Mortgage Revenue Bonds

3 Months Ended

Mar. 31, 2021

Investments In Mortgage Revenue Bonds [Abstract]

6. Mortgage Revenue Bonds

The Partnership’s MRBs provide construction and/or permanent financing for Residential Properties and a commercial property. MRBs are either held directly by the Partnership or are held in trusts created in connection with debt financing transactions (Note 15). The Partnership had the following investments in MRBs as of March 31, 2021 and December 31, 2020:

	March 31, 2021
Description of Mortgage Revenue Bonds Held in Trust	State	Cost Adjusted for Paydowns and Allowances		Cumulative Unrealized Gain		Cumulative Unrealized Loss		Estimated Fair Value
Courtyard - Series A ⁽⁴⁾	CA	$	10,038,847	$	2,036,900	$	-	$	12,075,747
Glenview Apartments - Series A ⁽³⁾	CA		4,469,991		941,975		-		5,411,966
Harmony Court Bakersfield - Series A ⁽⁴⁾	CA		3,660,303		726,094		-		4,386,397
Harmony Terrace - Series A ⁽⁴⁾	CA		6,776,107		1,416,111		-		8,192,218
Harden Ranch - Series A ⁽²⁾	CA		6,601,343		1,397,564		-		7,998,907
Las Palmas II - Series A ⁽⁴⁾	CA		1,660,837		326,950		-		1,987,787
Montclair Apartments - Series A ⁽³⁾	CA		2,421,644		518,332		-		2,939,976
Montecito at Williams Ranch Apartments - Series A ⁽⁶⁾	CA		7,612,095		1,916,887		-		9,528,982
Montevista - Series A ⁽⁶⁾	CA		6,720,000		2,086,742		-		8,806,742
Ocotillo Springs - Series A ⁽⁶⁾	CA		4,095,000		164,711		-		4,259,711
San Vicente - Series A ⁽⁴⁾	CA		3,424,558		658,833		-		4,083,391
Santa Fe Apartments - Series A ⁽³⁾	CA		2,933,731		637,675		-		3,571,406
Seasons at Simi Valley - Series A ⁽⁴⁾	CA		4,225,061		1,076,658		-		5,301,719
Seasons Lakewood - Series A ⁽⁴⁾	CA		7,218,027		1,508,466		-		8,726,493
Seasons San Juan Capistrano - Series A ⁽⁴⁾	CA		12,152,801		2,428,465		-		14,581,266
Summerhill - Series A ⁽⁴⁾	CA		6,302,983		1,165,385		-		7,468,368
Sycamore Walk - Series A ⁽⁴⁾	CA		3,507,305		716,843		-		4,224,148
The Village at Madera - Series A ⁽⁴⁾	CA		3,027,355		614,256		-		3,641,611
Tyler Park Townhomes - Series A ⁽²⁾	CA		5,749,890		829,871		-		6,579,761
Vineyard Gardens - Series A ⁽⁶⁾	CA		3,961,901		977,393		-		4,939,294
Westside Village Market - Series A ⁽²⁾	CA		3,757,543		777,054		-		4,534,597
Brookstone ⁽¹⁾	IL		7,364,956		1,903,297		-		9,268,253
Copper Gate Apartments ⁽²⁾	IN		4,955,000		572,032		-		5,527,032
Renaissance - Series A ⁽³⁾	LA		10,836,857		3,683,524		-		14,520,381
Live 929 Apartments ⁽⁶⁾	MD		36,218,314		-		-		36,218,314
Woodlynn Village ⁽¹⁾	MN		4,120,000		13,341		-		4,133,341
Gateway Village⁽⁶⁾	NC		2,600,000		131,447		-		2,731,447
Greens Property - Series A⁽²⁾	NC		7,802,000		557,051		-		8,359,051
