Stepping Up to the Plate: Huntington Bank Makes New $150 Million LIHTC Commitment
By Glenn Petherick
3 min read
Huntington Bank has developed quite an appetite for low-income housing tax credits.
The Columbus, Ohio-based regional bank has committed to invest another $150 million in LIHTC properties in Ohio through the Ohio Capital Corporation for Housing (OCCH). The new pledge, expected to finance the construction or preservation of about 2,000 affordable rental housing units, follows a previous $100 million investment commitment by Huntington Bank that was completed in 2012.
“Huntington is taking yet another unprecedented step to support a better Ohio by providing a renewed commitment to affordable housing that bests an already impressive start,” said OCCH President Hal Keller. “This fresh investment infusion will energize Ohio affordable housing by planting a new flag alerting developers that another major capital pool is now available.”
Not counting the latest commitment, Huntington Bank has invested $240 million in multi-investor and proprietary LIHTC funds managed by OCCH since 1989, the year the bank began investing in housing tax credits.
Keller said OCCH started working with Huntington Bank on its prior $100 million commitment in 2009 “when the equity markets were frozen…Without Huntington a lot of deals would have been stalled, not able to start construction.”
The original $100 million commitment, announced in 2010, ended up funding 21 LIHTC properties in Ohio containing about 1,200 units, said Keller. He said the $100 million was expected to be deployed over three years. “But we worked with Huntington,” he says, “to get those dollars into the community over two years. And we’re thrilled to be able to work with Huntington on an even larger commitment.”
Steve Steinour, Chairman, CEO, and President of Huntington Bank, said that after completing the previous $100 million, Huntington Bank and OCCH officials “started talking about what could we do next. And it became very clear that although housing is improving there are still very significant housing needs, for displaced individuals and families in particular.”
“We have the capacity, the equity, the tax appetite to be able to do things in scale and hopefully make a difference throughout Ohio,” he said. “And we do that with great partners, and certainly Hal and his team are great partners.”
Huntington Bank and OCCH simultaneously announced that they will invest $1 million in a health and wellness initiative that will provide services to residents of LIHTC properties throughout the state. Keller indicated that OCCH will partner with YMCAs, YWCAs, and other organizations throughout Ohio to support such activities as sending kids to camp, providing swimming lessons, and putting on training and exercise programs for senior citizens.