“We were relatively pleased with the previous compliance company but because they were out of state, we felt as though they didn't have as much experience or knowledge with the state of Texas. Switching to Capstone was a no brainer! We chose Capstone because Capstone is a one stop shop. The nice thing about the services is that it's completely customizable. I didn't get the feeling nor have I experienced Capstone trying to nickel and dime me for their services. In fact, I can truly appreciate the fact that it always feels like Capstone is simply trying to help, no matter who I speak with at Capstone. Capstone's services have made all the difference in navigating through the TDHCA requirements. This is our first tax credit property and getting to know all the specifics that come with a tax credit property can be overwhelming. Capstone has helped make the experience much easier. We would absolutely recommend Capstone! Whether you need just a little help, occasional guidance, or if you literally need them to take over a mess, they're there for you. They do not pressure you one way or another. They simply present you your options and guide you accordingly and they're very helpful every step of the way.”
• Haresh Patel, affordable housing developer and owner in Texas
Capstone Compliance Services has successfully partnered with several management companies, developers and owners to provide clean up services and reputation improvement campaigns for troubled portfolios. Recently, a developer was notified by the state agency that they were restricted from pursuing further tax credit development in the state due to very poor adherence to affordable requirements for their assets. As development is this group’s primary focus, they immediately sought help from experts. Capstone was recommended to them as having provided beneficial services to assist others in the same situation. After significant due diligence, the company engaged Capstone Compliance Services to provide resident eligibility file reviews, audit support, and guidance in an effort to resolve non-compliance issues and improve their reputation with the state agency. Within 18 months, the restriction was lifted and the company was allowed to move forward with new development. This group attributes their success to the support they received from Capstone.
According to the Texas Department of Housing and Community Affairs the rate at which they are including potential fee assessments, as a part of the routine audit process, has risen 20% over the past year. Regulations are constantly changing and the enforcement agencies expect management teams to stay apprised of the changing requirements and ensure resident files are in compliance. Keeping track of these requirements, without a proven technology will leave any team exhausted and ineffective. If you take a moment to review the Capstone Compliance Successes document you will see unarguable evidence that our systems will bring your communities a better reputation, regulation adherence and revenue stream.
A property using Capstone’s Set-Aside Management services experienced a potential revenue increase of $4,145 per month. This equals $49,740 in increased potential revenues per year and, with a 7% capitalization rate, an increased Implied Value to the asset of $710,571.