Enhanced-Use Lease Program Management and Strategic Support

U.S. Department of Veterans Affairs (VA)

Strategic Program Development and Management, Management and Process Improvement Solutions, Financial Analysis, Training, Transaction Management and Execution
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Summary

Under its Enhanced-Use Lease (EUL) authority, VA may lease real property to the public or private sector for the provision of supportive housing to Veterans and their families. Prior EUL legislation allowed for the development of non-housing facilities. EULs offer improved services and new or renovated facilities for a lease term of up to 75 years. In return, VA receives cash and/or goods, services, facilities, or other in-kind consideration.

VA has engaged the Craddock Team (Craddock Group and specialty subcontractors) for the past four years to provide program management support for its entire portfolio of over 100 EUL projects and ongoing strategic transaction execution support for up to 15 EUL projects annually.

Approach

Portfolio Monitoring and Reporting

Developed and maintain a comprehensive portfolio database that tracks key metrics of the 100+ EUL projects nationwide, enabling VA to obtain accurate, real-time portfolio data and generate reports that satisfy monitoring and oversight requirements of VA leadership and external stakeholders.

Program Management Support

Provide support to VA for program fact sheets, internal and external presentation materials, budget documents, Congressional reports, newsletters, and other EUL stakeholder communications. The Craddock Team has also provided VA staff with training on the portfolio database and affordable housing finance.

Transaction Execution Services

Review and provide input on project development plans, development budgets and pro formas, site and design plans, environmental assessments, historic memoranda of agreement, capital contribution agreements, legal descriptions and boundary surveys, operations and maintenance plans, and tenant selection plans, among other documents. The Craddock Team assists VA by facilitating lease negotiations among VA stakeholders, the developers, and capital providers.

Strategic Support

Promote continuous improvement by working with VA to incorporate lessons learned and safeguard VA’s interests on each project. The Craddock Team’s involvement fosters consistency in lease language/terms, approach, and risk mitigation strategies across projects.

Since April 2017, with the support of the Craddock Team, VA has closed 11 EUL transactions consisting of 593 units of affordable housing for Veterans.

In addition, under predecessor contracts, Craddock Team members have supported VA in closing an additional 27 EUL transactions totaling 1,568 units of affordable housing for Veterans.

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Results

Results

Since April 2017, with the support of the Craddock Team, VA has closed 11 EUL transactions consisting of 593 units of affordable housing for Veterans.

In addition, under predecessor contracts, Craddock Team members have supported VA in closing an additional 27 EUL transactions totaling 1,568 units of affordable housing for Veterans.

Associated Capability

Real Estate Services