Exhibit 99.1

 

 

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Supplemental Financial Report for the

Quarter Ended June 30, 2024

 

 

 

 

 

 

 

©2024 Greystone & Co. II LLC. All rights reserved. References to the term “Greystone,” refer to Greystone & Co. II LLC and/or its affiliated companies, as applicable.

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Partnership Financial Information

TABLE OF CONTENTS

Letter from the CEO

3

Quarterly Fact Sheet

5

Financial Performance Information

6

Appendices

18

Important Disclosure Notices

22

Other Partnership Information

24

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Letter from the CEO

I am pleased to report Greystone Housing Impact Investors LP’s operating results for the second quarter of 2024. We reported the following financial results as of and for the three months ended June 30, 2024:

Total revenues of $22.0 million.
Net income of $0.19 per Beneficial Unit Certificate (“BUC”), basic and diluted.
Cash Available for Distribution (“CAD”) of $0.27 per BUC.
Total assets of $1.53 billion.
Total Mortgage Revenue Bond (“MRB”) and Governmental Issuer Loan (“GIL”) investments of $1.22 billion.

We reported the following notable transactions during the second quarter of 2024:

Advanced funds on MRB and taxable MRB investments totaling $83.5 million.
Advanced funds on GIL and property loan investments totaling $19.5 million.
Advanced funds to joint venture equity investments totaling $11.7 million.
Received proceeds from the sale of an MRB totaling $8.2 million.
Issued additional BUCs under the Partnership’s “at-the-market” program for gross proceeds of $452,000.

We continue to strategically invest in the affordable multifamily MRB and GIL asset classes where we believe we can earn attractive leveraged returns. We also continue to see consistent operating results from the properties underlying our affordable multifamily MRBs and GILs, with all such investments being current on contractual principal and interest payments as of June 30, 2024.

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Other highlights of our investment portfolio include the following:

We continue to execute on our hedging strategy, primarily through interest rate swaps, to reduce the impact of recently volatile market interest rates. We received net payments under our interest rate swaps of approximately $1.7 million during the three months ended June 30, 2024.
Three joint venture equity investment properties have achieved stabilized operations and three additional properties have begun leasing activities as of June 30, 2024. Six of the Partnership’s joint venture equity investments are currently under construction or in development, with none having experienced material supply chain disruptions for either construction materials or labor to date.

We have noticed traditional bank affordable housing lenders are offering fewer loans or imposing more restrictive terms on borrowers, creating new opportunities for us to pursue beyond our normal pipeline. We will continue to strategically work with strong sponsors on new investment opportunities where traditional sources of capital may not currently be available. We will also continue to seek to develop new relationships, particularly with those sponsors that are existing clients of Greystone and its affiliates.

Thank you for your continued support of Greystone Housing Impact Investors LP!

 

Kenneth C. Rogozinski

Chief Executive Officer

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Second Quarter 2024 Fact Sheet

PARTNERSHIP DETAILS

 

Greystone Housing Impact Investors LP was formed for the primary purpose of acquiring a portfolio of MRBs that are issued to provide construction and/or permanent financing of affordable multifamily residential and commercial properties. We also invest in GILs, which are similar to MRBs, to provide construction financing for affordable multifamily properties. We expect and believe the interest paid on the MRBs and GILs to be excludable from gross income for federal income tax purposes. In addition, we have invested in equity interests in multifamily, market rate properties throughout the U.S. We continue to pursue a business strategy of acquiring additional MRBs and GILs on a leveraged basis, and other investments.

 

(As of June 30, 2024)

 

 

 

Symbol (NYSE)

 

 

GHI

 

Most Recent Quarterly Distribution per BUC (1)

$

0.37

 

 

 

 

 

BUC Price

$

14.81

 

Year to Date Annualized Yield (2)

 

10.9%

 

 

 

 

 

 

BUCs Outstanding

 

 

23,085,261

 

Market Capitalization

 

$

$341,892,715

 

52-week BUC price range

 

$14.49 to $17.55

 

 

 

 

 

 

 

 

 

 

 

Partnership Financial Information for Q2 2024

($’s in 000’s, except per BUC amounts)

 

 

6/30/2024

 

12/31/2023

 

 

 

 

 

 

Total Assets

$1,528,642

 

$1,513,401

 

Leverage Ratio (3)

73%

 

72%

 

 

 

 

 

 

 

Q2 2024

 

