Panelists Tout LIHTCs for Gulf Coast

Over 20 years after its inception, the Low Income Housing Tax Credit program has proven to be one of the most effective ways to finance affordable housing and will continue to be a viable tool, especially in the Gulf Coast areas affected by hurricanes, according to panelists at the 2006 Credit Bond Financing for Affordable Housing Conference in Chicago."For Katrina areas, the amount of annual Low Income Housing Tax Credits for the next three years totals $18 per capita," said George F. Littlejohn of Novogradac and Co. LLP, Austin, Texas. "For example, in Louisiana it is about $55 million worth of Low Income Housing Tax Credits through the Louisiana Housing Finance Agency." Mr. Littlejohn also said the demand for the funds is growing, and that about $230 million has been approved in Louisiana. Another panelist, Francine Friedman of Hunton & Williams in Washington, D.C., said, "We are excited that many investors who did not work in the area before are coming in, investing their dollars, and taking a risk, both as a great way to help and to do business."