Bond Inducement
Previous Projects
The Corporation acts as a conduit issuer of multi-family revenue bonds for the purpose of providing financing to developers of multi-family housing projects. The Corporation collects application fees from all developers who apply for financing and receives a closing fee from all developers who close on a loan. The Corporation also receives annual issuer fees from developers for each year that the loan is outstanding. As of December 31, 2019, the Corporation had 16 multi-family bond issues outstanding.
| Bond Series | Project | Outstanding as of December 31, 2019 |
| 2003 | Shadow Ridge Apartments | $ 9,182,651 |
| 2003 | Empire Village Apartments | $ 5,272,878 |
| 2003 | Bayou Willows Apartments | $ 6,481,776 |
| 2003 | Primrose Skyline Apartments | $ 9,488,623 |
| 2004 | Primrose Apartments at Aldine Bender | $ 6,810,000 |
| 2004 | Village at Corner Stone Apartments | $ 6,515,000 |
| 2005 | Louetta Village Apartments | $ 5,680,000 |
| 2005 | Primrose Apartments at Bammell | $ 7,180,000 |
| 2005 | Baypointe Apartments | $ 10,705,000 |
| 2006 | Oak Tree Manor Apartments | $ 7,155,818 |
| 2006 | Bayview Apartments | $ 11,185,188 |
| 2006 | Lafayette Village Apartments | $ 12,015,000 |
| 2006 | Gardens at Tomball Apartments | $ 8,110,000 |
| 2007 | Mansions at Hastings Green Apartments | $ 12,913,339 |
| 2007 | Mansions at Hastings Green Senior Apartments | $ 12,175,431 |
| 2018 | The Vireo Apartments | $ 23,079,000 |
| 2019 | Quail Chase Apartments | $ 18,703,523 |
| Total | $ 172,653,227 |
Why Bond Inducement Works
Introduction to Tax-Exempt Financing
Tax Information for Bond Holders
https://www.irs.gov/tax-exempt-bonds/bond-holders
How the Process Works
Texas Local Government Code, Chapter 394 authorizes Harris County HFC to issue its revenue notes and bonds for the purpose of providing financing for multi-family rental residential developments intended to be occupied substantially (at least 90 percent) by persons of low and moderate income.
The first step in a bond transaction normally is obtaining an inducement resolution and agreement from the Issuer, sometimes known as a declaration of official intent (the “Inducement”). This constitutes an agreement in principle by an Issuer to issue Bonds for a proposed Project.
Approval Process
- Application
- Inducement Resolution
- Notice of Public Hearing
- Public Hearing
- Bond Resolution
- Approval of Applicable Elected Representative
- Other Approvals (e.g., volume cap allocation)
For more information, please contact Rene Martinez at rene.martinez@csd.hctx.net