Lt. Gov. Crouch, IHCDA announce affordable housing investment
Lt. Gov. Suzanne Crouch, and the Indiana Housing and Community Development Authority (IHCDA) Board of Directors recently announced the recipients of the 2022 Low-Income Housing Tax Credit (LIHTC) program, which is used to incentivize private developers to fund the construction, acquisition and rehabilitation of affordable housing communities throughout Indiana.
More than $170 million over ten years in housing tax credits were awarded to 17 developments to create or preserve 895 affordable units that will serve individuals, families, seniors, individuals with disabilities and individuals experiencing homelessness.
“These awards are a major investment to our state’s infrastructure,” Crouch said. “The developments will help to meet the need to house our workforce and will bring hundreds of affordable housing units to communities across Indiana.”
IHCDA received 38 LIHTC applications requesting 2022 credits under the 2022 Qualified Allocation Plan (QAP). The QAP, which is unique to each authoring state, details selection criteria, and application requirements for the LIHTC program, Multifamily Bonds, HOME funds, Development Fund and the National Housing Trust Fund in conjunction with tax credits. It also contains all deadlines, application fees, restrictions, standards and requirements.
“IHCDA administers the LIHTC program to create and preserve affordable housing in the state,” said Jacob Sipe, Executive Director of IHCDA. “The tax credits awarded today will provide affordable housing developments with funds to create and preserve units that will remain affordable for at least the next 30 years.”
IHCDA incentivizes developments that will be in proximity and accessible to desirable facilities tailored to the need of the tenants, including access to services, retail, healthcare and transit. IHCDA prioritizes developments that will be in communities with nearby access to employment, access to post-secondary education and access to primary care. All 17 developments earned points in this category by demonstrating close proximity or location in these areas.
Five of the 17 developments will meet IHCDA’s commitment to individuals with intellectual and development disabilities by providing affordable housing in an integrated setting. These developments will create 58 units for this population.
Developers will create 82 units of supportive housing for persons experiencing homelessness by utilizing the Housing First model. Two of the 17 developments completed training through the Indiana Supportive Housing Institute and will help rapidly house individuals experiencing homelessness and provide intensive but flexible services.
Three of the developments will preserve 208 units of existing affordable housing, ensuring they remain affordable for at least the next 30 years.
Constructing affordable housing on vacant or unused parcels of land within existing areas that are otherwise largely developed remains a priority. Developing in these areas serves as a catalyst for future development in the community. Fourteen of the 17 developments meet this priority, creating 719 units.
In addition to LIHTC funding, the board also approved $3.8 million in Development Fund loans, and $3 million from the Housing Trust Fund.
For more information regarding the LIHTC program, visit our website.