Other Assets

12 Months Ended

Dec. 31, 2024

9. Other Assets

The following table summarizes the Partnership’s other assets as of December 31, 2024 and 2023:


	December 31, 2024			December 31, 2023
Deferred financing costs, net	$	653,510		$	850,726
Derivative instruments at fair value (Note 15)		6,980,820			5,254,663
Taxable mortgage revenue bonds, at fair value		26,671,085			21,460,288
Taxable governmental issuer loans:
Taxable governmental issuer loans		14,157,672			13,573,000
Allowance for credit losses (Note 10)		(76,000	)		(77,000	)
Taxable governmental issuer loans, net		14,081,672			13,496,000
Bond purchase commitment, at fair value (Note 16)		-			197,788
Other assets		1,462,333			1,935,005
Total other assets	$	49,849,420		$	43,194,470

The Partnership has remaining commitments to provide additional funding of taxable MRBs and taxable GILs during construction and/or rehabilitation of the secured properties as of December 31, 2024. See Note 16 for further information regarding the Partnership’s remaining taxable GIL and taxable MRB funding commitments.

See Note 10 for information regarding the Partnership’s allowance for credit losses related to its taxable GILs.

See Note 21 for a description of the methodology and significant assumptions for determining the fair value of derivative instruments, taxable MRBs, one taxable GIL, and bond purchase commitments. Unrealized gains or losses on derivative instruments are reported as “Net result from derivative transactions” in the Partnership’s consolidated statements of operations. Unrealized gains and losses on taxable MRBs, one taxable GIL, and bond purchase commitments are recorded in the Partnership’s consolidated statements of comprehensive income to reflect changes in their estimated fair values resulting from market conditions and fluctuations in the present value of the expected cash flows from the assets.

As of December 31, 2024, nine taxable MRBs and three taxable GILs with reported principal values totaling approximately $40.1 million were held in trust in connection with TOB trust financings (Note 13).

Activity in 2024

The following table includes details of the taxable MRBs and taxable GILs acquired during the year ended December 31, 2024:

        Property Name

        Month
Acquired

        Property Location

        Units

        Maturity Date

        Interest Rate

        Initial Principal Funding

        Taxable MRB

Woodington Gardens Apartments - Series A-2

April 2024

Baltimore, MD

197

5/1/2029

7.80%

2,577,000

        Taxable GIL

Natchitoches Thomas Apartments

December 2024

Natchitoches, LA

120

7/1/2027

7.92%

1,000,000

Total

3,577,000

The following taxable MRB and taxable GIL principal payments were received during the year ended December 31, 2024:

        Property Name

        Month
Redeemed

        Property Location

        Units

        Original
Maturity Date

        Interest Rate

        Principal
Redeemed

        Taxable MRBs

Residency at the Mayer Series A-T (1)

March 2024

Hollywood, CA

79

10/1/2024

SOFR + 3.70%

(2)

11,500,000

Residency at the Mayer Series A-T

September 2024

Hollywood, CA

79

10/1/2024

SOFR + 3.70%

(2)

1,000,000

Subtotal

12,500,000

        Taxable GILs

Hope on Avalon

January 2024

Los Angeles, CA

88

2/1/2024

SOFR + 3.55%

10,573,000

Total

23,073,000

(1)

The borrower re-allocated $11.5 million of previously provided funding from a taxable MRB to a new MRB during the acquisition and rehabilitation phase of the property.

(2)

The interest rate is subject to an all-in floor of 3.95%.

Activity in 2023

The following table includes details of the taxable MRBs acquired during the year ended December 31, 2023:


Property Name	Date Committed	Maturity Date	Initial Principal Funding		Total Commitment
Windsor Shores Apartments - Series B	January 2023	2/1/2030	$	805,000	$	805,000
Village at Hanford Square - Series H-T	May 2023	5/1/2030		1,000,000		10,400,000
40rty on Colony - Series P-T	June 2023	6/1/2030		1,100,000		5,950,000
Subtotal					$	17,155,000

In July 2023, the Ocotillo Springs property achieved stabilization and the borrower converted to permanent financing. The Ocotillo Springs - Series A-T taxable MRB with outstanding principal of $7.0 million was redeemed in full.

In July 2023, the Partnership recognized a fee of approximately $32,000 in other income in connection with an extension of the maturity date of the Hope on Avalon taxable GIL to February 1, 2024.