YTD 2024

 

 

 

 

 

 

Total Revenue

$21,969

 

$44,340

 

Net Income

$5,178

 

$15,827

 

Cash Available for Distribution (“CAD”) (4)

$6,315

 

$11,544

 

Cash Distributions declared, per BUC (1)

$0.370

 

$0.738

 

BUCs Distributions declared, per BUC (1)

$-

 

$0.070

 

 

(1)
The distribution was paid on July 31, 2024 for BUC holders of record as of June 28, 2024. The distribution is payable to BUC holders of record as of the last business day of the quarter and GHI trades ex-dividend one day prior to the record date, with a payable date of the last business day of the subsequent month. The quarter-to-date distribution consists of the regular quarterly cash distribution of $0.37 per outstanding BUC. The year-to-date distributions consist of $0.74 per BUC of regular quarterly cash distributions plus a supplemental distribution payable in the form of additional BUCs equal to $0.07 per BUC. The year-to-date amounts above have been retroactively adjusted to reflect the BUCs distribution as of the beginning of the periods presented.
(2)
The annualized yield calculation is based on year-to-date distributions declared of $0.81 per BUC.
(3)
Our overall leverage ratio is calculated as total outstanding debt divided by total assets using cost adjusted for paydowns and allowances for MRBs, Governmental Issuer Loans, property loans, taxable MRBs and taxable GILs, and initial cost for deferred financing costs and real estate assets.
(4)
Management utilizes a calculation of Cash Available for Distribution (“CAD”) to assess the Partnership’s operating performance. This is a non-GAAP financial measure. See the Important Disclosure Notices in the Appendices for important information regarding non-GAAP measures. A reconciliation of our GAAP net income (loss) to CAD is provided on page 20 of this report.

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Operating Results Summary

(Dollar amounts in thousands, except per BUC information)

 

 

 

Q2 2023

 

 

Q3 2023

 

 

Q4 2023

 

 

Q1 2024

 

 

Q2 2024

 

Total revenues

 

$

28,303

 

 

$

26,474

 

 

$

25,185

 

 

$

22,371

 

 

$

21,969

 

Total expenses

 

 

(14,343

)

 

 

(16,771

)

 

 

(29,327

)

 

 

(11,667

)

 

 

(17,860

)

Gain on sale of real estate assets

 

 

-

 

 

 

-

 

 

 

10,363

 

 

 

-

 

 

 

64

 

Gain on sale of mortgage revenue bond

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

1,012

 

Gain on sale of investments in unconsolidated entities

 

 

7,326

 

 

 

32

 

 

 

-

 

 

 

50

 

 

 

7

 

Earnings (losses) from investments in unconsolidated entities

 

 

-

 

 

 

-

 

 

 

(18

)

 

 

(107

)

 

 

(15

)

Income tax (expense) benefit

 

 

1

 

 

 

(6

)

 

 

1

 

 

 

1

 

 

 

1

 

Net income

 

$

21,287

 

 

$

9,729

 

 

$

6,204

 

 

$

10,648

 

 

$

5,178

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Per BUC operating metrics(1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income

 

$

0.85

 

 

$

0.39

 

 

$

0.24

 

 

$

0.42

 

 

$

0.19

 

Cash available for distribution

 

$

0.62

 

 

$

0.25

 

 

$

0.27

 

 

$

0.23

 

 

$

0.27

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Per BUC distribution information(1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash distributions declared

 

$

0.37

 

 

$

0.37

 

 

$

0.37

 

 

$

0.37

 

 

$

0.37

 

BUC distributions declared

 

 

0.07

 

 

 

0.07

 

 

 

0.07

 

 

 

0.07

 

 

 

-

 

Total distributions declared

 

$

0.44

 

 

$

0.44

 

 

$

0.44

 

 

$

0.44

 

 

$

0.37

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average BUCs outstanding

 

 

22,639,852

 

 

 

22,734,412

 

 

 

22,852,500

 

 

 

23,000,754

 

 

 

23,083,387

 

BUCs outstanding, end of period

 

 

22,639,852

 

 

 

22,734,375

 

 

 

22,897,187

 

 

 

23,057,328

 

 

 

23,085,261

 

(1)
Per BUC metrics are presented as initially reported and have not been retrospectively adjusted for subsequent distributions payable in the form of additional BUCs.

