We are a national,
full-service tax credit
equity syndicator.

Tax Credit Equity

Merchants Capital is a one-stop shop, for all aspects of affordable housing finance.

We are innovators in the industry. Our team of tax, acquisitions, asset management, and syndication experts offer structured equity investment solutions for the nation’s leading affordable housing developers and investors through proprietary, multi-investor, historic, and state tax credit funds. Co-investments are available from our bank parent-company.

  • Over $1.4B
    Equity Raised Since Inception
    As of 12/31/2023
  • 40+
    Active Investors
  • 100%
    Funds at or Above Proforma Yields

The Merchants Advantage

For Investors

The Merchants Advantage

For Developers

Volunteers working in a community garden

Social Impact

We do well by doing good. Our portfolio is designed to create opportunity, improve neighborhoods, and elevate the communities we serve. Some of our multi-investor and proprietary funds offer optional social-impact reserves, deploying investor capital into services, improvements, or enhancements to benefit tenants.

Recent Transactions

This image shows a rendering of the Marvetta & Anthony Grimes Family Center.
CARMEL, Ind. (July 16, 2024)—Leading financial services provider Merchants Capital today announced that it secured $17.1 million in financing for The Marvetta & Anthony Grimes Family Center, a 36-unit Indianapolis-based supportive housing development for households recovering from addiction. Merchants Capital provided $9.5 million in low-income housing tax credit equity (LIHTC) financing, and Merchants Bank provided a $7.6 million equity bridge loan. Financing from The Indiana Housing & Community Development Authority (IHCDA) included a $750,000 Development Fund Loan in addition to 9% low-income housing tax credits as part of the Emerging Developer 2023 Rental Housing Tax Credit (RHTC) General Set-Aside. Additional partners include First Merchants Bank and The National Bank of Indianapolis. 2 Thirty-Eight Properties, LLC (2 Thirty-Eight) developed Marvetta & Anthony Grimes Family Center in collaboration with Seeds of Hope to accommodate a shortage of recovery centers in the area. RealAmerica Companies is the development consultant and general contractor; RealAmerica Management will serve as the property management company. Volunteers of America Ohio and Indiana and Seeds of Hope will provide on-site services and support for families in recovery, and St. Mary’s Early Childhood Center will provide daycare services. The development comprises two two-story garden-style buildings that house 24 two-bedroom units, 12 three-bedroom units and an on-site daycare center, medical offices and community and supportive services. Tenants will be referred by the Father Glen O’Connor Home, a Seeds of Hope-owned property, and a referral network that includes Indianapolis-area organizations: Heart Rock Recovery House, Wheeler Mission Center for Women & Children, The Salvation Army Women & Children, Dove Recovery House and Firefly Children and Family Alliance. “I'm thrilled to be a part of a housing development that's changing the lives of current and future generations,” said Frederick Yeakey, Principal & Founder of 2 Thirty-Eight Properties. “With this being my first development, it was important to address a need that can impact housing and other factors that can greatly affect the cycle of poverty. My development team was incredible, and our partners on this project will provide the expertise and council needed for years to come.” The Marvetta & Anthony Grimes Family Center will be located in West Indianapolis, 0.7 miles east of Interstate 465, in close proximity to an IndyGo bus stop, restaurants, grocery and various retail outlets. Construction began in May 2024 and is scheduled for completion in July 2025. To learn more about Merchants Capital and its services, visit www.merchantscapital.com or find Merchants Capital on Facebook, X, LinkedIn and Instagram.
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Merchants Capital Secures $17.1 Million for Indianapolis-based Supportive Housing Development
CARMEL, Ind. (June 10, 2023) – Leading financial services provider Merchants Capital today announced that it has secured more than $81 million in total financing on behalf of Magnus Capital Partners (Magnus) for HōM Flats at 24 East, a mixed-use, mixed-income ground-up development in Holland, Mich. HōM Flats is a best-in-class workforce housing platform that prioritizes affordability, quality and community engagement. HōM Flats at 24 East is financed through private and public funding sources, including a 4% low-income housing tax credit (LIHTC) allocation from Michigan State Housing Development Authority (MSHDA). Merchants Capital provided $14.2 million in LIHTC equity, a $27.9 million Freddie Mac unfunded forward tax-exempt loan (TEL) and Merchants Bank provided a $31 million construction loan and $8 million equity bridge loan. “This was a team effort across the board—with all of the stakeholders aligned, we executed efficiently,” said Joseph Krengel, Senior Vice President of Originations at Merchants Capital. “Merchants is proud of our partnership with Magnus Capital Partners and collaboration throughout this innovative transaction. We look forward to witnessing the impact of HōM Flats at 24 East’s workforce housing solutions in the area.”  