Description: WIEDA issues multi-family housing development revenue bonds for Developers that are building facilities to lease to individuals that are at a certain income level. Federal tax-exempt rules require that 20% of the units are made available to individuals or families that are 50% or lower of the median family income (Or 40% available to residents that are at or lower that 60%). Proceeds can be used to purchase land, buildings and equipment and/or to construct new or renovate existing facilities.

 

Benefits: The benefits of Taxable Revenue Bonds include:

  • Long term – Maturity of the bonds is flexible and can range from ten to thirty years.
  • Favorable Interest Rate – Rates are generally 2.0% to 3.0% below Prime Rate.
  • Flexible Terms – Interest rates may be fixed or variable and can finance up to 100% of the eligible project costs.
  • Favorable Terms – There is no fixed minimum job creation or capital investment requirements, although some jobs have to be created.

 

Eligibility: Any multi-family housing facilities such as senior housing, affordable housing, assisted living and supportive living. Housing Revenue Bonds require volume cap. There is no limit on the amount of total costs. Average maturity cannot exceed 1205 of the economic life of facilities financed. Multi-family bonds require volume cap.

 

Fees: A $2,000 non-refundable application fee is due when the application is submitted. Please make checks payable to the Western Illinois Economic Development Authority. An issuance fee of 80 basis points is due at closing. Costs of issuance funded from tax-exempt private activity bond proceeds are limited to 2.0%.

 

Contact: For an application or additional information please contact For more information please contact: Andrew Hamilton, Executive Director, WIEDA Macomb Office: 1406 East Carroll Street, Macomb, IL 61455, Tel: 866-325-7525, Email: andrewjhamilton@wieda.com.

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