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Asset Profile

(Dollar amounts in thousands)

 

 

img132136125_4.jpg 

 

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Mortgage Investments to Total Assets Profile

(Dollar amounts in thousands)

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Note: Mortgage Investments include the Partnership’s Mortgage Revenue Bonds, Governmental Issuer Loans, Taxable Mortgage Revenue

Bonds, Taxable Governmental Issuer Loans, and Property Loans that share a first mortgage lien with the Governmental Issuer Loans.

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Debt and Equity Profile

(Dollar amounts in thousands)

img132136125_6.jpg 

 

 

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Debt Financing

(Dollar amounts in thousands)

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(1)
The variable-rate debt financing is hedged through our interest rate swap agreements. Though the variable rate indices may differ, these interest rate swaps have effectively synthetically fixed the interest rate of the related debt financing.
(2)
The securitized assets and related debt financings each have variable interest rates. Though the variable rate indices may differ, the Partnership is largely hedged against rising interest rates.

 

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Debt Investments Activity

(Dollar amounts in thousands)img132136125_8.jpg

Quarterly Activity

Q2 2023

 

Q3 2023

 

Q4 2023

 

Q1 2024

 

Q2 2024

 

Investment Purchases

$

88,552

 

$

46,525

 

$

50,121

 

$

36,371

 

$

102,905

 

Sales and Redemptions

 

(65,511

)

 

(126,121

)

 

(57,293

)

 

(120,050

)

 

(10,281

)

Net Investment Activity

 

23,041

 

 

(79,596

)

 

(7,172

)

 

(83,679

)

 

92,624

 

Net Debt (Proceeds) Repayment

 

(16,330

)

 

68,749

 

 

18,007

 

 

53,348

 

 

(88,657

)

Net Capital Deployed

$

6,711

 

$

(10,847

)

$

10,835

 

$

(30,331

)

$

3,967

 

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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JV Equity Investments Activity

(Dollar amounts in thousands)

img132136125_9.jpg 

Quarterly Activity

Q2 2023

 

Q3 2023

 

Q4 2023

 

Q1 2024

 

Q2 2024

 

JV Equity Contributions

$

3,744

 

$

10,194

 

$

16,104

 

$

6,960

 

$

11,669

 

Return of JV Equity Contributions

 

(9,024

)

 

-

 

 

-

 

 

-

 

 

-

 

Net Investment Activity

 

(5,280

)

 

10,194

 

 

16,104

 

 

6,960

 

 

11,669

 

Net Debt Proceeds

 

-

 

 

-

 

 

-

 

 

-

 

 

(10,000

)

Net Capital Deployed

$

(5,280

)

$

10,194

 

$

16,104

 

$

6,960

 

$

1,669

 

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Net Book Value Waterfall

img132136125_10.jpg 

Note: Per unit data derived from weighted average BUCs outstanding during the period, except for the Net Book Values, which are based on

shares outstanding on the stated date. Numbers may not sum due to rounding. The sales of BUCs during the second quarter were at prices above Net Book Value but did not materially impact overall Net Book Value per BUC.

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Interest Rate Sensitivity Analysis

The interest rate sensitivity table below represents the change in interest income from investments, net of interest on debt and settlement payments for interest rate derivatives over the next twelve months, assuming an immediate parallel shift in the SOFR yield curve and the resulting implied forward rates are realized as a component of this shift in the curve and assuming management does not adjust its strategy in response. The amounts in the table below do not consider any potential unrealized gains or losses from derivatives in determining the net interest income impact.

Description

 

- 100 basis points

 

 

- 50 basis points

 

 

+ 50 basis points

 

 

+ 100 basis points

 

 

+ 200 basis points

 

TOB Debt Financings

 

$

4,539,055

 

 

$

2,269,527

 

 

$

(2,269,527

)

 

$

(4,539,055

)

 

$

(9,078,110

)

TEBS Debt Financings

 

 

38,475

 

 

 

19,237

 

 

 

(19,237

)

 

 

(38,475

)

 

 

(76,949

)

Other Financings & Derivatives

 

 

(3,286,865

)

 

 

(1,643,432

)

 

 

1,643,432

 

 

 

3,286,865

 

 

 

6,573,730

 

Variable Rate Investments

 

 

(445,338

)

 

 

(222,669

)

 

 

222,669

 

 

 

445,338

 

 

 

890,676

 

Net Interest Income Impact

 

$

845,327

 

 

$

422,663

 

 

$

(422,663

)

 

$

(845,327

)

 

$

(1,690,653

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Per BUC Impact (1)

 

$

0.037

 

 

$

0.018

 

 

$

(0.018

)

 

$

(0.037

)

 

$

(0.073

)

 

(1)
The net interest income impact per BUC calculated based on 23,085,261 BUCs outstanding as of June 30, 2024.

