In January 2023, Vantage at Stone Creek and Vantage at Coventry, at the direction of the respective managing members, sold substantially all their assets to an unrelated third party and ceased operations. The Partnership received net cash of approximately $27.7 million, inclusive of the return of its contributed equity. The Partnership will recognize a gain on sale of approximately $15.2 million, before settlement of final proceeds and expenses, in the first quarter of 2023.

In January 2023, the Partnership originated MRB and taxable MRB investments secured by Windsor Shores Apartments and The Ivy Apartments. The Partnership paid a referral fee to an affiliate of Greystone of approximately $76,000 related to The Ivy MRB origination. The following table summarizes the terms of the Partnership’s MRB and taxable MRB investments:

Property Name

Month
Acquired

Property Location

Units

Maturity Date

Interest Rate

Principal Funded

Windsor Shores Apartments - MRB

January

Columbia, SC

176

2/1/2030

6.50%

21,545,000

Windsor Shores Apartments - taxable MRB

January

Columbia, SC

176

2/1/2030

6.50%

805,000

The Ivy Apartments - MRB

January

Greenville, SC

212

2/1/2030

6.50%

30,500,000

52,850,000

In January and February 2023, the Partnership entered into four TOB trust financing arrangements with Mizuho. The TOB trust financings allow for additional borrowings as the Partnership makes additional advances for the related funding commitments, if applicable. A portion of the proceeds was used to repay the outstanding balance on the Partnership’s Acquisition LOC. The following table summarizes the securitized assets and the initial terms of the TOB trust financings:


TOB Trusts Securitization	TOB Trust Financing		Stated Maturity	Interest Rate Type	Tax-Exempt Interest on Senior Securities	Remarketing Senior Securities Rate	Facility Fees	Interest Rate
Residency at Empire MRBs	$	14,400,000	January 2026	Variable	Yes	3.38%	1.42%	4.80%
Windsor Shores Apartments MRB		17,236,000	January 2026	Variable	Yes	2.11%	1.44%	3.55%
SoLa Impact Opportunity Zone Fund loan		27,300,000	December 2024	Variable	No	4.57%	1.78%	6.35%
The Ivy Apartments MRB		24,400,000	February 2028	Variable	Yes	3.99%	1.44%	5.43%
Total TOB Trust Financing	$	83,336,000

In January 2023, the Partnership entered into two additional interest rate swap agreements to mitigate interest rate risk associated with the variable rate TOB trust financings. The following table summarizes the terms of the interest rate swap agreements:

Purchase Date

Notional Amount

Effective Date

Termination Date

Fixed Rate Paid

Variable Rate Index Received

Variable Debt
Financing Hedged

Counterparty

January 2023

12,065,200

1/19/2023

1/1/2030

3.354%

Compounded SOFR

TOB Trusts

Mizuho Capital Markets

January 2023

8,027,600

2/1/2023

2/1/2030

3.289%

Compounded SOFR

TOB Trusts

Mizuho Capital Markets

In January 2023, the Partnership received $3.7 million of initial redemption proceeds related to the Provision Center 2014-1 MRB with the remaining proceeds to be received at final liquidation.

In January 2023, the borrowers of the Hope on Broadway GIL, Hope on Avalon GIL, and Hope on Avalon taxable GIL extended the maturity dates from February 2023 to August 2023. There were no additional changes to terms associated with the extensions.

In February 2023, the Partnership issued 700,000 Series A-1 Preferred Units to a financial institution in exchange for 700,000 outstanding Series A Preferred Units held by that institution. There were no net proceeds to the Partnership as a result of the exchange transaction. These Series A-1 Preferred Units were issued in a registered offering pursuant to a registration statement on Form S-4, which was declared effective by the Commission on July 6, 2021, and subsequently amended pursuant to a Post-Effective Amendment to the Form S-4, which was declared effective by the Commission on April 13, 2022.

In February 2023, the Partnership issued 800,000 Series A-1 Preferred Units to a financial institution in exchange for gross proceeds of $8.0 million. These Series A-1 Preferred Units were issued in a registered offering pursuant to a registration statement on Form S-3, which was declared effective by the Commission on September 9, 2021, and subsequently amended pursuant to a Post-Effective Amendment to the Form S-3, which was declared effective by the Commission on April 13, 2022.

In February 2023, the Partnership received notice from a holder of 2,000,000 Series A Preferred Units of its intent to redeem all its Series A Preferred Units in the amount of $20.0 million. The redemption is scheduled to occur in August 2023.

In February 2023, the Partnership executed a $8.2 million equity commitment for Valage Senior Living Carson Valley, a to-be-constructed seniors housing property in Minden, NV.

In February 2023, the following MRBs were redeemed at prices that approximated the Partnership’s carrying value plus accrued interest:


Property Name	Month Redeemed	Property Location	Units	Original Maturity Date	Interest Rate	Principal Outstanding at Date of Redemption
Greens Property - Series A	February 2023	Durham, NC	168	10/1/2047	6.50%	$	7,579,000
Greens Property - Series B	February 2023	Durham, NC	168	10/1/2047	12.00%	$	914,040
						$	8,493,040

In addition to the MRBs redeemed above, the Partnership’s Greens property loan was repaid in full. The Partnership received approximately $850,000 of principal and approximately $1.6 million of accrued interest upon repayment. All principal proceeds from the redemption of the Greens Property - Series A MRB were used to paydown principal on the M31 TEBS financing facility.

In February 2023, the Partnership executed an amendment to its total return swap with Mizuho to reduce the required cash collateral amount from 35% to 30% of the notional amount. There were no additional changes to terms or fees associated with the amendment of the total return swap.