The Colorado Housing and Finance Authority (CHFA) unveiled its new statewide housing fund, the Capital Magnet Fund, to support the development and preservation of affordable rental housing across the state. CHFA officials estimate these resources will help provide housing for approximately 725 Colorado households in both rural and urban communities.
Funding for the new Capital Magnet Fund comes from a $7.1 million grant recently awarded to the agency by the Treasury Department's Community Development Financial Institutions Fund. CHFA will use the proceeds to provide low-interest, flexible financing for developers building or preserving affordable rental housing.
“CHFA’s Capital Magnet Fund is an imperative resource to Colorado as our growing population, combined with escalating development and construction costs, continue to intensify an already challenging housing market,” said Cris White, CHFA executive director and CEO.
The new Capital Magnet Fund is designed to encourage affordable rental housing development and preservation that supports Colorado’s most vulnerable populations and communities. The new fund will provide subordinate financing—up to $750,000 per eligible project—at a 3% fixed-interest rate to developments that have been awarded federal housing credits. To learn more about CHFA’s Capital Magnet Fund and how to apply, visit CHFA’s website.
