We are a national,
full-service tax credit
equity syndicator.

Tax Credit Equity

Merchants Capital is a one-stop shop, for all aspects of affordable housing finance.

We are innovators in the industry. Our team of tax, acquisitions, asset management, and syndication experts offer structured equity investment solutions for the nation’s leading affordable housing developers and investors through proprietary, multi-investor, historic, and state tax credit funds. Co-investments are available from our bank parent-company.

  • Over $500M
    Equity Raised in 2021 & 2022
  • 30+
    Active Investors
  • 100%
    Funds at or Above Proforma Yields

The Merchants Advantage

For Investors

The Merchants Advantage

For Developers

Volunteers working in a community garden

Social Impact

We do well by doing good. Our portfolio is designed to create opportunity, improve neighborhoods, and elevate the communities we serve. Some of our multi-investor and proprietary funds offer optional social-impact reserves, deploying investor capital into services, improvements, or enhancements to benefit tenants.

Recent Transactions

Merchants Capital logo with Building Image
CARMEL, Ind. (May 10, 2023) – Leading financial services provider Merchants Capital proudly announces the success and growth of its Capital Markets platform, led by Senior Vice President Evan Gibson. Since its inception in 2020, the group has executed over $3 billion in securitizations and has accumulated over $900 million in assets under management. The platform focuses on providing liquidity and capital relief for parent company Merchants Bank of Indiana, to support growth in its direct bridge and construction lending. As a result of successfully executing on this strategy, the Capital Markets team has evolved into creating proprietary permanent debt solutions that supplement Merchants Capital’s balance sheet and agency lending product offerings. Gibson started the Capital Markets group in March 2020, and the team has since grown to seven who work out of the company’s Carmel and New York offices. Notable hires included Vice Presidents Dean Ramsamooj and Darren King in 2021 and 2022, respectively. On March 30, the Capital Markets team, alongside leading seniors housing and healthcare lender VIUM Capital and structuring agent and sole bookrunner ATLAS SP Partners, closed a private synthetic securitization of over $1.1 billion of first-lien floating-rate skilled nursing and seniors housing bridge loans. Merchants Capital will continue to service these loans. Merchants Bank of Indiana issued and sold $158 million aggregate principal balance of Senior Credit Linked Notes, representing approximately 14% of the reference pool. The resulting reduction in risk weighted assets for this pool of loans supports further growth and lending capacity at Merchants Capital and VIUM Capital. This synthetic securitization comes just six months after closing a securitization of $1.2 billion in multifamily bridge loans in September 2022. “Having the opportunity to lead our growing Capital Markets group is an honor, and I am proud of the impact our team has had across the Merchants platform in just our third year of operation,” said Gibson. “Our role in creating innovative solutions directly contributes to the success of the Merchants lending platform and supports the firm’s status as an industry leader in financing both multifamily through Merchants Capital, and healthcare through its partnership with VIUM Capital. This integrated platform is unique in the industry and allows us to continue servicing our clients from coast to coast with an increasing array of solutions and capacity.” In 2021, the Capital Markets group closed its first Freddie Mac Q-Series transaction, a $262 million deal that securitized 15 workforce housing loans for properties across the nation, supporting the preservation of critical housing infrastructure. In 2022, the group executed on its second and third Q-Series deals, a program that Merchants Capital expects to continue to leverage with Freddie Mac in the future. Both 2022 Q-Series transactions were designated by Freddie Mac Multifamily for their Social Bonds program, which has a framework validated through Sustainalytics’ second-party opinion. These transactions have helped define criteria for Environmental, Social and Governance (ESG) qualifying investments in affordable multifamily. “The growth of our Capital Markets group has been instrumental in our ability to lead the industry as one of the nation’s top multifamily financing providers,” said Brian Sullivan, Executive Vice President and Chief Operating Officer at Merchants Capital. “The maturation of the platform in just three years is a true testament to the work ethic and ingenuity of Evan, Dean, Darren and the team. This group has transformed the possibilities of our lending platform, widening our reach in the market and working towards our larger goal of increasing access to safe, high-quality housing for individuals and families nationwide.” To learn more about Merchants Capital and its services, visit www.merchantscapital.com or find Merchants Capital on Facebook, Twitter, LinkedIn and Instagram.
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Merchants Capital Completes Securitization of $1.1BB+ in Healthcare Real Estate Loans; Capital Markets Group Achieves Record Growth in 2022
