Beaverton, Oregon
CDT Partner
Southport Financial Services
Investment Description
A 246-unit rental property, the Birch Pointe Apartments complex was built in 1989 with the help of Low Income Housing Tax Credits. Just as the 15-year affordable rent restrictions were set to expire, CDT acquired the property to prevent its threatened conversion to market-rate.
Transaction Highlights
To gain immediate control and avoid any tax consequences for the investors, CDT executed a two-step acquisition process. First, the general partner interests were acquired in June 2004, allowing for a change in management to implement a $1.5 million renovation program. The second step was to simultaneously establish the value of the limited partners position and the option necessary to acquire these interests at the end of the federal compliance period in 2005.
the community development trust
