If you’re developing residential projects in Tennessee, here’s a question worth asking: Why is your equity financing roads, water lines, and sewer infrastructure when it could be funding vertical construction or your next project? 

Tennessee’s Infrastructure Development District (IDD) statute allows developers to finance public infrastructure with tax-exempt bonds repaid through annual special assessment payments by the benefiting property owners. Translation: a portion of your public infrastructure costs are funded with long-term, non-recourse, tax exempt bonds, and the obligation to repay the bonds is passed on to the end users of the property.  As such, you are able to reduce the amount of equity and debt required to develop the project.  

At Launch Development Finance Advisors, we are the private sector’s representatives in matters of public financing and we’ve structured billions in special district financings nationally. We handle everything from IDD formation through the processing of the last reimbursement.