Using Market Studies to Inform Site Selection For the 2017 NCSHA Housing Credit Connect

NCHMA: A Quick History National Council of Housing Market Analysts (NCHMA) -- formed in 2001 in response to legislation NCHMA is an independent Council of National Housing & Rehabilitation Association (NH&RA) Market study requirements vary from state to state Need for a membership organization Need for uniform standards Desire to develop higher level of professionalism Ethics and professional accountability Education Peer review Sharing of information and resources

NCHMA Expanding its Mission National Council of Affordable Housing Market Analysts to National Council of Housing Market Analysts Affordable (Tax Credit) Housing Market Rate Housing (FHA Insured) Seniors Housing For Sale Housing

NCHMA Resources Minimum standards and best practices Certification in every report Model Content - Market study index Glossary of terminology White papers Analysis of Age- and Income-Restricted Properties (DRAFT) Best Practices For Rural Market Studies (DRAFT) Calculating Market Rent Demand and Capture Rate Methodologies Factors to Consider in Market Analysis of a Preservation Property Recommended Practices for Analyzing Turnover Recommended Practices for Determining Demand Selecting Comparable Properties White Paper: Determining Market Area (Updated: June 2016)

NCHMA Resources Continued Evolving Thought Documents Affordable Assisted Living: New Frontiers for Aging in Place Overview of Senior Housing Products in MA HUD/FHA NCHMA Standards incorporated into HUD's multifamily accelerated processing guide book: Jan 2016 Affordable Housing Investors Council (AHIC) “Investors should use National Council of Affordable Housing Market Analysts (NCAHMA) certified market analysts to perform market studies using the NCAHMA Model Content Standards for Market Studies for Rental Housing, which is a set of recommendations on the specific types of information, data, analysis, and conclusions that should be contained or addressed in a market study for an affordable rental housing project.”

Current and Future Areas of Focus Periodic Review of Existing Best Practices Expanding Market Study Educational Opportunities for State HFAs Market Analysis for Mixed-Use Projects – Effectively Assessing the Commercial Component Adopting Best Practices for Fannie Mae / Freddie Mac Lending Products Best Practices for Affordable Assisted Living Properties

Ideas & Considerations for the Market Analysis of Affordable Assisted Living What is a reasonable lease-up period? How does market absorption differ? What is a reasonable PMA? What considerations should be made for mixed-income vs. 100% affordable assisted living properties? Demographic & Data Analysis How do you differentiate the spectrum of tenants living in assisted living properties? Age vs. Disability? What (if any) role should gender play in the demographic analysis? What are the best sources of data for waiting lists, market vacancy, etc…? Beyond income, are there other differences between private pay and affordable assisted living clientele (e.g. average age, marital status, gender)?

Ideas & Considerations for the Market Analysis of Affordable Assisted Living What are assumptions reasonable regarding the level of services tenants will require? How should the market analyst address the variability and availability of Medicaid Waivers / Vouchers and Reimbursement rates? Design and Marketability What are the appropriate amenities and unit sizes for affordable assisted living? Are units adaptable and marketable to other uses (e.g. independent senior living) if Medicaid subsidies are lost? Experience of the Operator Given the high degree of specialization and licensing required, what role should the operators’ experience play in the market study?

NCHMA Members in good standing Education requirement Continuing education requirement Minimum work experience Adhere to strict set of minimum standards and ethics Peer review process Continued improvement Learning Accountability Produce credible reports that are not misleading.

NCHMA Members in good standing (continued) Statement of commitment for setting and maintaining higher standards to peers and clients. Superior High quality Professional services Recognition for efforts towards setting the standard for quality

Thank You Thom Amdur Executive Director NH&RA 202-939-1753 tamdur@Housingonline.com Learn More about NCHMA: https://www.housingonline.com/councils/national-council-housing- market-analysts/