This year’s selected projects place particular importance on preserving existing housing and meeting the housing needs of communities across Greater Minnesota.
SAINT PAUL, MINNESOTA — On Thursday, the Minnesota Housing Board of Directors selected and advanced housing projects that will receive almost $191 million in funding. These investments will help create or preserve 2,276 single-family homes, rental apartments and manufactured-home community lots.
Altogether, the selected projects represent more than $480 million in housing development and are expected to support approximately 4,400 jobs.
The total funding includes projects from every major area supported by Minnesota Housing: multifamily rental housing, single-family homeownership opportunities and infrastructure improvements for manufactured-home communities.
Rental Housing Investments
The selected multifamily rental projects will support 959 housing units.
Nearly 55% of these units, representing 523 homes, will be newly constructed. The remaining 45%, or 436 units, involve preserving existing affordable housing.
Thirteen of the 21 selected multifamily developments are located in Greater Minnesota. These projects account for 62% of all the recommended developments and will provide a combined total of 596 units.
The selected rental projects will also attract more than $175 million in additional federal funding generated through the federal Low-Income Housing Tax Credit programme.
Finding safe, stable and affordable housing can be difficult for renters. At the same time, some property owners struggle to maintain and manage affordable rental properties. Preservation funding helps these owners repair and improve existing affordable homes so they can continue serving residents for many years.
These investments will address essential maintenance needs in properties receiving federal Section 8 project-based rental assistance. They will also support properties at risk of losing affordable units because of conversion to market-rate housing, serious physical maintenance problems or limited ownership capacity.
Among the selected multifamily developments, 230 units receive federal Section 8 project-based rental assistance, while another 303 units meet other recognised preservation needs. The funding will improve the buildings’ physical condition while also strengthening the properties’ financial stability.
Several selected rental developments are intended to serve specific groups. These include 186 units designated for senior citizens, nearly 90 units reserved exclusively for people with disabilities and 280 units for people who have experienced homelessness or require supportive services.
One of the supportive housing projects is Bickham Court Apartments in St. Louis Park, previously known as Perspectives Apartments. The development will receive support for improvements and long-term stability following Trellis’s quick intervention.
Trellis acquired the property after its former owner became bankrupt, helping preserve 56 affordable apartments that might otherwise have been lost.
Lieutenant Governor Peggy Flanagan said that when she learnt the Perspectives Apartments were at risk, she immediately thought about the mothers and children who could lose their homes. She expressed appreciation to Trellis for stepping in to purchase and protect the buildings and to Minnesota Housing for supporting the improvements. She added that these services are essential to helping Minnesota families achieve housing stability.
Homeownership Investments
For homeownership projects, the board approved 46 developments that will support a total of 587 homes. Of these, 172 will be newly constructed.
Minnesota Housing also provides funding for the renovation of owner-occupied homes, the purchase and rehabilitation of properties for resale, and downpayment assistance. These programmes are designed to make homeownership more affordable for people throughout the state.
Dreamliner Estates LLC is one of the successful applicants selected to receive single-family housing funding. The developer plans to construct 34 new homes in St. Cloud.
This is the first time Dreamliner Estates has received financial support from Minnesota Housing. The company will have access to $3.4 million in funding to support 16 of the 34 homes it plans to build.
Manufactured-Home Community Improvements
In addition to the rental and homeownership investments, Minnesota Housing selected nine manufactured-home community projects to receive a combined total of $2.7 million.
The funding can be used for infrastructure improvements such as electrical work, water and sewer system upgrades, the construction or repair of storm shelters, and improvements to roads and pavements.
Bonnevista Terrace is one of the selected communities. It is a privately owned manufactured-home community in Shakopee with 202 lots.
With grant funding from Minnesota Housing, Bonnevista Terrace will be able to replace its entire electrical system. The community will also upgrade its technology so that the electrical system can be adapted to meet future needs.
Statewide Impact
The selected projects cover communities across Minnesota and include multifamily rental housing, single-family homes and manufactured-home developments.
Minnesota Housing Commissioner Jennifer Leimaile Ho explained that every community faces housing difficulties, although those challenges differ from one town to another.
She said she was pleased that the agency could support many projects throughout Greater Minnesota. She also credited the state legislature for making a broad range of programmes available to address different local needs. These needs may include additional supportive or senior housing, more affordable single-family homes, or infrastructure improvements within manufactured-home communities.
Source: https://www.ncsha.org/
