Minneapolis Review

City of Minneapolis issued the following announcement on Dec. 18.

The Minneapolis City Council has approved $14.3 million in direct investment and $1.3 million in 10-year federal tax credits to create or preserve 952 units of affordable multifamily rental housing in 10 projects located throughout the city.

These investments are the result of awards from the City’s Affordable Housing Trust Fund and federal Low-Income Housing Tax Credit programs for 2020. Together, these investments will leverage over $266 million in additional private and public resources.

The Affordable Housing Trust Fund creates new and preserves existing affordable housing for low income renters with incomes at or below 50% area median income (AMI), or $51,700 per year for a family of four. Almost 75% of these renters experience cost burden (pay more than 30% of their income for housing) because of the affordable housing shortage in the city. Members of the BIPOC community are disproportionately impacted by housing instability.

“We are again seeing remarkable results thanks to our sustained, strong investments in the City’s affordable housing funds,” said Mayor Jacob Frey. “The need for affordable housing has only deepened amid the pandemic and this new and preserved housing – especially the 170 deeply affordable units at 30% area median income – will be critical in serving more Minneapolis residents and families.”

“If we have learned anything during this pandemic, it’s the importance of access to affordable housing in good times, but especially in bad times,” said City Council Member Lisa Goodman, chair of the Council’s Business, Inspections, Housing & Zoning Committee. “These partners will bring online and the city will help finance more than 950 homes for those at various income levels so that our precariously housed neighbors have a place to call home in our city.”

The Affordable Housing Trust Fund and the federal Low-Income Housing Tax Credit programs provide up front equity and gap financing to assist with the production and preservation of decent, safe, and affordable multifamily rental housing.

The City Council approved the following project today for a preliminary reservation of the federal Low-Income Housing Tax Credit program totaling $1.3 million:

• In Ward 8, $1,291,376 for the 3301 Nicollet project, 64 units of low-barrier affordable rental housing including units for people experiencing long-term homelessness, mental illness and co-occurring addiction.

These tax credits will generate over $10.9 million in up front equity for this development.

The City Council also approved just over $14 million from the Affordable Housing Trust Fund for the following projects today:

• In Ward 10, $2,315,000 for the Whittier Community Housing project, 85 units of preservation and expansion of affordable family housing.
• In Ward 9, $780,000 for the Greenway Apartments project, 79 units of mixed income and family housing.
• In Ward 10, $1,260,000 for the Simpson Community Shelter and Apartments project, 42 units of deeply affordable supportive housing for high priority homelessness combined with emergency shelter housing.
• In Ward 6, $2 million for the Agra project, 175 units of mixed income housing with a hydroponic greenhouse operation that will provide discounts for residents facing food insecurity.
• In Ward 10, $1.2 million for the St. Stephen’s Housing project, 44 units of deeply affordable supportive housing for high priority homelessness combined with emergency shelter housing and a health clinic.
• In Ward 5, $1 million for the Currie Commons project, 177 units of mixed income housing with five high priority homeless units, 18 units of supportive housing for families and 13 units serving people with disabilities.
• In Ward 1, $1 million for the Northrup King Residential project, 81 units of mixed income housing, including units for large families with 22 three-bedroom units and one four-bedroom unit.
• In Ward 5, $1 million for the Plymouth Avenue Apartments project, 63 units of affordable senior housing.
• In Ward 8, $1,920,000 for the 3301 Nicollet project, 64 units of low-barrier affordable rental housing, including units for people experiencing long-term homelessness, mental illness and co-occurring addiction.
• In Ward 2, $1,850,000 for the Malcolm Yards Affordable Housing project, 142 units in a multi-phased, mixed use, mixed-income development.

Original source can be found here.