Realize the Value of Tax Credits.
In the current dynamic environment where state and federal governments provide tax credits as incentives to achieve various public policy goals, many developers and other businesses that create credits often find it difficult to recognize the full economic value of those tax credits. Tower Tax Credits assists them in realizing the financial potential of their credits.
Based on the combined experience of our principals in investment banking, real estate finance and development and creative tax oriented financial structuring, we are in a unique position to assist in evaluating the economic benefits that may be available in tax credit activities.
What Does This Mean for Developers and Other Generators of Credits?
Tax credit generating businesses have an advantage. In the course of executing their core business, they create a special type of asset, tax credits, that can be:
- spun off into tax credit funds;
- accumulated for internal use or sale at a later time, or
- liquidated immediately through sale to a third party.
The costs and complexity of following these options require substantial overhead, expertise and discipline that most business enterprises do not have.
In the final analysis, the optimum use of tax credits is likely to monetize them and enjoy the time value of the money to be derived from the current sale. Tower Tax Credits has the experience, expertise and financial power to meet your needs now and make the sale happen.
Implications for Financial Institutions and National Syndicators
Importantly, we understand that each client has unique circumstances surrounding their project. Most tax credit transactions are complex by their very nature and in addition to the project owner often involve numerous stakeholders such as accountants, attorneys, and financial institutions among many others. We understand the necessity to work closely with them all with a minimum of complication. Our philosophy is to maintain flexibility and creativity in order to develop the financial structure and the relationships necessary for mutual success.
Institutions that provide financing for tax credit generating companies each have their own criteria for making investments. In addition to these internal requirements, outside investors have unique parameters that must be met to facilitate a financing. At times, these criteria may be in conflict or may lack the flexibility to meet all the financial needs of to make a transaction work. In these circumstances, Tower Tax Credits can be a valuable resource. We have the creativity and flexibility to meet objectives and to address concerns regarding:
- pricing for the credit;
- timing of the cash investment;
- dealing with delivery adjustments;
- understanding guarantees, or
- avoiding the creation of an asset management administrative quagmire.
Let Us Put Your Tax Credits to Work
With meaningful management experience in investment banking and real estate, Tower Tax Credits understands the requirements of real estate developers as well as energy, environmental remediation and other tax credit generating companies. We can provide equity capital for projects at prices and on a schedule that optimizes financial needs. Well capitalized and ready to move rapidly, Tower Tax Credits can assure developers receive timely payment on route to achieving development goals.
Monetize now and sell available tax credits today. Count on Tower Tax Credits to to find a solution that will win the day.
We look forward to using our expertise to help meet tax credit and equity capital needs.