How deals are scored
The rubric, weights, and calibration the engine runs on every page load
Five-category weighted scoring rubric for evaluating historic / multi-credit-stack real estate deals against Monarch Private Capital's revealed investment preferences. Score range 0-100 (with up to +6 bonus). Threshold ≥70 = term-sheet ready, 55-69 = watchlist, <55 = deprioritize.
QRE (Qualified Rehabilitation Expenditures): the IRS-recognized eligible cost basis for HTC credits. Throughout this page, "rehab spend" and "QRE" refer to the same number.
Categories
1. Tax credit stack density · weight 30%
How many qualifying credits can stack on this single deal. Mirrors Monarch's revealed preference for multi-credit projects.
Components
- Federal HTC (20%)10 pts
- State HTC8 pts
- Niche state credit (SC Mill / Abandoned, IL River Edge, etc.)5 pts
- LIHTC layered (9% or 4%)5 pts
- Rooftop ITC / NMTC / other2 pts
Maximum: 30 points
2. Historic / regulatory readiness · weight 20%
How far along the building is in the certification process. Closer to closing = higher score.
Components
- National Register listed or contributing8 pts
- Local landmark designated0 pts
Often serves as substitute for NR; do not double count with nr_listed_or_contributing
- NPS HTC Part 1 approved3 pts
- NPS HTC Part 2 approved5 pts
- State SHPO HTC allocation / reservation4 pts
Maximum: 20 points
3. State / city policy environment · weight 15%
Is the building in a state where Monarch actively underwrites, with a generous state credit program? Plus geographic bonuses.
State tiers
- ATier15 pts
SC · OH · NE · WI · IN · RI · MA · MO · IL · NY · CA · LA · MD
- BTier10 pts
GA · NC · KS · NH · VA · TN · PA · MI · TX
- CTier3 pts
other
Bonuses
- Chicago LaSalle Reimagined site3 pts
- Illinois RERZ certified city (River Edge zone)3 pts
Maximum: 18 points
4. Developer relationship · weight 15%
Is the sponsor a known Monarch repeat partner? Monarch's pipeline is heavily relationship-driven.
Tiers
- AMonarch repeat partner15 pts
Clarity Development, TWG Development, Zimmerman Properties, CRP Affordable Housing & Community Development, KCG Companies, Rivington Company, GoVenture Capital Group, Riverstone Platform Partners, Foutch Brothers, Baldovin Development, Prime Group, Riverside Investment & Development, DL3 Realty, Schaumber Development, Southport Development, MirKa Investments, MRE Capital, Chinburg Properties, Peabody Properties, Hunt Capital Partners
- BEstablished HTC/LIHTC developer with 3+ closed deals nationally10 pts
- CFirst-time or unknown developer5 pts
Maximum: 15 points
5. Deal size / feasibility · weight 20%
Total development cost in Monarch's modal band, with a quantifiable financing gap that tax equity fills.
Size bands
- modalTDC $20M to $75M12 pts
- edge$15M to $20M or $75M to $150M8 pts
- outlierTDC outside edge band4 pts
Bonuses
- HTC equity gap explicitly identified in public financing docs / pro forma5 pts
- Affordable set-aside ≥ 30% of units3 pts
Maximum: 20 points
Calibration examples
Expected ranges anchor the model to real outcomes. Actual scores are computed live by the scoring engine on every page load. Drift between expected and actual is a signal that the engine or the inputs need attention.
| Deal | Expected | Actual | Tier | Status |
|---|---|---|---|---|
| 135 S. LaSalle (Field Building) | 85 to 92 | 86 | A | In range |
| 1904 Farnam (Omaha) | 82 to 88 | 88 | A | In range |
| Stedman & Fuller (Providence) | 76 to 82 | 77 | A | In range |
| 30 N. LaSalle (calibration: non-historic) | 38 to 48 | 44 | C | In range |
Source: rubric.json (versioned with the engine in src/lib/scoring.ts) · Last refreshed 2026-05-19