Product Overview
Tax Credit Investing
For Developers
The Community Investments Group invests in low-income housing and historic tax credit partnerships with for-profit and non-profit sponsors. The Group:
- Establishes partnerships with developers that have histories of success in and dedication to building long-term, high-quality affordable housing
- Customizes pricing and pay-in schedules to meet the needs of each individual development
The AEGON Community Investments group has been purchasing tax credits since 1987. Staff members have in-depth knowledge of affordable housing development and finance, and can provide insight and expertise on the structure of any tax credit development. We have over 250 partnerships and nearly $3 billion invested in affordable housing nationwide helping to create more than 120,000 units of housing. We are proud to have many repeat clients and a reputation for integrity, responsiveness and timely execution.
The Community Investments group invests directly and on behalf of third-party investors in low-income housing and historic tax credit partnerships with for-profit and non-profit sponsors. We seek development partners with a history of success in building long-term, high quality affordable housing.
With a variety of distribution options, AEGON has the ability to customize pricing and pay-in schedules to meet the needs of each individual development. Each development goes through only one Investment Committee review and one underwriting process. A dedicated team works with each client throughout the closing process to insure efficient and timely closing. We work with LIHTC knowledgeable counsel to effect a timely closing
For Investors
AEGON is uniquely positioned to purchase tax credits utilizing various platforms:
- Traditional Syndication:
AEGON structures funds with corporate investors to acquire tax credits. A unique aspect of the AEGON program is our ability to co-invest alongside third party investors. Our program also enables AEGON to tailor multi investor funds and single investor funds with highly specific investment parameters including CRA.
- Guaranteed Syndication:
Since 2003, AEGON has been syndicating tax benefits to institutional investors with the added security of AEGON's AA- credit rating. To date, we have guaranteed approximately $2 billion in tax benefits. This platform is primarily for clients who require assured delivery of tax credit benefits, certainty of financial returns, and preferable accounting treatment from their investments.
- Direct Investment:
AEGON invests directly to offset our internal corporate income tax liability. Internally we are able to invest in mixed income projects, larger and more complex transactions, as well as projects with layered financing.
These various options give us the opportunity to supply tax benefit streams to suit the needs of a variety of corporate investors, including insurance companies, commercial banks, technology companies and other C-Corporations.