Lynnhaven Apartments ⁽⁶⁾	NC		3,450,000		174,419		-		3,624,419
Silver Moon - Series A ⁽³⁾	NM		7,681,225		1,851,589		-		9,532,814
Village at Avalon - Series A ⁽⁵⁾	NM		16,159,797		4,151,656		-		20,311,453
Ohio Properties - Series A ⁽¹⁾	OH		13,688,000		-		-		13,688,000
Bridle Ridge ⁽¹⁾	SC		7,190,000		71,710		-		7,261,710
Columbia Gardens ⁽⁴⁾	SC		12,856,267		2,501,126		-		15,357,393
Companion at Thornhill Apartments ⁽⁴⁾	SC		11,023,297		1,890,764		-		12,914,061
Cross Creek ⁽¹⁾	SC		6,133,061		2,162,011		-		8,295,072
Rosewood Townhomes - Series A ⁽⁶⁾	SC		9,259,206		562,960		-		9,822,166
South Pointe Apartments - Series A ⁽⁶⁾	SC		21,551,600		1,310,337		-		22,861,937
The Palms at Premier Park Apartments ⁽²⁾	SC		18,562,061		2,602,480		-		21,164,541
Village at River's Edge ⁽⁴⁾	SC		9,784,362		2,030,003		-		11,814,365
Willow Run ⁽⁴⁾	SC		12,677,935		2,464,921		-		15,142,856
Arbors at Hickory Ridge ⁽²⁾	TN		10,872,864		2,316,451		-		13,189,315
Avistar at Copperfield - Series A ⁽⁶⁾	TX		13,782,171		2,695,680		-		16,477,851
Avistar at the Crest - Series A ⁽²⁾	TX		9,111,697		1,934,363		-		11,046,060
Avistar at the Oaks - Series A ⁽²⁾	TX		7,365,549		1,624,288		-		8,989,837
Avistar at the Parkway - Series A ⁽³⁾	TX		12,686,495		2,516,255		-		15,202,750
Avistar at Wilcrest - Series A ⁽⁶⁾	TX		5,223,164		923,710		-		6,146,874
Avistar at Wood Hollow - Series A ⁽⁶⁾	TX		39,659,362		7,309,397		-		46,968,759
Avistar in 09 - Series A ⁽²⁾	TX		6,359,867		1,348,568		-		7,708,435
Avistar on the Boulevard - Series A ⁽²⁾	TX		15,522,758		3,169,213		-		18,691,971
Avistar on the Hills - Series A ⁽²⁾	TX		5,042,621		1,133,545		-		6,176,166
Bruton Apartments ⁽⁴⁾	TX		17,639,477		4,336,133		-		21,975,610
Concord at Gulfgate - Series A ⁽⁴⁾	TX		18,750,321		4,293,867		-		23,044,188
Concord at Little York - Series A ⁽⁴⁾	TX		13,135,487		3,121,179		-		16,256,666
Concord at Williamcrest - Series A ⁽⁴⁾	TX		20,348,276		4,747,239		-		25,095,515
Crossing at 1415 - Series A ⁽⁴⁾	TX		7,312,727		1,495,203		-		8,807,930
Decatur Angle ⁽⁴⁾	TX		22,222,763		4,918,525		-		27,141,288
Esperanza at Palo Alto ⁽⁴⁾	TX		19,182,510		5,213,184		-		24,395,694
Heights at 515 - Series A ⁽⁴⁾	TX		6,694,927		1,395,575		-		8,090,502
Heritage Square - Series A ⁽³⁾	TX		10,548,961		1,934,414		-		12,483,375
Oaks at Georgetown - Series A⁽⁴⁾	TX		12,108,609		2,081,022		-		14,189,631
Runnymede ⁽¹⁾	TX		9,805,000		-		-		9,805,000
Southpark ⁽¹⁾	TX		11,480,404		1,735,296		-		13,215,700
15 West Apartments ⁽⁴⁾	WA		9,586,894		2,701,301		-		12,288,195
Mortgage revenue bonds held in trust		$	638,674,164	$	114,502,241	$	-	$	753,176,405

