Affordable housing financing is central to successful real estate development, and at Evolve Development Group, we specialize in making complex projects feasible. Led by Tyson Dirksen, we combine LIHTC, construction loans, and strategic gap financing to create affordable housing that delivers lasting value.
Construction Loans and Debt Strategies
Securing construction loans for affordable housing is the first step in any project. These loans provide capital for land, infrastructure, and building costs. With rent restrictions limiting debt service, Evolve Development Group carefully structures financing. We work closely with partners like the Idaho Housing and Finance Association to ensure projects have strong early-stage funding.
Using LIHTC and Gap Financing
The Low-Income Housing Tax Credit (LIHTC) is a primary tool we use to generate upfront equity and reduce debt burden. Even with LIHTC, many projects need additional gap financing. At Evolve, we leverage HOME funds, CDBG grants, and local incentives to fill funding gaps. This combination strengthens project feasibility and enhances investor returns.
Tyson Dirksen’s Approach to Affordable Housing
Each project begins with a detailed feasibility study and pro-forma, covering land, hard and soft costs, fees, reserves, and projected revenues. Tyson Dirksen ensures all LIHTC and subsidy applications meet deadlines. Once equity, debt, and subsidies are secured, projects move to approvals, closing, and construction.
Oversight, Lease-Up, and Compliance
Evolve Development Group oversees all construction stages, monitoring budgets, timelines, and change orders. Units lease to income-qualified tenants, and permanent financing is finalized. Compliance is maintained with rent limits, income verification, and affordability periods to protect investors and communities.
Managing Risks in Affordable Housing Financing
Affordable housing projects carry risks like rising construction costs, interest rate increases, subsidy delays, and slow lease-up. Evolve mitigates these risks with proactive planning and contingency strategies. Long-term exit plans ensure projects remain sustainable and compliant.
Creating Lasting Value
With Tyson Dirksen leading the team, Evolve Development Group uses affordable housing financing, LIHTC, construction loans, and gap financing to deliver high-value, impact-driven real estate development. Our hands-on approach transforms communities and sets new standards in the industry.
https://tysondirksen.com/financing-affordable-housing-insights-from-tyson-dirksen/
For more information, interviews, or investment insights:
Tyson Dirksen
Founder, Evolve Development Group
Email: info@evolve-us.com
Website: evolve-us.com | tysondirksen.com
LinkedIn: linkedin.com/in/tyson-dirksen-a543827/