The Wisconsin Housing and Economic Development Authority (WHEDA) has awarded $1.8 million in low-income housing tax credits (LIHTCs) that became available under the recently approved federal Consolidated Appropriations Act.
The housing credits will fund affordable housing developments in Little Chute and Madison to create 152 units of rental housing.
“This LIHTC expansion is greatly needed to increase the number of affordable housing units in Wisconsin and across the country,” says WHEDA executive director Wyman Winston. “Wisconsin families that have access to affordable housing have more income to save for their future and more dollars to make spending decisions that improve their quality of life.”
The recent legislation increases each state’s LIHTC allocation by 12.5% for 2018 through 2021. In Wisconsin, that equates to approximately $1.8 million in additional LIHTC for 2018. This is the first expansion of the LIHTC program in over 10 years.
WHEDA has been the sole administrator for LIHTC in Wisconsin since the federal program began in 1986. Since then, WHEDA has awarded more than $363 million in housing credits, resulting in the development and rehabilitation of more than 51,000 units of rental housing for low- to moderate-income families, seniors, and persons with special needs.
On Feb. 27, WHEDA awarded $13.4 million in tax credits statewide to support 31 developments that will create 1,066 affordable rental housing units. For its 2018 award cycle, WHEDA received 51 applications representing $27.6 million in requests, demonstrating the highly competitive nature for this federal resource.
WHEDA awarded the additional LIHTCs to move forward two developments that had the highest score for any qualifying application that did not receive a tax credit award in 2018.
Regency Place Senior Living in Little Chute received $467,145 in tax credits. Developed by Alliance Housing Development and Keystone Development, this new construction project will provide 40 rental units with 32 senior units and eight supportive housing units. Thirty-four of the rental units are affordable, including eight apartments for households that are at or below 30% of the county median income. The total development cost for Regency Place Senior Living is $6.47 million.
The Grove Apartments in Madison received $1,339,272 in tax credits. Developed by MSP Real Estate, this new construction project will provide 112 rental units with 89 units for families and 23 supportive housing units. Ninety-five of the rental units are affordable, including 23 apartments that will be for households that are at or below 30% of the county median income. The city of Madison is contributing $3 million of Affordable Housing Fund resources to this $20 million development.
For a complete listing of 2018 LIHTC awards, visit www.wheda.com.