⁽¹⁾	MRBs owned by ATAX TEBS I, LLC (M24 TEBS), Note 15

⁽²⁾	MRBs owned by ATAX TEBS II, LLC (M31 TEBS), Note 15

⁽³⁾	MRBs owned by ATAX TEBS III, LLC (M33 TEBS), Note 15

⁽⁴⁾	^{MRBs owned by ATAX TEBS IV, LLC (M45 TEBS), Note 15}

⁽⁵⁾	^{MRB held by Morgan Stanley in a debt financing transaction, Note 15}

⁽⁶⁾	^{MRBs held by Mizuho Capital Markets, LLC in a debt financing transaction, Note 15}

	March 31, 2021
Description of Mortgage Revenue Bonds held by the Partnership	State	Cost Adjusted for Paydowns		Cumulative Unrealized Gain		Cumulative Unrealized Loss		Estimated Fair Value
Solano Vista - Series A	CA	$	2,662,206	$	795,575	$	-	$	3,457,781
Greens Property - Series B	NC		924,419		91,098		-		1,015,517
Ohio Properties - Series B	OH		3,480,770		-		-		3,480,770
Rosewood Townhomes - Series B	SC		469,781		-		-		469,781
South Pointe Apartments - Series B	SC		1,099,487		-		-		1,099,487
Provision Center 2014-1	TN		6,160,689		-		-		6,160,689
Avistar at the Crest - Series B	TX		734,678		120,209		-		854,887
Avistar at the Oaks - Series B	TX		537,812		86,978		-		624,790
Avistar at the Parkway - Series B	TX		123,883		40,662		-		164,545
Avistar in 09 - Series B	TX		443,646		71,749		-		515,395
Avistar on the Boulevard - Series B	TX		436,548		68,317		-		504,865
Mortgage revenue bonds held by the Partnership		$	17,073,919	$	1,274,588	$	-	$	18,348,507

