MG CONSULTING SERVICES, LLC – Provides consulting services to developers of low-income housing, apartment complexes financed by USDA-RD in connection with the disposition of interests and the Tucker Act, prepayment claims’ proceedings. Megan and affiliates have evaluated over 700 partnerships owning pre-1990, USDA-RD financed apartment complexes across the country and were able to find viable prepayment damage for approximately 450 and assisted the developers in filing those claims in the present TAC II Settlement Proceedings.  One Hundred Eighty of the claims Megan has evaluated and assisted in filing have been awarded settlements totaling $61 million to-date.

As most partnership agreements do not have specific provisions for the distribution of such settlement proceeds, i.e. are they operations and “cash flow” and split 95% to the General Partner and 5% to the Limited Partner or are they from a “major capital event” and the Limited Partner gets all of its capital back first and then it is split 50-50 with the General Partner?

Accordingly, as part of its valuable services, Megan’s principals, attorney and CPAs, help structure these distributions to the greatest benefit, both distribution and tax wise, to its client. HMS ASSOCIATES, LLC – provides financing to owners and developers of and purchases General and Limited partnership interests in low-income housing, apartment complexes financed by USDA-RD.

MEGAN ADVISORS, LLC – Development, Financing, Tax Credit, USDA-RD, Preservation and Rehabilitation Specialists - provides development services to developers of low-income housing, apartment complexes, including selecting and managing to development teams, preparation and filing of tax credit, HOME, other financing and USDA-RD transfer applications, LIHTC syndication consulting and placement and purchase and sale of USDA-RD financed properties.

PK MEGAN & ASSOCIATES, LLC- Invested in and provided development and management services for acquisition/rehab tax credit, multi-family apartment complexes financed by USDA-RD. – In Texas, put together entire development team, selected properties, prepared tax credit, HOME and USDA-RD transfer and assumption applications and closed on acquisition and completed rehabilitation of 50, 44 and 24-unit USDA-RD apartment complexes with 2009 tax credits and on 50, 48, 36 and 24-unit USDA-RD apartment complexes with 2010 and 2011 tax credits and the rehabilitation on 2 24 unit apartment complexes with 2012 tax credit awards.

MEGAN PROPERTIES MANAGEMENT, INC (Owner-President) – Manages apartment with tax credits taken over by related companies.

In 1998, Megan Properties Management, Inc., was managing agent for partnerships owning approximately 205 units in the states of Mississippi and Florida, until each partnership reached the end of its 15-year, tax credit compliance period, in or about 2004, and the investors’ interests could be sold.  

In 2008 through 2013, Megan Properties Management was approved in Texas and managed those apartment complexes on which PK Megan & Associates completed the acquisition and rehabilitation. These consisted of approximately 364 units of affordable housing, with low-income housing tax credits.

In 2016, Megan Properties Management was approved to and manages 5 apartment complexes in Texas of which its affiliate, Megan Asset Services, LLC, is the General Partner. These consist of approximately 180 units of affordable housing, apartment complexes with low-income housing tax.

In 2017, Megan Properties Management was approved to and manages 23 apartment complexes in Texas of which its affiliate, Megan GP Services, LLC, is the General Partner, Interim General Partner (RD approval pending) or are owned by third parties. These consist of approximately 880 units of affordable housing, apartment complexes with low-income housing tax credits.

MEGAN ASSET SERVICES, LLC (Owner-Manager) - The entity that serves as interim General Partner pending USDA-RD approval of it as substitute General Partner when a General Partner dies or is removed from one of the limited partnerships in which a Megan affiliate has an interest.

In 2016, Megan Asset Services, LLC purchased and was approved to become the General Partner of 5 RD apartment complexes in Texas, which consist of approximately 180 units of affordable housing, with low-income housing tax credits.

MEGAN GP SERVICES, LLC (Owner-Manager) – A series limited liability company that invests in taking over General Partnership interests and also serves as interim General Partner pending USDA-RD approval of it as substitute General Partner of the limited partnerships in which a Megan affiliate has a limited partnership interest.

In 2017 and 2018, Megan GP Services, LLC purchased and was approved to become the substitute General Partner in 8 RD apartment complexes, has been appointed and is acting as Interim General Partner in 7 other RD apartment complexes and is under contract to purchase the General Partnership interests in 8 additional RD apartment complexes in Texas, which consist of approximately 700 units of affordable housing, with and without low-income housing tax credits.

MEGAN ASSET MANAGEMENT, INC. - Specializes in the takeover, management and sale of USDA-RD financed, real estate limited partnerships and general and limited partnership interests.

As of December 15, 2016, affiliates of Megan purchased the General Partnership Interests owned by affiliates of First Sterling Financial, Inc. (“FSF”) in 32 investment funds (each, a “Fund”).  Each Fund invested in affordable multi-family housing projects financed by USDA-RD, all of which were also financed with federal low income housing tax credits.    

The portfolio consists of 101 properties that are generally located in rural areas and have a 50-year, USDA-RD mortgage loan which is subsidized to an effective interest rate of 1%. 

The projects were syndicated through multiple retail investor Funds (retail in that the limited partners in the Funds are mostly individuals rather than companies) where the Fund owns the limited partner interests in one to seven different projects. Each project has a local general partner who owns and manages the project. The Funds have individual investors who have received all of the projects’ tax credit benefits over the compliance period. There was a common General Partner for 30 of the funds, First Sterling Partners No. 2 L.P. and a common General Partner for two of the funds, First Sterling Partners No. 3 L.P. 

Megan’s affiliate, HMS Associates Acquisition, LLC, is now the General Partner and another affiliate, Affordable Housing Partnership No. 30, LLC is now the limited partner of First Sterling Partners No. 2 L.P. and First Sterling Partners No. 3 L.P. Those two are the General Partners of the 32 Funds that own the Investor Limited Partner interests in 101 partnerships that own and operate the affordable housing projects.  These partnerships own about 2,575 dwelling units located in 26 states.  

Megan will take over the performance of the asset management services previously performed by FSF’s affiliated, NCP Partner Services, Inc. 

In 1990, Megan was appointed Trustee of a $200 million, bankrupt real estate, limited partnership portfolio which Megan took over and became the replacement General Partner.  Megan saved $60 million of investor funds and the related $220 million investment portfolio of tax credit and non-tax credit, USDA-RD financed projects when a major, national syndicator was forced to place all 56 of its investor limited partnerships into bankruptcy.

As the General Partner, manages Kingsley Estates Limited Partnership and Wellington Estates Limited Partnership. These partnerships own interests in the so-called “black-hole” (those which were not eligible for tax credits when build), multifamily housing, projects in many states. These partnerships have approximately100 individual investors.  

Megan evaluated and obtained in excess of $13 million in prepayment damage claims for the general and limited partners in these partnerships.

RAUSCH COLEMAN CRAY, LLC- Developer of 700+ single family lots and 60 acres of commercial space in Grandview, MO. Located and acquire property, achieved rezoning, Corps of Engineers, Phase I Final Plat, Community Development District and TIF approvals; construction of infrastructure completed and sold to builder for construction and sale of single-family homes.