 

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Total Revenue & Gain on Sale Trends

(Dollar amounts in thousands)

 

img132136125_11.jpg 

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Operating Expense Trends

(Dollar amounts in thousands)

 

img132136125_12.jpg

(1)
This Item includes unrealized gains and losses on the Partnership's interest rate derivative instruments that are non-cash income (expense) in the period reported.

Since July 1, 2022, the sum of “Salaries and benefits” and “General and administrative” expenses as a percentage of Total Assets has

averaged approximately 0.27% per quarter.

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Tax Income Information Related to Beneficial Unit Certificates

The following table summarizes tax-exempt and taxable income as percentages of total income allocated to the Partnership’s BUCs on Schedule K-1 for tax years 2021 to 2023. This disclosure relates only to income allocated to the Partnership’s BUCs and does not consider an individual unitholder’s basis in the BUCs or potential return of capital as such matters are dependent on the individual unitholders’ specific tax circumstances. The disclosure also assumes that the individual unitholder can utilize all allocated losses and deductions, even though such items may be limited depending on the unitholder’s specific tax circumstances. Such amounts are for all BUC holders in the aggregate during the year. Income is allocated to individual investors monthly and amounts allocated to individual investors may differ from these percentages due to, including, but not limited to, BUC purchases and sales activity and the timing of significant transactions during the year.

 

2023

 

 

2022

 

 

2021

 

 

Tax-exempt income

 

40

%

 

 

25

%

 

 

32

%

 

Taxable income

 

60

%

 

 

75

%

 

 

68

%

 

 

 

100

%

 

 

100

%

 

 

100

%

 

 

Unrelated Business Taxable Income

In recent years, the Partnership has generated little to no Unrelated Business Taxable Income (“UBTI”) for BUC unitholders. For tax years 2021 to 2023, the Partnership generated a net loss from activities considered to be UBTI as reported on investor Schedule K-1s. The rules around UBTI are complex, so please consult your tax advisor.

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Appendices

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

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Operating Results Detail

(Dollar amounts in thousands, except per BUC information)

 

 

Q2 2023

 

 

Q3 2023

 

 

Q4 2023

 

 

Q1 2024

 

 

Q2 2024

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment income

 

$

22,416

 

 

$

20,537

 

 

$

20,010

 

 

$

19,272

 

 

$

19,827

 

Other interest income

 

 

4,646

 

 

 

4,621

 

 

 

4,079

 

 

 

3,004

 

 

 

2,071

 

Property revenues

 

 

1,108

 

 

 

1,199

 

 

 

1,035

 

 

 

-

 

 

 

-

 

Other income

 

 

133

 

 

 

117

 

 

 

61

 

 

 

95

 

 

 

71

 

Total revenues

 

 

28,303

 

 

 

26,474

 

 

 

25,185

 

 

 

22,371

 

 

 

21,969

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate operating (exclusive of items shown below)

 

 

615

 

 

 

874

 

 

 

573

 

 

 

-

 

 

 

-

 

Provision for credit losses

 

 

(774

)

 

 

(562

)

 

 

(466

)

 

 

(806

)

 

 

20

 

Depreciation and amortization

 

 

405

 

 

 

413

 

 

 

314

 

 

 

6

 

 

 

6

 

Interest expense

 

 

17,602

 

 

 

17,926

 

 

 

16,849

 

 

 

13,804

 

 

 

14,898

 

Net result from derivative transactions

 

 

(8,614

)

 

 

(7,209

)

 

 

7,168

 

 

 

(6,268

)

 

 

(1,885

)

General and administrative

 

 

5,109

 

 

 

5,329

 

 

 

4,889

 

 

 

4,931

 

 

 

4,821

 

Total expenses

 

 

14,343

 

 

 

16,771

 

 

 

29,327

 

 

 

11,667

 

 

 

17,860

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other Income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gain on sale of real estate assets

 

 

-

 

 

 

-

 

 

 

10,363

 

 

 

-

 

 

 

64

 

