Regular Governing Body Meeting - Second Wednesday — Wed, Sep 9, 2026 · 8.c Bella Luz/Lamplighter Update. (Jen Lopez, Project Moxi and Andrea Phillips, Deputy City Manager, akphillips@santafenm.gov)
Bella Lu z Up d a te 9% Tax Credit Model Presented by Jenn Lopez September 9, 2026 Jenn Lopez President & Founder Sara Monge Vice President of Community Strategy Kristiana Elite Project Analyst Project Moxie is an affordable housing and homelessness solutions strategy consulting firm. Working alongside communities, we connect them with the right resources and funding to create affordable, green, and safe housing for everyone, everywhere. Josie Butler Vice President of Affordable Housing Development Marietta Linney Project Manager PROJECT MOXIE 3 1. Ba c kg round 2. LIHTC Fra m e work (Low Inc om e Housing Ta x Cre d it) 3. Pre lim ina ry Scoring Outlook for a 9% LIHTC Project 4. Preliminary Financial Underwriting Outlook for a 9% LIHTC Project 5. Project Timeline 6. Potential Next Steps Agenda 4 Project Background 5 Co-Sponsor: Ne w Me xic o Coa lition to End Hom e le ssne ss Co-Sponsor and Bridge Funder: Anc horum Developer: Je ff Curry (JL Gra y) Project Funders: Sa nta Fe City a nd County, Sta te of Ne w Me xic o, Thornb urg Found a tion, Sa nta Fe Com m unity Found a tion, Housing Ne w Me xic o Early Community Partnership Consultants: Je nn Lop e z a nd Ma risol Atkins Pr oject Sp on sor s a n d Ad voca tes 6 Orig inally the Lam p lig hte r Mote l, re nam e d b y owne rship in 20 22 to Be lla Luz. A uniq ue ac q uisition of a m ote l in an id e al loc ation for afford ab le housing . The m ote l would b e c onve rte d to 58 afford ab le housing with a sm all se t-asid e of units for sp e c ial ne e d s c lie nts. The d e ve lop m e nt te am ’s g oal was to ac c e ss one -tim e , once -in-a-generation federal funding to c onve rt m ote l room s into long -te rm afford ab le re ntal units. The m ajority of fund s we re se c ure d b y Be lla Luz Ap artm e nts 20 22 LLLP (JL Gray and Anc horum ) Pr oject Histor y 7 Fir st Qu a r ter 2026 ■ Be lla Luz Te am c am e to p roje c t stake hold e rs to fill the re m aining g ap of $ 2.3 m illion with the g oal of c losing in Marc h of 20 26 . ■ By the e nd of Fe b ruary loc al g ove rnm e nts and p hilanthrop y fille d the g ap .Thank you!!! ■ In Marc h DFA d e c lare d that $ 4.2 m illion was not availab le d ue to a m isund e rstand ing of the fund ’s e xp e nd iture d e ad line . This announc e m e nt e sse ntially “kille d ” the p roje c t. 8 Pr eser vin g Th is Op p or tu n ity ■ In Marc h, Je nn and Je ff b e g an ind ivid ual c onve rsations with p roje c t fund e rs and b e g an b uild ing -out an alte rnative financ ial m od e l. ■ Give n the sig nific ant c oord ination, tim e , and inve stm e nt alre ad y d e vote d to this p roje c t, allowing the p rop e rty to b e d isp ose d of without d e live ring housing would sq uand e r ye ars of work and a c ritic al op p ortunity to e xp and afford ab le housing whe n the c om m unity ne e d s it m ost. ■ This p re se ntation outline s how a 9% LIHTC financ ing struc ture (Low Inc om e Housing Tax Cre d it) offe rs a viab le p ath forward following the c ollap se of the orig inal financ ing p lan, and the c ond itions to m ake it suc c e ssful. 9 LIHTC Framework (Low Income Housing Tax Credit) 10 Low In com e Hou sin g Ta x Cr ed its (LIHTC) LIHTC is the nation's p rim ary financ ing sourc e for afford ab le re ntal housing . W hile the p roc e ss is c om p le x, it is a we ll-e stab lishe d p rog ram with a 40 -ye ar trac k re c ord . LIHTC e q uity c re ate s 50 -70 % of the c ap ital ne e d e d to b uild an afford ab le housing p roje c t, The p roc e ss is te c hnic al and re q uire s an e xp e rie nc e d LIHTC d e ve lop m e nt te am . It is the only fe asib le financ ing ap p roac h the te am id e ntifie d to p re se rve the e xisting inve stm e nts and d e live r afford ab le housing on this site , 11 LIHTC Fr a m ew or k The 9% LIHTC p rog ram , ad m iniste re d b y Housing Ne w Me xic o, is a c om p e titive p roc e ss that e valuate s p roje c ts b ase d on thre shold re q uire m e nts, sc oring c rite ria, and financ ial und e rwriting . Proje c ts m ust d e m onstrate that the y m e e t b ase line e lig ib ility re q uire m e nts, alig n with state housing p rioritie s, and are financ ially viab le ove r the long te rm . W hile the LIHTC p rog ram is c om p e titive , it is also a we ll-e stab lishe d and p re d ic tab le financ ing tool. Projects that are appropriately structured and aligned with program priorities are consistently able to secure awards and m ove into c onstruc tion and e ve ntual p roje c t le ase -up . 