The Texas Department of Housing and Community Affairs (TDHCA) has awarded $76.6 million in low-income housing tax credit (LIHTC) allocations to 72 affordable housing developments across the state.
The 2018 credits reflect the four-year 12.5% increase to the per capita LIHTC allocation that was part of the omnibus spending bill earlier this year.
“High-quality affordable housing serves as a vital component to the state’s economic prosperity, accommodating an ever-expanding workforce and meeting the needs of households living on fixed incomes,” said Tim Irvine, executive director of TDHCA, in a statement. “The tax credits allocated today give cities and communities long-term solutions for sustainable and purposeful growth, providing a positive impact on local economies by retaining existing households and attracting new residents.”
The LIHTCs will help finance the construction of 64 new developments with 4,997 units and the rehabilitation of eight properties with 560 units. TDHCA’s at-risk set-aside, which totals more than $11.5 million, will be used for the rehab or redevelopment of aging properties that could soon lose their rental subsidies.
“This year, every eligible at-risk application we received will be awarded their requested tax credits,” added Marni Holloway, TDHCA director of multifamily finance. “Because of this, TDHCA’s efforts will go deeper into rural regions than previous award cycles and help preserve affordability for some of our most vulnerable Texans.”
Since 1987, over 247,000 affordable housing units have been built or preserved in Texas using the LIHTC program.