Gain on sale of mortgage revenue bond

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

1,012

 

Gain on sale of investments in unconsolidated entities

 

 

7,326

 

 

 

32

 

 

 

-

 

 

 

50

 

 

 

7

 

Earnings (losses) from investments in unconsolidated entities

 

 

-

 

 

 

-

 

 

 

(18

)

 

 

(107

)

 

 

(15

)

Income before income taxes

 

 

21,286

 

 

 

9,735

 

 

 

6,203

 

 

 

10,647

 

 

 

5,177

 

Income tax expense (benefit)

 

 

(1

)

 

 

6

 

 

 

(1

)

 

 

(1

)

 

 

(1

)

Net income

 

 

21,287

 

 

 

9,729

 

 

 

6,204

 

 

 

10,648

 

 

 

5,178

 

Redeemable preferred unit distributions and accretion

 

 

(799

)

 

 

(700

)

 

 

(623

)

 

 

(767

)

 

 

(741

)

Net income available to partners

 

$

20,488

 

 

$

9,029

 

 

$

5,581

 

 

$

9,881

 

 

$

4,437

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to partners allocated to:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

General partner

 

$

1,010

 

 

$

25

 

 

$

75

 

 

$

98

 

 

$

44

 

Limited partners - BUCs

 

 

19,324

 

 

 

8,922

 

 

 

5,472

 

 

 

9,725

 

 

 

4,324

 

Limited partners - Restricted units

 

 

154

 

 

 

82

 

 

 

34

 

 

 

58

 

 

 

69

 

Net income available to partners

 

$

20,488

 

 

$

9,029

 

 

$

5,581

 

 

$

9,881

 

 

$

4,437

 

 

 

© 2024 Greystone & Co. II LLC

img132136125_3.jpg 19

 


 

Supplemental Financial Report for the Quarter Ended June 30, 2024

img132136125_2.jpg 

 

Cash Available for Distribution (1)

(Dollar amounts in thousands, except per BUC information)

 

 

 

Q2 2023

 

 

Q3 2023

 

 

Q4 2023

 

 

Q1 2024

 

 

Q2 2024

 

 

Net income

 

$

21,287

 

 

$

9,729

 

 

$

6,204

 

 

$

10,648

 

 

$

5,178

 

 

Unrealized (gains) losses on derivatives, net

 

 

(6,020

)

 

 

(4,237

)

 

 

9,994

 

 

 

(4,604

)

 

 

(211

)

 

Depreciation and amortization expense

 

 

405

 

 

 

413

 

 

 

314

 

 

 

6

 

 

 

6

 

 

Provision for credit losses

 

 

(774

)

 

 

(562

)

 

 

(466

)

 

 

(806

)

 

 

189

 

 

Reversal of gain on sale of real estate assets

 

 

-

 

 

 

-

 

 

 

(10,363

)

 

 

-

 

 

 

-

 

 

Amortization of deferred financing costs

 

 

392

 

 

 

353

 

 

 

710

 

 

 

367

 

 

 

460

 

 

Restricted unit compensation expense

 

 

587

 

 

 

603

 

 

 

473

 

 

 

332

 

 

 

558

 

 

Deferred income taxes

 

 

(1

)

 

 

(1

)

 

 

3

 

 

 

3

 

 

 

(1

)

 

Redeemable Preferred Unit distributions and accretion

 

 

(799

)

 

 

(700

)

 

 

(623

)

 

 

(767

)

 

 

(741

)

 

Tier 2 Income allocable to the General Partner

 

 

(878

)

 

 

65

 

 

 

(19

)

 

 

-

 

 

 

-

 

 

Recovery of prior credit loss

 

 

(17

)

 

 

(17

)

 

 

(17

)

 

 

(17

)

 

 

(17

)

 

Bond premium, discount and amortization, net of cash received

 

 

(47

)

 

 

(45

)

 

 

(43

)

 

 

(40

)

 

 

879

 

 

(Earnings) losses from investments in unconsolidated entities

 

 

-

 

 

 

-

 

 

 

18

 

 

 

107

 

 

 

15

 

 

Total Cash Available for Distribution

 

$

14,135

 

 

$

5,601

 

 

$

6,185

 

 

$

5,229

 

 

$

6,315

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of BUCs outstanding, basic

 

 

22,639,852

 

 

 

22,734,412

 

 

 

22,852,500

 

 

 

23,000,754

 

 

 