12 LIHTC Fr a m ew or k and Bella Luz The Bella Luz Project is well -positioned within this LIHTC framework. The c urre nt c onc e p t inc lud e s 59 units, with a unit m ix of stud ios and one -b e d room s se rving house hold s b e twe e n 30 % and 6 0 % of are a m e d ian inc om e (“AMI”). The p roje c t’s ad ap tive re use of an e xisting m ote l struc ture , along with its loc ation and afford ab ility m od e l, alig ns with se ve ral ke y sc oring c ate g orie s within Housing Ne w Me xic o’s c urre nt Qualifie d Alloc ation Plan (QAP), whic h is the g uid ing d oc um e nt for q ualifying and sc oring p ote ntial p roje c ts. 13 Preliminary Scoring Outlook for a 9% LIHTC Pr oject Base d on a re vie w of the 20 27 Draft Qualifie d Alloc ation Plan (QAP), the project is anticipated to be competitive within the sc oring rang e s of re c e ntly fund e d p roje c ts, assum ing it is struc ture d to m axim ize ke y sc oring c ate g orie s. Some of the projects favorable scoring elements include: ■ Proje c t’s loc ation is e xp e c te d to p e rform we ll within the g e og rap hic sc oring c rite ria. ■ Prop ose d inc om e targ e ting , p artic ularly at the lowe r e nd of the AMI sp e c trum , p ositions the p roje c t to m axim ize sc ore s in afford ab ility c ate g orie s. ■ The ad ap tive re use of the e xisting struc ture p rovid e s an ad d itional c om p e titive ad vantag e , as d oe s a c om m itm e nt to an e xte nd e d afford ab ility p e riod of 50 ye ars. 14 NEW DEVELOPER PARTNER 15 TWG is a na tiona l d e ve lop m e nt g roup who is c urre ntly working in Sa nta Fe on the Nue va Ac e q uia De ve lop m e nt. As a na tiona l d e ve lop m e nt g roup the y ha ve sig nific a nt e xp e rie nc e with re ha b ilita tion p roje c ts a nd with the LIHTC p rog ra m . The ir Le a d e rship re vie we d our fina nc ia l p roje c tions, m e t with Je ff Curry to und e rsta nd the d e ve lop m e nt m od e l a nd p roje c t la yout a nd we re form a lly a p p rove d to p ursue this d e a l in la te Aug ust. The y ne e d the forb e a ra nc e a g re e m e nt to b e e xe c ute d in ord e r to b e g in p re p a ring the LIHTC a p p lic a tion. New Development Partner: TWG 16 Founded In 2007 Headquartered In I N0IANAPOLIS . JN MARKET RATE DEVE LOPMENT Market Rate & Mixed-Use Conventlonel Flnanolng Historic Tax Credits Opportunity zones 100-300+ units Equity Sourc,:es: Private Family Office Private Equity Funds Publlo Private Partnerships 70+ Employees $3B+ Development Costs 130+ Developments 15,000+ units Developed TAX CR E DIT DE VE LOPMENT Low Income Housing Tox Credits 9% LIHTC 4% Bonds-mixed Income so 250+ units Affordable AcqulslUons: 450+ units Equity sources: Federal Tale Credits State Tax Credits Historic Tax credits local Funding 28 I Gll!iOB Projects TDC I DEAL SIZE $25.MM - $73MM+ Deal size I$8MM - $130MM+ $2B TDC I 106 PQOJEOTS TONY KNOBLE ceo tony@twgdev.com JOEL HENNEY Chief Investment Officer jhenney@twgdev.com I CHASE SMITH VP of Market Rate Development csmith@twgdev.com Ryan KELLY VP or Tax CreditI Development rkelly@twgdev.com Bridget HILTS VP of Operations bhilts@twgdev.com 17 Nu eva Aceq u ia - Project Renderings 18 Resid en ces a t Du r a n go 19 Th e For b ea r a n ce Agr eem en t Estab lishe s forb e aranc e p e riod . Transitions d e ve lop e r and p artne r role from JL Gray to TW G De ve lop m e nt. Confirm s ong oing ob lig ations. De sc rib e s te rm ination c ond itions. De sc rib e s an ord e rly workout if the p roje c t d oe s not re c e ive fund s. It p rote c ts City and County rig hts in the p roje c t. 20 Project Timeline 21 Cu r r en t Pr oject Tim elin e Com p le te Forb e a ra nc e Ag re e m e nt b y Mid -Se p te m b e r 20 26. TW G b e g ins p a c ka g ing LIHTC a p p lic a tion a nd sub m its Fe b 20 27. TW G works on a g re e m e nt with Sa nta Fe County to ob ta in p rop e rty ta x e xe m p tion if a wa rd e d LIHTC– Oc tob e r. TW G a p p lie s for a d d itiona l g a p fund s Oc tob e r 20 27- July 20 27. LIHTC Awa rd s Ma y/ June 20 27. Fina nc ia l Closing a nd c onstruc tion b e g ins la te 20 27/ e a rly 20 28. Qu estion s? Jenn Lopez jenn@goprojectmoxie.com