Syndication or limited partnership to monetize tax credits

[Rich Hupper]

Hello

Does anyone have experience monetizing state and federal tax credits to raise capital for a project or bring equity into a deal? How does it work through a limited partnership? What does the limited partner expect to get out of the deal in addition to the tax credits?

How much does it cost in legal and accounting fees just to set this up properly?

I am currently looking at a deal where it only makes sense if I can monetize  the  tax credits the owner plans to transfer to a new buyer.

Apparently monetizing the state credits is very easy done via a broker. However the federal credits require a limited partnership, between me the developer and an investor ( someone who would benefit from the credits )....

Thanks for your help.