23,083,387

 

 

Net income per BUC, basic

 

$

0.85

 

 

$

0.39

 

 

$

0.24

 

 

$

0.42

 

 

$

0.19

 

 

Total CAD per BUC, basic

 

$

0.62

 

 

$

0.25

 

 

$

0.27

 

 

$

0.23

 

 

$

0.27

 

 

Cash Distributions declared, per BUC

 

$

0.37

 

 

$

0.37

 

 

$

0.37

 

 

$

0.37

 

 

$

0.37

 

 

BUCs Distributions declared, per BUC (2)

 

$

0.07

 

 

$

0.07

 

 

$

0.07

 

 

$

0.07

 

 

$

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trailing five quarter totals:

 

 

 

 

 

 

 

Net income per BUC, basic

 

 

$

2.10

 

 

 

 

 

 

 

Total CAD per BUC, basic

 

 

$

1.64

 

 

 

 

 

 

 

Cash Distributions declared, per BUC

 

 

$

1.84

 

 

 

 

 

 

 

BUCs Distributions declared, per BUC

 

 

$

0.28

 

 

 

 

 

 

 

 

 

(1)
See the Important Disclosure Notices in the Appendices for important information regarding non-GAAP measures. Per BUC metrics are presented as initially reported and have not been retrospectively adjusted for future distributions payable in the form of additional BUCs.
(2)
See the Important Disclosure Notices in the Appendices for information regarding the BUCs distributions declared.

 

 

© 2024 Greystone & Co. II LLC

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Supplemental Financial Report for the Quarter Ended June 30, 2024

img132136125_2.jpg 

 

Balance Sheet Summary

(Dollar amounts in thousands, except per BUC information)

 

 

 

6/30/2023

 

 

9/30/2023

 

 

12/31/2023

 

 

3/31/2024

 

 

6/30/2024

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash

 

$

59,246

 

 

$

58,918

 

 

$

37,918

 

 

$

56,255

 

 

$

34,036

 

Restricted cash

 

 

45,765

 

 

 

47,908

 

 

 

9,816

 

 

 

14,672

 

 

 

16,861

 

Interest receivable

 

 

10,315

 

 

 

8,712

 

 

 

8,266

 

 

 

7,847

 

 

 

7,193

 

Mortgage revenue bonds, at fair value

 

 

905,964

 

 

 

859,046

 

 

 

930,676

 

 

 

942,746

 

 

 

1,002,052

 

Governmental issuer loans, net

 

 

302,173

 

 

 

254,378

 

 

 

221,653

 

 

 

204,391

 

 

 

213,446

 

Property loans, net

 

 

142,903

 

 

 

115,432

 

 

 

120,508

 

 

 

51,678

 

 

 

61,358

 

Investments in unconsolidated entities

 

 

106,296

 

 

 

118,525

 

 

 

136,653

 

 

 

145,131

 

 

 

157,941

 

Real estate assets, net

 

 

35,563

 

 

 

35,272

 

 

 

4,716

 

 

 

4,716

 

 

 

4,716

 

Other assets

 

 

48,458

 

 

 

48,140

 

 

 

43,195

 

 

 

25,983

 

 

 

31,038

 

Total assets

 

$

1,656,683

 

 

$

1,546,331

 

 

$

1,513,401

 

 

$

1,453,419

 

 

$

1,528,641

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable, accrued expenses and other liabilities

 

$

22,468

 

 

$

23,622

 

 

$

22,958

 

 

$

20,863

 

 

$

21,215

 

Distribution payable

 

 

9,322

 

 

 

8,481

 

 

 

8,584

 

 

 

8,672

 

 

 

8,704

 

Secured lines of credit

 

 

12,500

 

 

 

16,500

 

 

 

33,400

 

 

 

16,500

 

 

 

41,250

 

Debt financing, net

 

 

1,154,030

 

 

 

1,081,410

 

 

 

1,015,030

 

 

 

978,475

 

 

 

1,052,526

 

Mortgages payable, net

 

 

1,690

 

 

 

26,513

 

 

 

1,690

 

 

 

1,690

 

 

 

1,690

 

Total liabilities

 

 

1,200,010

 

 

 

1,156,526

 

 

 

1,081,662

 

 

 

1,026,200

 

 

 

1,125,385

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Redeemable preferred units

 

 

112,421

 

 

 

92,428

 

 

 

82,432

 

