The Pennsylvania Housing Finance Agency (PHFA) has announced funding for the construction or rehabilitation of 1,916 rental units, of which 1,801 will be affordable to households at or below 60% of the area median income.
The funding is coming from a variety of sources, including:
- More than $57.5 million in federal low-income housing tax credits (LIHTCs);
- More than $16.8 million in PennHOMES funding;
- More than $17.5 million in National Housing Trust Fund and/or Pennsylvania Housing Affordability and Rehabilitation Enhancement (PHARE) funding; and
- More than $22.6 million in state housing tax credits.
"We're pleased to announce these tax credit awards and additional funding that is so urgently needed to support the construction of more affordable housing around the state," said PHFA executive director and CEO Robin Wiessmann. "Even before the pandemic, there was a clear need for more rental housing that fits people's budgets. The demand is even stronger today, and this new round of tax credits is our best tool for creating and rehabilitating affordable housing."
The 1,801 affordable homes being funded include 76 units for households at or below 20% of the area median income (AMI) and 40 units for households at or below 30% of the AMI, sourced by the National Housing Trust Fund.
A list of the 41 multifamily housing developments being awarded tax credits today can be found here.
PHFA also announced a new initiative targeting an additional $1.8 million in matching dollars for four projects that recognize the strong connection between stable housing and improved health outcomes for residents. This effort builds on 18 months of planning funded by the National Council of State Housing Agencies to explore how housing agencies can best work with health care organizations to expand affordable housing options and, in turn, improve the health of people living in that new housing, according to officials.
That planning led to the creation of PHFA's Health for Housing Investment (HHI) program. The new program creates incentives in PHFA's LIHTC program and provides funding from the PHARE program, incentivizing developers to partner with health care organizations in financing affordable housing developments.
PHFA is supporting four HHI projects with PHARE funding, which is being matched dollar for dollar by several health care partners. One of these developments is Project HOME’s 45-unit North Park Avenue community in Philadelphia. The development is receiving a total of $600,000 from Jefferson Health, Penn Medicine, and Temple Health.
"We're excited about our new initiative that builds on the shared recognition that housing and health are closely intertwined," Wiessmann said. "We will monitor these four projects to learn more about how PHFA can best work cooperatively with health care organizations to provide more quality, stable housing that helps residents live longer, healthier lives."
