HomeMy WebLinkAboutSolomon Towers Letter of Support
ENTERPRISE HOUSING CREDIT INVESTMENTS, LLC.
1035 Osage Street Suite 1125 Denver, CO 80204 303.573.1571 www.enterprisecommunity.com
August 1, 2024
Scott Coggins
Vice President
Ulysses Development Group
210 University Boulevard, Suite 460
Denver, Colorado 80206
Re: Solomon Towers (the “Project”)
Dear Mr. Coggins:
The purpose of this letter is to provide an indication of interest from Enterprise Housing Credit Investments,
LLC (Enterprise) for providing equity, through an investment fund which would be formed by Enterprise, to
the Project.
Enterprise is one of the leading syndicators of Low-Income Housing Tax Credits (‘LIHTC”). Since the
enactment of the federal Low-Income Housing Tax Credit program in 1986, Enterprise has raised more than
$14 billion in equity for the development of low-income housing.
This letter of interest is based on a preliminary review of the information provided by you. This information
indicates that the Project would generate, at this time, an annual Low-Income Housing Tax Credit allocation of
approximately $1,046,596.
The pro forma presented to Enterprise as part of the preliminary submissions indicates pricing in the range of
$0.85 on the federal tax credit dollar. Based on this assumption, the Project would generate an equity investment
in the amount of $8,895,181. This estimate of pricing appears supportable if the transaction were to close today.
The equity markets continue to be volatile and unpredictable; therefore, the ultimate ability of Enterprise to
commit to pricing on this transaction will be determined by investor yield requirements and the availability of
capital much closer to the time of closing.
As soon as you have received a reservation of tax credits, please contact us so that we can continue the
underwriting of this project and, if appropriate, negotiate a commitment letter.
Sincerely,
Brian Windley
Vice President, Syndication