 

 

87,389

 

 

 

77,395

 

Partners' capital

 

 

344,252

 

 

 

297,377

 

 

 

349,307

 

 

 

339,830

 

 

 

325,861

 

Total liabilities and partners' capital

 

$

1,656,683

 

 

$

1,546,331

 

 

$

1,513,401

 

 

$

1,453,419

 

 

$

1,528,641

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net book value per BUC

 

$

15.06

 

 

$

12.97

 

 

$

15.17

 

 

$

14.59

 

 

$

13.98

 

 

 

© 2024 Greystone & Co. II LLC

img132136125_3.jpg 21

 


 

Supplemental Financial Report for the Quarter Ended June 30, 2024

img132136125_2.jpg 

 

Important Disclosure Notices

Forward-Looking Statements

All statements in this document other than statements of historical facts, including statements regarding our future results of operations and financial position, business strategy and plans and objectives of management for future operations, are forward-looking statements. When used, statements which are not historical in nature, including those containing words such as “anticipate,” “estimate,” “should,” “expect,” “believe,” “intend,” and similar expressions, are intended to identify forward-looking statements. We have based forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our business, financial condition and results of operations. This document may also contain estimates and other statistical data made by independent parties and by us relating to market size and growth and other industry data. This data involves a number of assumptions and limitations, and you are cautioned not to give undue weight to such estimates. We have not independently verified the statistical and other industry data generated by independent parties contained in this supplement and, accordingly, we cannot guarantee their accuracy or completeness. In addition, projections, assumptions and estimates of our future performance and the future performance of the industries in which we operate are necessarily subject to a high degree of uncertainty and risk due to a variety of factors, including those described under the headings “Item 1A Risk Factors” in our 2023 Annual Report on Form 10-K for the year ended December 31, 2023 and our Quarterly Report on Form 10-Q for the quarter ended June 30, 2024. These forward-looking statements are subject to various risks and uncertainties and Greystone Housing Impact Investors LP (the “Partnership”) expressly disclaims any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Most, but not all, of the selected financial information furnished herein is derived from the Greystone Housing Impact Investors LP’s consolidated financial statements and related notes prepared in conformity with generally accepted accounting principles in the United States of America (“GAAP”) and management’s discussion and analysis of financial condition and results of operations included in the Partnership’s reports on Forms 10-K and 10-Q. The Partnership’s annual consolidated financial statements were subject to an independent audit, dated February 22, 2024.

Disclosure Regarding Non-GAAP Measures

This document refers to certain financial measures that are identified as non-GAAP. We believe these non-GAAP measures are helpful to investors because they are the key information used by management to analyze our operations. This supplemental information should not be considered in isolation or as a substitute for the related GAAP measures.

Please see the consolidated financial statements we filed with the Securities and Exchange Commission on Forms 10-K and 10-Q. Our GAAP consolidated financial statements can be located upon searching for the Partnership’s filings at www.sec.gov.

Other Information

On September 14, 2022, the Partnership declared a supplemental distribution payable in the form of additional BUCs equal to $0.20 per BUC (the “Third Quarter 2022 BUCs Distribution”). The Third Quarter 2022 BUCs Distribution was paid at a ratio of 0.01044 BUCs for each issued and outstanding BUC as of the record date of September 30, 2022, which represents an amount per BUC based on the closing price of the BUCs on the Nasdaq Stock Market LLC on September 13, 2022. The Third Quarter 2022 BUCs Distribution was completed on October 31, 2022.

 

© 2024 Greystone & Co. II LLC

img132136125_3.jpg 22

 


 

Supplemental Financial Report for the Quarter Ended June 30, 2024

img132136125_2.jpg 

 

On December 19, 2022, the Partnership declared a supplemental distribution payable in the form of additional BUCs equal to $0.20 per BUC (the “Fourth Quarter 2022 BUCs Distribution”). The Fourth Quarter 2022 BUCs Distribution was paid at a ratio of 0.0105 BUCs for each issued and outstanding BUC as of the record date of December 30, 2022, which represents an amount per BUC based on the closing price of the BUCs on the New York Stock Exchange ("NYSE") on December 16, 2022. The Fourth Quarter 2022 BUCs Distribution was completed on January 31, 2023.

