Investment in Qualified Affordable Housing

Park makes certain equity investments in various limited partnerships that sponsor affordable housing projects. The purposes of these investments are to achieve a satisfactory return on capital, help create affordable housing opportunities, and assist the Company to achieve our goals associated with the Community Reinvestment Act.

The table below details the balances of Park’s affordable housing tax credit investments and related unfunded commitments as of June 30, 2017 and December 31, 2016.



(in thousands)	June 30, 2017		December 31, 2016
Affordable housing tax credit investments	$	56,219	$	52,947
Unfunded commitments	21,282		14,282

Commitments are funded when capital calls are made by the general partner. Park expects that the current commitments will be funded between 2017 and 2027.

During the three months ended June 30, 2017 and 2016, Park recognized amortization expense of $1.9 million and $1.8 million, respectively, and during each of the six months ended June 30, 2017 and 2016, Park recognized amortization expense of $3.7 million, which was included within the provision for income taxes. Additionally, during the three months ended June 30, 2017 and 2016, Park recognized tax credits and other benefits from its affordable housing tax credit investments of $2.4 million and $2.3 million, respectively, and during the six months ended June 30, 2017 and 2016, recognized tax credits and other benefits from its affordable housing tax credit investments of $4.9 million and $4.7 million, respectively.