Lument Launches Dedicated Affordable Housing Investment Sales and Advisory Group
The top FHA lender and the nation’s sixth-ranked affordable housing lender overall, the company continues its growth pattern.
Lument announced its launch of a dedicated affordable housing investment sales and advisory group as a next step in its goal to become one of the foremost providers of affordable housing solutions in the nation.
Cliff McDaniel will head the initiative and serve as senior managing director. McDaniel has built one of the most successful affordable housing advisory and brokerage groups in the country and brings with him a seasoned team of affordable housing experts, including Derek DeHay and Chris Bergmann, who have been named managing directors. They join Timothy Bracken, managing director, who moved to Lument earlier in 2021, as founding members of the group.
The affordable housing investment sales and advisory group complements Lument’s FHA, Fannie Mae, Freddie Mac, and proprietary lending. Lument is the top FHA lender and the nation’s sixth-ranked affordable housing lender overall.
Since 2017, members of the Lument affordable housing investment sales team have completed more than 240 transactions in more than 30 states, totaling over 30,000 units with an aggregate sales volume in excess of $2 billion. That established Lument as a Top 3 leader in affordable housing investment sales.
Lumen’s dedicated affordable housing unit will be navigating a complex and fragmented market. Costs are a major challenge in the affordable housing market segment and one way to keep these expenses down is to use multiple funding sources, which leads to complex deals that are often too challenging to develop.
A recent report sponsored by Capital One from the Terner Center for Housing Innovation at the University of California Berkeley highlighted the fragmented nature of affordable housing and calls for more streamlined alternatives.
Part of the reason for greater funding complexity is that it has become more expensive to build housing, and LIHTC affordable financing is not immune to this, Desiree Francis, head of community finance at Capital One, told GlobeSt.com in an earlier interview. “The number of stacked financing sources needed has risen in tandem with the rapid increase in building costs.”