For many people, finding the right job is a daunting task, sometimes even seeming an impossible one. But for Matthew Burleigh, joining Horizon Companies was an aspirational achievement. Matthew has spent 18 years working with and investing in publicly traded Real Estate Investment Trusts (REITs) which helped to form his belief that the more exciting and socially impacting opportunities in real estate are going to be realized through future development efforts and direct ownership. Being able to pivot into the realm of real estate development, and into the residential sector specifically, was an opportunity he sincerely hoped he would find – and he did with the Horizon Companies.
Horizon Companies approach to development proved to be different than any other organization Burleigh had worked with in the past. His team members here are exceedingly helpful, courteous, respectful, and dedicated to the mission of the company. “We have a set of Core Values we constantly re-visit and live that will be the foundation of this new venture, the LIHTC Fund,” says Burleigh. The team’s goal is to change the way people think about residential living by creating communities that provide housing options for everyone – not just those who can afford it.
Burleigh’s newest role is Fund Manager of Horizon Companies’ LIHTC fund, a new way to finance affordable housing developments that overcomes many of the challenges associated with traditional financing methods. The fund pools together multiple LIHTC-supported affordable housing developments and provides financing through the sale of tax credits to institutional investors.
“By combining multiple developments within the fund, all of which will progress on varying timelines, we can not only cross-collateralize preferred returns but also take advantage of tax-credit equity realizations within the fund to supplement investor capital flows.” Says Matthew, “In addition, by having multiple projects in various locations, the fund will benefit from geographic diversification. “
The development projects in this fund will be centered on the creation of affordable housing. Over the past year, affordability has become an increasingly important issue as inflation has spread beyond housing and into other facets of everyday life. We still face a supply-demand housing imbalance in the U.S., with a need for 500,000 additional multi-family units per month but only 400,000 are being built at present. If this trend continues, it is estimated that equilibrium will be achieved in 3-4 years. In some markets, rental rates are such that the rent burden for many households is approaching 40-50%, well above the accepted level for affordability of 30%. By developing to the 30% level in our target markets, we can create jobs and support communities with stable housing.
Matthew received an MBA from The Goizueta Business School of Emory University in Atlanta and a BA in Quantitative Economics from Tufts University in Boston. We are proud to have Matthew as a team member of Horizon Companies. The work he is overseeing will be making a positive impact on communities and our society. He knows that the work we are doing is important and his skills are a vital part of the success of this project.