	December 31, 2020
Description of Mortgage Revenue Bonds Held in Trust	State	Cost Adjusted for Paydowns		Cumulative Unrealized Gain		Cumulative Unrealized Loss		Estimated Fair Value
Courtyard - Series A ⁽⁴⁾	CA	$	10,061,161	$	2,487,317	$	-	$	12,548,478
Glenview Apartments - Series A ⁽³⁾	CA		4,483,154		1,010,425		-		5,493,579
Harmony Court Bakersfield - Series A ⁽⁴⁾	CA		3,668,439		889,216		-		4,557,655
Harmony Terrace - Series A ⁽⁴⁾	CA		6,791,096		1,724,350		-		8,515,446
Harden Ranch - Series A ⁽²⁾	CA		6,621,823		1,606,690		-		8,228,513
Las Palmas II - Series A ⁽⁴⁾	CA		1,664,566		400,431		-		2,064,997
Montclair Apartments - Series A ⁽³⁾	CA		2,428,775		572,671		-		3,001,446
Montecito at Williams Ranch Apartments - Series A ⁽⁶⁾	CA		7,626,287		2,350,276		-		9,976,563
Montevista - Series A ⁽⁶⁾	CA		6,720,000		2,404,771		-		9,124,771
Ocotillo Springs - Series A ⁽⁶⁾	CA		2,023,500		215,633		-		2,239,133
San Vicente - Series A ⁽⁴⁾	CA		3,432,246		809,327		-		4,241,573
Santa Fe Apartments - Series A ⁽³⁾	CA		2,942,370		724,678		-		3,667,048
Seasons at Simi Valley - Series A ⁽⁴⁾	CA		4,236,876		1,180,122		-		5,416,998
Seasons Lakewood - Series A ⁽⁴⁾	CA		7,233,993		1,836,808		-		9,070,801
Seasons San Juan Capistrano - Series A ⁽⁴⁾	CA		12,179,682		2,973,846		-		15,153,528
Summerhill - Series A ⁽⁴⁾	CA		6,316,993		1,470,689		-		7,787,682
Sycamore Walk - Series A ⁽⁴⁾	CA		3,517,919		888,485		-		4,406,404
The Village at Madera - Series A ⁽⁴⁾	CA		3,034,084		735,450		-		3,769,534
Tyler Park Townhomes - Series A ⁽²⁾	CA		5,767,938		939,214		-		6,707,152
Vineyard Gardens - Series A ⁽⁶⁾	CA		3,969,173		1,226,058		-		5,195,231
Westside Village Market - Series A ⁽²⁾	CA		3,769,337		859,860		-		4,629,197
Brookstone ⁽¹⁾	IL		7,374,252		2,201,663		-		9,575,915
Copper Gate Apartments ⁽²⁾	IN		4,955,000		641,581		-		5,596,581
Renaissance - Series A ⁽³⁾	LA		10,870,681		4,293,328		-		15,164,009
Live 929 Apartments ⁽⁶⁾	MD		36,234,756		-		-		36,234,756
Woodlynn Village ⁽¹⁾	MN		4,120,000		56,458		-		4,176,458
Gateway Village⁽⁶⁾	NC		2,600,000		136,612		-		2,736,612
Greens Property - Series A⁽²⁾	NC		7,829,000		663,781		-		8,492,781
Lynnhaven Apartments ⁽⁶⁾	NC		3,450,000		178,960		-		3,628,960
Silver Moon - Series A ⁽³⁾	NM		7,697,891		1,995,694		-		9,693,585
Village at Avalon - Series A ⁽⁵⁾	NM		16,189,074		4,879,623		-		21,068,697
Ohio Properties - Series A ⁽¹⁾	OH		13,724,000		61,243		-		13,785,243
Bridle Ridge ⁽¹⁾	SC		7,235,000		153,657		-		7,388,657
Columbia Gardens ⁽⁴⁾	SC		12,898,904		2,689,886		-		15,588,790
Companion at Thornhill Apartments ⁽⁴⁾	SC		11,055,254		2,208,446		-		13,263,700
Cross Creek ⁽¹⁾	SC		6,136,261		2,277,289		-		8,413,550
Rosewood Townhomes - Series A ⁽⁶⁾	SC		9,259,206		578,247		-		9,837,453
South Pointe Apartments - Series A ⁽⁶⁾	SC		21,551,600		1,345,919		-		22,897,519
The Palms at Premier Park Apartments ⁽²⁾	SC		18,619,081		2,906,879		-		21,525,960
Village at River's Edge ⁽⁴⁾	SC		9,802,479		1,353,745		-		11,156,224
Willow Run ⁽⁴⁾	SC		12,720,560		2,650,995		-		15,371,555
Arbors at Hickory Ridge ⁽²⁾	TN		10,910,733		2,704,295		-		13,615,028
Avistar at Copperfield - Series A ⁽⁶⁾	TX		13,815,817		3,189,896		-		17,005,713
Avistar at the Crest - Series A ⁽²⁾	TX		9,140,656		2,376,580		-		11,517,236
Avistar at the Oaks - Series A ⁽²⁾	TX		7,388,262		1,854,785		-		9,243,047
Avistar at the Parkway - Series A ⁽³⁾	TX		12,721,014		2,790,208		-		15,511,222
Avistar at Wilcrest - Series A ⁽⁶⁾	TX		5,235,915		1,084,347		-		6,320,262
Avistar at Wood Hollow - Series A ⁽⁶⁾	TX		39,756,184		8,703,609		-		48,459,793
Avistar in 09 - Series A ⁽²⁾	TX		6,379,479		1,601,535		-		7,981,014
Avistar on the Boulevard - Series A ⁽²⁾	TX		15,572,093		3,779,139		-		19,351,232
Avistar on the Hills - Series A ⁽²⁾	TX		5,058,171		1,292,513		-		6,350,684
Bruton Apartments ⁽⁴⁾	TX		17,674,167		3,792,253		-		21,466,420
Concord at Gulfgate - Series A ⁽⁴⁾	TX		18,796,773		4,888,537		-		23,685,310
Concord at Little York - Series A ⁽⁴⁾	TX		13,168,029		3,543,909		-		16,711,938
Concord at Williamcrest - Series A ⁽⁴⁾	TX		20,398,687		5,397,326		-		25,796,013
Crossing at 1415 - Series A ⁽⁴⁾	TX		7,331,821		1,810,458		-		9,142,279
Decatur Angle ⁽⁴⁾	TX		22,270,729		5,600,721		-		27,871,450
Esperanza at Palo Alto ⁽⁴⁾	TX		19,218,417		5,955,488		-		25,173,905
Heights at 515 - Series A ⁽⁴⁾	TX		6,712,409		1,600,836		-		8,313,245
Heritage Square - Series A ⁽³⁾	TX		10,579,057		2,095,871		-		12,674,928
Oaks at Georgetown - Series A⁽⁴⁾	TX		12,135,392		2,597,201		-		14,732,593
Runnymede ⁽¹⁾	TX		9,805,000		105,634		-		9,910,634
Southpark ⁽¹⁾	TX		11,462,172		1,917,286		-		13,379,458
15 West Apartments ⁽⁴⁾	WA		9,604,680		3,257,826		-		12,862,506
Mortgage revenue bonds held in trust			637,948,068		130,520,576		-		768,468,644

