The Inside
Track to

Investing in affordable housing is a compelling opportunity with the potential to provide a range of economic & social benefits, from diversification, the potential for some inflationary hedging and regular income to the fundamental community impact created through preserving affordability for residents.

The State of Affordable Housing

Shrinking Supply

According to the National Low-Income Housing Coalition, there is a national shortage of 7 million affordable and available rental homes for families at or below 30% of AMI.

Existing stock is largely being replaced with more expensive market rate apartments due to a confluence of factors; rising construction costs, growing regulatory burdens, and affordable housing challenges these developments face in local communities.

Growing Demand

More Americans—a total of 44 million households—are renting now than any time in the last 50 years. These include senior citizens, working families, professionals, veterans, and students.

The median household income of all renters is $38,944, or roughly 65% of the median income of all households in the United States.

Our Investment Approach


Acquire existing affordable communities in high barrier to entry locations with value-add potential


Address deferred maintenance and complete targeted capital improvements while driving results by improving operational efficiencies over a 5–10-year period


Execute exit strategies based on market dynamics with the potential to appreciate while further preserving affordability of each community

PEF Advisors’ Acquisition Strategy

Utilizing data, discipline, and our extensive network, we seek to identify and acquire affordable housing properties throughout the United States.

Investment Objectives

  • Acquire existing affordable housing including HUD and LIHTC properties (that have completed the 10-year credit period) that serve residents making 30% to 80% of AMI and can be income-certified to serve residents most in need of housing
  • Appoint professional property management that has a track record in managing affordable housing to ensure properties remain in compliance and drive operating efficiencies
  • Invest in capital repairs with a focus on energy efficiency retrofits to extend the useful life of building systems, preserve the quality of housing, and reduce waste

Quality Results While Preserving Affordable Housing

  • Improve the quality and preserve the affordability of assets upon expiration of tax credits
  • Seek to achieve targeted returns with durable cash flow while creating a positive social impact

Differentiated Management Strategy

  • Appoint new professional property management that has a track record and experience with PEF Advisor’s strategy
  • Address operational inefficiencies through focus on improving property management and reducing expenses

Relationship Focused with Dedicated Team of Experienced Professionals

  • National network of industry relationships, resulting from long standing relationships in affordable housing
  • Dedicated acquisition, asset management, and fund management teams along with in- depth affordable housing expertise through service agreements with in-house affiliate1

1Preservation Equity Fund Advisors, LLC (PEF Advisors) is an affiliate of the WNC & Associates, Inc. (WNC) family of companies. While PEF Advisors may draw on the resources of WNC and its subsidiaries and/or affiliates through services agreements, PEF Advisors is responsible for all investment, fund management and related decisions and actions of the investment vehicles it manages, independent of WNC and its subsidiaries and/or affiliates.

The PEF Advisors’ Advantage

Through our acquisition strategy we attempt to develop multifamily-driven returns, durable revenue streams and preserve affordability for low-income housing.

Market Strength

  • Social impact through serving residents most in need (>80% AMI with verified income)
  • Healthy AMI growth, jobs growth and population expansion

Sourcing Benefits

  • Embedded tactical advantages via in-house expertise
  • Proprietary software identifies optimal markets, including those with greatest variances between market and affordable rents

Operational Expertise

  • Obtain cash flow and capital growth by responsibly minimizing loss to lease and targeting tenant-base section 8 vouchers
  • Enhanced stability via improved property management and expense reduction

Platform Synergies

  • Secure industry network with reputation for quality and execution
  • Strong deal-flow through relationships and distinct focus on affordable housing
Our Funds

PEF Fund 1

California Preservation Equity Fund

  • Prototype fund raised to prove investment thesis
  • CA-only footprint
  • $25M closed and fully invested by 2019
  • Preserved $108 million in affordable housing

PEF Fund 2

Nationwide Preservation Equity Fund

  • High-cost housing markets throughout the U.S.
  • $100 million closed with anticipated final deployment in Q1 2023
  • Approximately $230 million in affordable housing preserved

Get in Touch With PEF Advisors