New Seasons Development primary services:
Consulting to Non-Profit, For-Profit and Housing Authority Clients
New Seasons' President, Wendy Cohen, is an experienced housing professional who is knowledgeable about the obstacles faced by developers. She is also a financing expert in the field of affordable housing. This expertise is used to guide every consulting engagement, and specific assistance is offered to clients, including the following:
- due diligence related to acquisition, zoning, environmental and other matters;
- financial structuring and feasibility analysis;
- completion of funding applications;
- housing design, site planning and sustainable development; and
- compliance with zoning and financing requirements, include those of the Chapter 40B permitting process and of various financing programs, as needed.
Assistance to Municipalities Interested in Managing Development
Community leaders in the Commonwealth are interested in seeing real estate development occur in their city or town, but only if it is thoughtfully designed and well-managed. New Seasons assists municipalities that are willing to consider the development of affordable housing in their communities but need assistance in determining how to make the projects proposed by developers both financially feasible and in the interest of the municipality itself. The firm offers the following types of assistance to communities:
- Determining whether the size and scale of a proposed housing development project is necessary to make it financially feasible for the developer;
- Reviewing the plans submitted by the developer and assisting in developing suggestions for improvement to meet the needs of the community;
- Guiding new developers to sites that are most suitable for development in communities that have already identified sites; and,
- Helping municipalities allocate Community Preservation Act funds to worthy housing and historic rehab projects.
The Role of New Seasons Development, LLC in a Project
After NSD meets with new clients to discuss their project plans, service needs, and provide an overview of the client/consultant roles, the following steps are followed:
1. Evaluate the project and determine feasibility. Establish the number of units needed, type of funding available and the affordability plan and other attributes needed to comply with public funding availability.
2. Establish a development team. The owner/developer typically pulls together the team. NSD can offer suggestions on management companies, architects, equity partners and other consultants, such as historic consultant, engineers, or relocation consultant.
3. Prepare a development pro forma with the client and start applying for funding sources. Note: the pro forma is constantly in flux depending upon the number of units, type of units, affordability, and level of services.
4. Prepare applications for funding after first reviewing sources for predevelopment costs. This may require submitting an application to a state or local agency and/or private bank. This includes gathering data about the environmental condition of the property, zoning, community impacts, site plan and design, and site control. It may take more than one application submission before state funding will be awarded.
5. Upon awards and commitments of funding, NSD works with the client to pull together all documents required for a construction closing.
New Seasons Development -
- works with public funders to fulfill their requirements
- negotiates with funders and equity partners on the terms of the deal
- ensures the project maintains financial feasibility
6. Construction closing: NSD works with the client and the client’s attorney to review and prepare documents for the closing.
7. Construction: NSD may be asked to manage the requisitioning of funds. Funds are drawn down in accordance with the loan documents; some sources are meant for specific uses.
8. Construction completion and Rent-up: NSD works with the management company to ensure lottery requirements are met for affordable units and units are leased according to regulatory agreement requirements.
9. Permanent loan closing – NSD typically works with clients to gather all documentation necessary to repay the construction loan and replace it with a permanent loan for the property, as supported by the rents.
10. Cost certification and final documentation: NSD works with the client and its accountant to assemble the cost certification and answer any questions from the state and other funders.
11. NSD provides owner assistance with the completion of documents in order to receive the final funding allocation from the various resources. For the Low Income Housing Tax Credit (LIHTC) Program, the state needs to issue a specific IRS tax form to finalize the tax credit allocation so that the investor can buy the tax credits.
Note: Some forms of tax credits require other documents to be filled out and submitted in order to receive a certificate of eligibility for the tax credits.
Note: HOME Funds (HUD) – NSD will assist property managers and owners in preparation of the Completion Report, which is submitted to the local or state agency to obtain a final disbursement of resources.