Oklahoma Housing Finance Agency Awards Affordable Housing Tax
Credits to Rehabilitate Apartment Complex in Tulsa
OKLAHOMA CITY - Oklahoma Housing Finance Agency’s Board of Trustees
approved at its March meeting a reservation of Affordable Housing
Tax Credits to rehabilitate affordable housing in Oklahoma. OHFA is
the state’s tax allocating agency for AHTC.
Plaza
Hills II, LP received $313,875 for the acquisition and
rehabilitation of 240 apartments to be known as Plaza Hills
Apartments in Tulsa.
The AHTC is a housing subsidy program for rental housing created
within Section 42 of the federal tax code and administered by the
Internal Revenue Service. The AHTC amount is received over the first
10 years of a project’s operating period.
Projects are structured so that the sale of a project’s housing tax
credits and other tax benefits provides a source of capital for the
development of affordable rental housing for new construction of
rental housing, the rehabilitation of existing units, and the
acquisition of existing buildings under certain circumstances. This
equity investment reduces the need for financing thereby reducing
operating costs which is passed along in the form of reduced rents.
To qualify for tax credits, a project must both restrict rents on
its rental units and rent to tenants whose incomes do not exceed
income limits.
The AHTC program requires a 15-year tax credit compliance period. In
addition, the project must enter into an agreement for an extended
low-income housing commitment that continues at least 15 years after
the end of the compliance period and that is binding on the taxpayer
and all successors.
As Oklahoma’s largest provider of affordable housing,
OHFA offers nine housing programs ranging from “OHFA Advantage” for
home ownership to housing development and rental assistance.
For more information about OHFA and its programs and
services, visit
www.ohfa.org.
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Toll Free: (800) 256-1489