Rentana Knowledge Base

Resyndication in real estate refers to the process of restructuring and refinancing an existing real estate investment. This is often done within the affordable housing sector.

This strategy allows property owners to extend the affordability of housing while potentially gaining new financial benefits.

Resyndication is typically employed when an affordable housing property, originally funded through Low-Income Housing Tax Credits (LIHTC), completes its initial compliance period and requires additional credits for preservation.

Resyndication often involves combining several small properties into a larger partnership. Doing this can improve eligibility for certain types of financing and tax benefits.

This can help property owners maintain the affordability and quality of housing units even after the original financing terms have expired. Notably, it's an opportunity to address any issues that may have developed over time and to enhance the property's overall marketability.

By leveraging resyndication, property owners and investors play a critical role in preserving affordable housing options. This approach not only ensures the continued availability of low-cost housing but also aligns with broader community development goals, making it a crucial tool in the realm of real estate finance.