On June 14, 2023, the Partnership declared a supplemental distribution payable in the form of additional BUCs equal to $0.07 per BUC (the “Second Quarter 2023 BUCs Distribution”). The Second Quarter 2023 BUCs Distribution was paid at a ratio of 0.00448 BUCs for each issued and outstanding BUC as of the record date of June 30, 2023, which represents an amount per BUC based on the closing price of the BUCs on the NYSE on June 13, 2023. The Second Quarter 2023 BUCs Distribution was completed on July 31, 2023.

On September 13, 2023, the Partnership declared a supplemental distribution payable in the form of additional BUCs equal to $0.07 per BUC (the “Third Quarter 2023 BUCs Distribution”). The Third Quarter 2023 BUCs Distribution was paid at a ratio of 0.00418 BUCs for each issued and outstanding BUC as of the record date of September 29, 2023, which represents an amount per BUC based on the closing price of the BUCs on the NYSE on September 12, 2023. The Third Quarter 2023 BUCs Distribution was completed on October 31, 2023.

On December 13, 2023, the Partnership declared a supplemental distribution payable in the form of additional BUCs equal to $0.07 per BUC (the “Fourth Quarter 2023 BUCs Distribution”). The Fourth Quarter 2023 BUCs Distribution was paid at a ratio of 0.00415 BUCs for each issued and outstanding BUC as of the record date of December 29, 2023, which represents an amount per BUC based on the closing price of the BUCs on the NYSE on December 12, 2023. The Fourth Quarter 2023 BUCs Distribution was completed on January 31, 2024.

On March 13, 2024, the Partnership declared a supplemental distribution payable in the form of additional BUCs equal to $0.07 per BUC (the “First Quarter 2024 BUCs Distribution”, collectively with the Third Quarter 2022 BUCs Distribution, the Fourth Quarter 2022 BUCs Distribution, the Second Quarter 2023 BUCs Distribution, the Third Quarter 2023 BUCs Distribution, and the Fourth Quarter 2023 BUCs Distribution, the “BUCs Distributions”). The First Quarter 2024 BUCs Distribution was paid at a ratio of 0.00417 BUCs for each issued and outstanding BUC as of the record date of March 28, 2024, which represents an amount per BUC based on the closing price of the BUCs on the NYSE on March 12, 2024. The First Quarter 2024 BUCs Distribution was completed on April 30, 2024.

There were no fractional BUCs issued in connection with the BUCs Distributions. All fractional BUCs resulting from the BUCs Distributions received cash for such fraction based on the market value of the BUCs on the record date.

Unless noted otherwise herein, the BUCs Distributions have been applied retroactively to all net income per BUC, distributions per BUC and similar per BUC disclosures for all periods indicated in this supplemental financial report.

 

 

© 2024 Greystone & Co. II LLC

img132136125_3.jpg 23

 


 

Supplemental Financial Report for the Quarter Ended June 30, 2024

img132136125_2.jpg 

 

Other Partnership Information

Corporate Office:

 

 

Transfer Agent:

 

14301 FNB Parkway

 

 

Equiniti Trust Company, LLC

Suite 211

 

 

48 Wall Street, Floor 23

Omaha, NE 68154

 

 

New York, NY 10005

Phone:

402-952-1235

 

HelpAST@equiniti.com

Investor & K-1 Services:

855-428-2951

 

Phone: 718-921-8124

 

Web Site:

www.ghiinvestors.com

 

    800-937-5449

 

K-1 Services Email:

ghiK1s@greyco.com

 

 

Ticker Symbol (NYSE):

GHI

 

 

 

 

Corporate Counsel:

 

Independent Accountants:

Barnes & Thornburg LLP

 

PwC

11 S. Meridian Street

 

1 North Wacker Drive

Indianapolis, IN 46204

 

Chicago, Illinois 60606

 

 

 

Board of Managers of Greystone AF Manager LLC:

(acting as the directors of Greystone Housing Impact Investors LP)

 

 

 

Stephen Rosenberg

Chairman of the Board

 

Jeffrey M. Baevsky

Manager

 

Drew C. Fletcher

Manager

 

Steven C. Lilly

Manager

 

W. Kimball Griffith

Manager

 

Deborah A. Wilson

Manager

 

Robert K. Jacobsen

Manager

 

 

 

 

Corporate Officers:

Kenneth C. Rogozinski

Chief Executive Officer

 

Jesse A. Coury

Chief Financial Officer

 

 

 

 

© 2024 Greystone & Co. II LLC

img132136125_3.jpg 24