The project will feature 202 residential units, more than 13,000 square feet of new retail space and amenities common in Class A luxury properties, including kitchen islands, full-size washer and dryer, secured key fob access and open floor plans. Magnus has already identified a locally owned childcare provider for 8,800 square feet and will share details as construction progresses. Magnus also created the Preferred Employer and PASS partnership programs to connect local employees with quality housing options and promote patronage of local businesses. “HōM Flats at 24 East brings the best of rental housing, childcare and locally owned businesses to a rapidly growing economic corridor,” said Magnus Capital Partners CEO and Founder Vishal Arora. “We are delighted to see this project move forward.” “We are proud to partner with Magnus Capital Partners and MSHDA to provide $14.2 million in LIHTC equity—and bring 202 units of affordable housing to the community of Holland, Michigan,” said Josh Reed, Executive Vice President of LIHTC Acquisitions at Merchants Capital. The project comprises 64 one-bedroom units, 108 two-bedroom units and 30 three-bedroom units. It is being designed and constructed according to the National Green Building Standard Silver Certification. The property will feature common resident spaces, including a pickleball court, fitness studio, co-working lounge, cafe, indoor and outdoor children’s play areas, secure package delivery area, pet washing stations, indoor bike storage, rooftop terraces and walking paths. HōM Flats at 24 East will be located at 717 East 24th Street, adjacent to a Macatawa Express bus stop and near US-31 and 196 highways, both major transit corridors in West Michigan. Community resources include three grocers, a pharmacy, a medical provider, Van Raalte Farm Park, Holland Heights Park, Morningside Park, Lake Michigan beaches, public schools and higher education facilities, including Holland Early College, GRCC Lakeshore Campus and Hope College.  Construction on HōM Flats at 24 East began in April 2024, with an expected completion within 20 months. Magnus hosted a groundbreaking event on June 6. To learn more about Merchants Capital and its services, visit www.merchantscapital.com or find Merchants Capital on Facebook, X, LinkedIn and Instagram.
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Merchants Capital Provides $81Million+ Total Financing for New Michigan-Based, Mixed-Use Workforce Development
CARMEL, Ind. (May 21, 2023) – Leading financial services provider Merchants Capital today announced the addition of Michael Larsen to its executive leadership team in the new role of Chief Financial Officer. Larsen oversees Merchants’ accounting and finance platform and is based in the New York office. The position was created in response to Merchants’ organizational growth and platform complexity with expansion in low-income housing tax credit (LIHTC) syndications, multifamily & healthcare securitizations and growing agency platform. Michael Larsen Larsen brings more than 20 years of industry experience to the position. He most recently served as President and Chief Operating Officer at Lument, a leading agency lender. In these roles, he provided executive leadership for all aspects of real estate lending and investment management for a platform with $16 billion in annual volume and $50 billion in assets under management. Prior to that role, he was Chief Operating Officer and Chief Financial Officer at Hunt Real Estate Capital and Centerline Capital Group, a publicly traded mortgage banking and investment management company. Larsen began his career in real estate consulting and structured finance practices at Arthur Andersen. “Mike brings a deep understanding of both agency lending and LIHTC syndications, which are core to Merchants’ growth plans,” said Michael Dury, President and Chief Executive Officer at Merchants Capital. “His skillsets and leadership proficiency complement those of our executive team, and I can’t wait to see the positive impact he will have on our entire organization.” Larsen received a Bachelor of Arts from the University of Pennsylvania and a Master of Business Administration from Columbia University. To learn more about Merchants Capital and its services, visit www.merchantscapital.com or find Merchants Capital on Facebook, X, LinkedIn and Instagram.
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Michael Larsen Joins Merchants Capital as Chief Financial Officer

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