Operations
SPONSORED CONTENT How Smart Structure Powers Affordable Housing Investments ENTITY, TAX, AND CREDIT STRATEGIES CAN DRAMATICALLY CHANGE YOUR PROFITABILITY.
TOMMY THORNBURGH
T he conversation around affordable housing has changed. What used to be considered a niche or mission-driven corner of the real estate market is now attracting serious attention from investors of every size— and for good reason. With housing affordability at crisis levels across much of the country, demand for quality, attainable housing is higher than ever. For investors, that shift represents more than a moral opportunity—it’s a strategic one. Affordable and workforce housing are proving to be some of the most resilient asset classes in the market, delivering consistent occupancy, predictable cash flow, and community impact all at once. But success in this space doesn’t come from simply finding the right property in the right location. It comes from structuring
the business behind it the right way. That’s where thoughtful planning around entities, taxes, and credit strategy turns good intentions into durable profits. THE OPPORTUNITY Across the country, real estate investors are rethinking what it means to build wealth that lasts. A growing number are focusing on affordable housing—not only because it’s the right thing to do, but because it’s one of the most durable and recession-resistant investment segments. Affordable housing is always, and will always be, necessary. Still, these deals don’t always pencil easily. Rising construction costs, layered financing, and compliance requirements can make even experienced investors question whether the margins
are worth the effort. The truth is, the opportunity is there — it’s just hidden behind the right structure. When you align your entity setup, tax strategy, and credit positioning, affordable housing projects move from “barely viable” to “strategically scalable.” It’s not just about finding the deal; it’s about structuring it right from day one. That’s where thoughtful planning separates the successful from the stuck. ENTITY STRUCTURING In real estate, entity structure is often treated like paperwork — a box to check before closing. But for investors in affordable or workforce housing, it’s far more than that. Your entity structure determines your liability exposure, tax efficiency, and long-term scalability.
10 | think realty magazine :: december - january 2026
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