 states and a federal capital district, Washington, D.C. The 48 contiguo ...

History

National Equity Fund, Inc. was founded by the Local Initiatives Support Corporation to be one of the first LIHTC syndicators, following the creation of LIHTC in the

Tax Reform Act of 1986 The Tax Reform Act of 1986 (TRA) was passed by the 99th United States Congress and signed into law by President Ronald Reagan on October 22, 1986. The Tax Reform Act of 1986 was the top domestic priority of President Reagan's second term. The ...

. LIHTC provides investors in affordable housing a dollar-for-dollar reduction in federal taxes in exchange for equity in new or refurbished affordable housing projects. Because tax credits are typically awarded to developers, rather than investors, syndicators like National Equity Fund were created to package tax credits in large pools for investors. In 2004, LISC created the New Markets Support Company to replicate NEF’s success using the newly created

New Markets Tax Credit Program The New Markets Tax Credit (NMTC) Program is a federal financial program in the United States. It aims to stimulate business and real estate investment in low-income communities in the United States via a federal tax credit. The program is admini ...

(NMTC), which supports business development in low-income areas.

Impact

Since 1987, the Low Income Housing Tax Credit has become the most important resource for creating affordable housing in the United States, responsible for more than three million units of affordable housing. NEF has invested over $16.75 billion in 2,494 housing developments, creating 158,907 affordable homes since its founding in 1987. In 2019 alone, NEF invested $1.45B in 108 housing projects. A 2017 study from the

Furman Center for Real Estate and Urban Policy The Furman Center for Real Estate and Urban Policy is a joint center at New York University School of Law and the NYU Wagner School of Public Service. The Furman Center was established in 1995 to create a place where people interested in affordab ...

New York University New York University (NYU) is a private university, private research university in New York City, New York, United States. Chartered in 1831 by the New York State Legislature, NYU was founded in 1832 by Albert Gallatin as a Nondenominational ...

found that LIHTC-supported housing units like those created by NEF revitalize low-income neighborhoods, reduce crime and afford their residents access to better schools than other forms of housing assistance.

Notable projects

Veterans Housing

In 2012, LISC and NEF joined national efforts to end

Veteran A veteran () is a person who has significant experience (and is usually adept and esteemed) and expertise in an job, occupation or Craft, field. A military veteran is a person who is no longer serving in the military, armed forces. A topic o ...

homelessness Homelessness, also known as houselessness or being unhoused or unsheltered, is the condition of lacking stable, safe, and functional housing. It includes living on the streets, moving between temporary accommodation with family or friends, liv ...

by launching the Bring Them Homes campaign. The campaign has created more than 4,000 residences in 15 states that provide permanent supportive housing for formerly homeless Veterans. Bring Them Homes developments include The Six, a

LEED Leadership in Energy and Environmental Design (LEED) is a Green building certification systems, green building certification program used worldwide. Developed by the non-profit U.S. Green Building Council (USGBC), it includes a set of rating ...

-platinum certified support housing project with 18 units set aside for veterans living in Los Angeles’ Skid Row.

Native American Supportive Housing

NEF supported the Cedar Crossing affordable housing project developed by Native American Connections in

Phoenix, Arizona Phoenix ( ) is the List of capitals in the United States, capital and List of cities and towns in Arizona#List of cities and towns, most populous city of the U.S. state of Arizona. With over 1.6 million residents at the 2020 census, it is the ...

. Cedar Crossing pioneered transit-accessible affordable housing in Phoenix with a special emphasis on meeting the needs of the Native American Community.

LGBTQ+

As affordable housing developers began creating projects focused on the needs of

LGBTQ LGBTQ people are individuals who are lesbian, Gay men, gay, bisexual, transgender, queer, or questioning (sexuality and gender), questioning. Many variants of the initialism are used; LGBTQIA+ people incorporates intersex, Asexuality, asexual, ...

and LGBTQ seniors, NEF became an early supporter of projects including Town Hall Apartments in Chicago and Evergreen Lofts in Buffalo.

References

External links

*{{official website 1987 establishments in Illinois Non-profit organizations based in Chicago