Historic Investment Transaction Services

Galvanize provides advisory and consulting services to financial institutions and private firms seeking to invest in Federal and State Historic tax credits. These services cover the entire lifespan of a transaction and include origination and underwriting of potential deals, management of the closing process, and support through the compliance period and investor exit.

Services

FAQs

  • The Federal rehabilitation tax credit, better known as the historic tax credit (HTC), originated in 1976 as one of America’s first “investment tax credits.”  The current iteration was introduced as part of the 1986 Tax Reform Act. The credit is generated by rehabilitation of commercial, industrial, agricultural or residential rental property. The HTC is an investment credit and part of the general business credit that a taxpayer can claim against Federal income tax

  • The Federal Historic tax credit is based on 20% of Qualified Rehabilitation Expenditures (QREs) from the project budget. Many states have a State Historic credit as well, though amount earned will vary.

  • HTCs allows the investor to reduce Federal income tax liability by $1 for each $1 in Federal Historic Tax Credit. Combined with additional partnership characteristics that create opportunity for further return (deductions, cash flow, and exit price) investment in HTCs can generate significant returns (target 10% IRR with capability to identify higher yield opportunities). Investment also creates cash flow potential including minimum target returns (2% annual return on capital contributions) over the 5-year compliance period.

  • The Fund Manager is able to identify opportunities within geographic, asset type, return and other investment parameters as well as create dedicated or commingled tax credit investment funds for investments in a single or portfolio of projects or serve as advisor for direct investment. The Fund Manager provides origination, underwriting, closing, servicing, and support functions, all subject to Investor approval.

Our Team

Joshua Lavrinc

Joshua Lavrinc contributes a breadth of experience from his multi-disciplinary commercial real estate career spanning over 2 decades across development and investment, lending and finance, and legal and consulting services. 

Based on Mr. Lavrinc’s prior legal practice and technical expertise in lending, structured finance, and development, Mr. Lavrinc formed the project finance consulting services firm Grow Community Development Capital LLC that works with for-profit and non-profit clients across the country in pursuit of capital incentives including Federal and state New Markets Tax Credit and Historic Preservation Tax Credit programs, as well as bridge loans, tax-increment financings and other financings and incentives for real estate and operating business projects. The firm’s capabilities extend beyond pursuit of these resources to also include coordination of business and transaction planning and execution. 

Mr. Lavrinc also serves as Chief Executive Officer of Callay Capital LLC, a real estate investment fund management company headquartered in Pittsburgh, PA. Mr. Lavrinc has led operations for the regional community and economic development private investment vehicles known as the Power of 32 Site Development Fund (continuing since this fund’s formation in 2014, which Mr. Lavrinc assisted in creating) and the Strategic Investment Fund (from 2017-2023), and previously served as General Counsel to affiliated fund advisor PenTrust Real Estate Advisory Services, Inc. in its management of the regional union building trades’ Employees Real Estate Construction Trust Funds. 

Mr. Lavrinc received a B.S. in Accounting from the Pennsylvania State University, with distinction from the Schreyer Honors College.  Mr. Lavrinc later received a J.D. from the University of Pennsylvania, together with a Certificate of Management and Public Policy from the Wharton School of Business for real estate studies.

Cameron Dively

Cameron Dively brings over 5 years of experience in tax credit finance with a focus on New Market and Historic tax credits. As the Senior Consultant for New Market and Historic Tax Credits at Grow Community Development Capital LLC Mr. Dively oversees all elements of the firm’s NMTC activity including relationship management for both clients and investors, project marketing, and coordination of closing processes. He also supports the firm’s Historic Tax Credit activity, primarily through the marketing and closing management phases.

Mr. Dively has a BA in Ethics, History, and Public Policy from Carnegie Mellon University and an MBA from the Kelley School at Indiana University.

Want to Learn More?

If you are interested in learning more about our services or about Historic Tax Credits generally, please complete the form below. A member of our team will be in touch shortly thereafter.