CARMEL, Ind. (May 1, 2023) – Leading financial services provider Merchants Capital today announces the company has earned a top-ranking position on the prestigious Affordable Housing Finance (AHF) Top Lenders listing, ranking in as the #2 lender nationwide for 2022 – up from #8 last year. Recently, Merchants Capital announced that the firm closed $8.95 billion in debt production in 2022, shattering 2021’s previous record of $7 billion, a 27% increase in a year the industry contracted by 11%, according to the Mortgage Bankers Association. Throughout 2022, Merchants Capital saw significant growth despite a turbulent year for the industry. This included a 77% increase in Merchants Bank balance sheet lending with over $7 billion, a 48% increase in Freddie Mac Targeted Affordable Housing (TAH) production, and a total affordable debt production of $5.9 billion (a 90% increase from 2021). “This recognition would not have been possible without the determination of our team members and the confidence our clients have in Merchants,” said Dwayne George, Executive Vice President, National Head of Production at Merchants Capital. “Being recognized by Affordable Housing Finance as the #2 lender in the nation further solidifies our place in this industry. We are humbled by the accolade and look forward to another year of executing for our clients and counterparties.” Merchants Capital’s innovative and tailored financing solutions help bring critical multifamily housing projects to life across the country. In addition to expertise in tax credit equity syndications and affordable housing, the firm also specializes in bridge and agency financing to support market-rate developments. “The work we do at Merchants Capital helps provide individuals and families with the high-quality, safe and affordable housing they deserve,” said Mathew Wambua, Merchants Capital’s Vice Chair & Head of Agency Lending. “This honorable ranking as the #2 affordable housing lender in the country is a direct result of our dedication to our mission. We’re incredibly grateful to our team all across the U.S., as well as to our valued partners who have entrusted us with the financing of key developments throughout the nation. We look forward to continued success in affordable housing finance for years to come.” AHF Top Lenders is a comprehensive ranking of the top 25 affordable lenders. The annual list was compiled through surveys submitted by lenders in early 2022, detailing the organizations’ 2022 total volumes in affordable debt production. The full ranking can be found here. To learn more about Merchants Capital and its services, visit www.merchantscapital.com or find Merchants Capital on Facebook, Twitter, LinkedIn and Instagram.
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Merchants Capital Named #2 Top Lender of 2022 by Affordable Housing Finance
Mirador Las Casas Rendering
NEW YORK (April 3, 2023) – The New York office of leading multifamily financier Merchants Capital today announces it has secured more than $25.9 million for the renovation and upgrade of Mirador Las Casas, a Section 8 and Low-Income Housing Tax Credit (LIHTC) multifamily development located in San Juan, Puerto Rico. This project is notable as a return by the Puerto Rico Housing Finance Authority to 4% LIHTC housing bond issuance. The property features 294 units across 21 three-story buildings, with a variety of two-, three- and four-bedroom floor plans. Long term Section 8 and LIHTC agreements ensure the extended affordability for the residents of Mirador Las Casas. The planned renovation will preserve quality living standards in addition to providing residents with new amenities and services. Sixteen of the total units will be reserved for people with functional diversity, including three units marked as “sensory accessible” for those with hearing impairments. Less than four miles from the highly sought after Isla Verde Beach, Mirador Las Casas provides critical affordable housing for low-income families of San Juan. The property is one of 22 owned across the island by the accomplished local developer and investor Fernando L. Sumaza & Co., LLC. Funded sources will support an extensive renovation of the property, including in-unit amenity improvements of kitchens, baths, balconies and installation of in-unit washer and dryer appliances. Additional improvements will include construction of a leasing office, community building, digital library building, basketball court, playground, maintenance building and storage sheds. New sidewalks will be installed throughout the property, and all parking areas will be resurfaced. Merchants Capital New York secured a $25.9 million Merchants Bank of Indiana (MBI) bridge loan on behalf of the property owner. The revolving MBI bridge loan will cash collateralize a $56 million publicly offered housing bond issuance by Puerto Rico Housing Finance Authority and enable the project to comply with federal LIHTC regulations. LIHTC equity for the project was syndicated by The Richman Group. Purchaser’s/Underwriter’s counsel was provided by Tiber Hudson and bond underwriting by Stifel. “Merchants was able to provide an innovative cash collateralized structure for Mirador Las Casas. This loan complies with federal LIHTC 50% test requirements and reduces required interest reserve development costs. Providing a cash collateralized financing product in Puerto Rico represents a major milestone for our team and the affordable housing finance industry,” said Ben Levine, Senior Vice President of Originations at Merchants Capital New York. “Communities in Puerto Rico are still recovering from the devastation of Hurricane Maria in 2017. We are hopeful that by working alongside the Puerto Rico Housing Finance Authority and the development team for Mirador Las Casas we can make a positive contribution to the Puerto Rican community.” “It has been a grateful experience working with Merchants and the other professionals that made this deal possible,” said Alexandra Domenech, President of Fernando L. Sumaza & Co, LLC.  “Merchants' entry into the Puerto Rico financial market provides new opportunities for the development of affordable housing on the island, and we are glad that they started with our project. The Sumaza team is eager to see the families of Mirador Las Casas Apartments enjoying the renovated and modern housing.” To learn more about Merchants Capital and its services, visit www.merchantscapital.com or find Merchants Capital on Facebook, Twitter, LinkedIn and Instagram.
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Merchants Capital New York Secures $25.9MM+ for Renovation of Section 8 Property in San Juan, Puerto Rico

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