Crux Commercial Partners arranged a $19.05 million proforma loan for the acquisition and rehabilitation of a 200+ unit LIHTC multifamily property in the Pacific Northwest. The financing features a 5-year fixed rate, 12 months interest-only and waived reserve requirements, despite borrower inexperience with affordable housing.
— Crux Commercial Partners arranged $19.05 million in acquisition financing for a Pacific Northwest multifamily property governed by Low-Income Housing Tax Credit (LIHTC) restrictions. The borrower, a repeat client with no prior experience in affordable housing, aimed to acquire and rehabilitate the 200+ unit asset while bringing operations up to AMI thresholds.
LIHTC properties carry compliance requirements and income restrictions that often limit financing options. Crux navigated these constraints by structuring a proforma-based loan that accommodated the property’s 20% vacancy and eliminated the need for operating reserves—reducing the client’s upfront costs by nearly $700,000. The result was a fixed-rate, flexible structure designed to support both the acquisition and long-term repositioning of the asset.
This financing structure gave the client room to improve operations while avoiding the typical liquidity demands that come with deed-restricted acquisitions.
Project Financing Highlights:
• Loan Amount: $19,050,000
• Location: Pacific Northwest
• Property Type: LIHTC multifamily (200+ units)
• Loan Structure: Proforma-based acquisition loan
• Rate/Term: 6.4% fixed, 5-year fixed rate, 10-year total term, 30-year amortization
• Interest-Only Period: 12 months
• Vacancy at Close: 20%
• Operating Reserves: None required
• Borrower Type: Repeat client, first LIHTC transaction
“In today’s environment, placing a high-leverage loan on a deed-restricted asset with 20% vacancy and no borrower history in the LIHTC space requires precision,” said Jacob Wilson, co-founder of Crux Commercial Partners. “We were able to present a strong proforma, navigate lender concerns, and eliminate reserve requirements, saving our client nearly $700,000 in upfront capital.”
Crux’s hands-on approach from underwriting through close helped mitigate perceived risk and position the deal for approval. The firm’s capital relationships and credibility in the market played a critical role in securing favorable terms on an otherwise complex, high-risk transaction.
This transaction adds to Crux’s growing record of financing mission-driven housing projects, including affordable, workforce, and mixed-income multifamily deals throughout the Pacific Northwest.
About Crux Commercial Partners
Crux Commercial Partners is a boutique capital advisory firm headquartered in Tacoma, WA. The company has closed over $4.5 billion in financing across multifamily, industrial, self-storage, and nonprofit sectors, helping clients secure tailored capital solutions in fast-changing markets. Crux draws on a wide network of institutional and private lenders to structure financing with speed, flexibility, and long-term value. Visit cruxcre.com to learn more.
About the company: US Commercial Lending News delivers expert reporting and industry analysis across commercial real estate, lending, banking, finance, and investment sectors. From interest rate trends to major acquisitions and market-shaping technologies, our coverage connects decision-makers to the insights that drive the future of business and investment.
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