⁽¹⁾	MRBs owned by ATAX TEBS I, LLC (M24 TEBS), Note 15

⁽²⁾	MRBs owned by ATAX TEBS II, LLC (M31 TEBS), Note 15

⁽³⁾	MRBs owned by ATAX TEBS III, LLC (M33 TEBS), Note 15

⁽⁴⁾	^{MRBs owned by ATAX TEBS IV, LLC (M45 TEBS), Note 15}

⁽⁵⁾	MRB held by Morgan Stanley in a debt financing transaction Note 15

⁽⁶⁾	MRB held by Mizuho Capital Markets, LLC in a debt financing transaction, Note 15

	December 31, 2020
Description of Mortgage Revenue Bonds held by the Partnership	State	Cost Adjusted for Paydowns		Cumulative Unrealized Gain		Cumulative Unrealized Loss		Estimated Fair Value
Solano Vista - Series A	CA	$	2,665,000	$	891,612	$	-	$	3,556,612
Greens Property - Series B	NC		925,607		107,347		-		1,032,954
Arby Road Apartments - Series A	NV		7,385,000		15,059		-		7,400,059
Ohio Properties - Series B	OH		3,485,690		13,578		-		3,499,268
Rosewood Townhomes - Series B	SC		469,781		2,549		-		472,330
South Pointe Apartments - Series B	SC		1,099,487		5,967		-		1,105,454
Provision Center 2014-1	TN		6,161,954		-		-		6,161,954
Avistar at the Crest - Series B	TX		735,974		144,746		-		880,720
Avistar at the Oaks - Series B	TX		538,723		100,668		-		639,391
Avistar at the Parkway - Series B	TX		123,973		43,650		-		167,623
Avistar in 09 - Series B	TX		444,398		83,042		-		527,440
Avistar on the Boulevard - Series B	TX		437,318		82,718		-		520,036
Mortgage revenue bonds held by the Partnership		$	24,472,905	$	1,490,936	$	-	$	25,963,841

See Note 22 for a description of the methodology and significant assumptions used in determining the fair value of the MRBs. Unrealized gains or losses on the MRBs are recorded in the Partnership’s condensed consolidated statements of comprehensive income (loss) 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 MRBs.

During the three months ended March 31, 2020, the Partnership recognized a $1.4 million provision for credit loss related to the Provision Center 2014-1 MRB in its condensed consolidated statements of operations. The credit loss related to the Provision Center 2014-1 MRB was primarily driven by debt service shortfalls by the underlying commercial property. The borrower of the Provision Center 2014-1 MRB filed for bankruptcy in December 2020.

MRB Activity in the First Three Months of 2021

Acquisitions:

There were no MRBs acquired during the three months ended March 31, 2021.

Redemptions:

The following MRBs were redeemed at a price that approximated the Partnership’s carrying value plus accrued interest during the three months ended March 31, 2021:

Property Name	Month Redeemed	Property Location	Units		Original Maturity Date	Interest Rate			Principal Outstanding at Date of Redemption
Arby Road Apartments - Series A ⁽¹⁾	March	Las Vegas, NV		180	10/1/2027		5.35	%	$	1,600,000
Arby Road Apartments - Series A ⁽¹⁾	March	Las Vegas, NV		180	4/1/2041		5.50	%		5,785,000
									$	7,385,000

⁽¹⁾	^{Both MRBs are part of the same series but had different interest rates and maturity dates.}

MRB Activity in the First Three Months of 2020

Acquisitions:

There were no MRBs acquired during the three months ended March 31, 2020.

Redemptions:

The following MRB was redeemed at a price that approximated the Partnership’s carrying value plus accrued interest during the three months ended March 31, 2020:

Property Name

Month

Redeemed

Property Location

Units

Original

Maturity Date

Interest Rate

Principal

Outstanding at Date

of Redemption

Solano Vista - Series B

January

Vallejo, CA

1/1/2021

5.85

3,103,000

The following table summarizes the changes in the Partnership’s allowance for credit losses for the three months ended March 31, 2021 and 2020:

	For the Three Months Ended March 31,
	2021		2020
Balance, beginning of period	$	7,319,000	$	-
Provision for credit loss		-		1,358,000
Balance, end of period ⁽¹⁾	$	7,319,000	$	1,358,000

⁽¹⁾	^{The allowance for credit losses as of March 31, 2021 is related to the Provision Center 2014-1 MRB and the Live 929 Apartments MRB.}