In addition to traditional accounting, audit and tax services for real estate owners, developers and contractors, Sabino & Company LLC has acquired a depth of experience in the real estate tax credit development industry. Our firm has built its reputation with hands-on, proactive service that extends beyond that of traditional compliance functions. We understand the deadlines and pressures of the development process and strive to provide our clients with timely, quality, value-added service.

Click here to view brochure "Tax Credit Consulting Services"(Adobe pdf file)

Historic Tax Credits

The Federal Historic Preservation Tax Credit program, along with many State Historic Rehabilitation programs provide tax credits for the preservation and rehabilitation of historic buildings. These revitalization programs encourage private investment in rehabilitating historic properties for use as offices, rental housing and retail projects. 

We assist our clients in meeting the programs’ specific criteria and develop transaction structures to maximize tax credits and equity proceeds while complying with the requirements set forth in the Internal Revenue Code. We have a depth of knowledge in state historic tax credits which allows us to assist our clients in meeting the specific state requirements as well.

 Our experienced staff can also help clients qualify for other tax credits that can be combined with the historic tax credit, including the NMTC and the LIHTC.

 Historic Tax Credit Services:

• Utilize the most current and comprehensive strategies to accomplish project objectives
• Develop transaction structures to maximize tax credits and equity proceeds
• Prepare financial analyses to estimate tax credits and assist in obtaining financing
• Provide market insight and consultation on tax credit pricing, debt and equity market conditions in order to maximize proceeds from the sale of your federal and state historic tax credits
• Analyze and evaluate transactions to mitigate risk of tax credit recapture and reallocation of project benefits
• Prepare cost certifications which may be required for investors or state historic tax credit programs

Affordable Housing and Low Income Housing Tax Credits

Sabino & Company LLC can provide a comprehensive range of services to developers, owners and investors of multifamily properties that are financed by low-income housing tax credits, tax exempt bonds or other housing subsidies.

Whether you are looking to obtain a low-income tax credit allocation, receive tax exempt bond financing, invest in a tax credit project, determine the most advantageous financial structure, or find investor equity, we provide application preparation and financial projection services designed to help maximize the financial return of the transaction. In doing so, we work closely with owners and investors, but also with state housing credit agencies, public housing authorities and other public entities involved in the application and approval process. 

Affordable and Low Income Housing Tax Credit Services:

• Prepare and or review applications for LIHTCs in accordance with each states Qualified Allocation Plan
• Prepare financial forecasts and projections, including evaluation of items includable in tax credit basis
• Review of equity proposals and analyze, evaluate and assist in the negotiation of equity terms
• Evaluate alternate financing structures, including use of grants and below-market financing
• Analyze the impact of tax-exempt organizations involvement in the transaction
• Assist in determining pricing and timing of equity contributions
• Review and analysis of fee arrangements
• Analyze the partnership structure and allocations to ensure compliance with tax code provisions
• Analyze the impact of tax-exempt bond financing used in conjunction with tax credits
• Structure to meet 50% test for tax-exempt bond financing deals
• Prepare certification for carryover allocation (10% test)
• Prepare cost certifications as required by state housing agencies, HUD or investors

New Markets Tax Credits

The New Markets Tax Credit program was designed to revitalize low-income and otherwise distressed communities. The credit provides investors with incentives to make capital investments in low-income communities. 

Because of our involvement with many clients in the tax credit industry, we have been able to assist many of our clients in using the NMTC program. We have worked with our clients in structuring NMTC deals involving loans, equity investments, leveraged transactions and combining with historic tax credits, and as a result, we have developed a strong understanding of the complexities of the new markets tax credit program, financing and investor issues, market concerns and program and income tax regulations.

New Markets Tax Credit Services:

• Perform financial modeling for NMTC transactions and the underlying business
• Assist NMTC borrowers to develop project/business plans in order to obtain NMTC capital
• Prepare Agreed Upon Procedures Reports on behalf of CDEs and Investors
• Deal structuring to maximize Qualified Equity Investment (QEI)

For more information, please contact

Michael Kressig, Partner

Director of Real Estate Services

kressig@sabinocpa.com

314.880.4350