Hogan Administration Announces Awards for Affordable Rental Housing
|O15 projects across the state will result in the creation or preservation of a record 1,837 units|
NEW CARROLLTON, MD (July 31, 2019) – The Hogan administration today announced the results of the Maryland Department of Housing and Community Development’s most recent application round for federal Low Income Housing Tax Credits and state Rental Housing Funds. More than $44 million in state funds and federal tax credits have been awarded to 15 projects, which will result in the creation or preservation of 1,837 high quality affordable rental units. This is the largest number of units financed in the history of the program in Maryland.
The 15 awarded projects are distributed between eight counties and Baltimore City. A focus for this year’s application round were projects located in Opportunity Zones, areas designated by the federal government to spur economic development. Six projects in Opportunity Zones were awarded $17.5 million, including South Street Centre, which will create 152 units for seniors and families in Frederick, and Sojourner Place at Wolfe, which will create 70 units in Baltimore City, including 35 units set aside for formerly homeless individuals.
“My administration is committed to making sure that seniors and families have access to affordable, quality housing,” said Governor Larry Hogan. “By investing in Opportunity Zones, we are able to leverage state resources and federal dollars to create the most impact.”
Awards are determined through competitive application rounds held annually by the department. For this latest competitive round, the department received 47 applications for projects in Maryland, requesting more than $122 million in financing. The 15 projects awarded will receive more than $22.5 million in state Rental Housing Funds and nearly $21.7 million in federal 9% Low Income Housing Tax Credits, leveraging more than $262 million in private sector capital. The department received the greatest number of applications in the history of the program.
By making use of a unique “twinning” financial structure, combining the competitive 9% credits with $5 million in noncompetitive 4% credits issued by the department, a record 1,837 total affordable rental units will be financed as a result of this round.
“Thanks to the creativity of our team, we were able to leverage other assets, such as 4% Low Income Housing Tax Credits to make our financing tools go further and help house more people,” said Secretary Kenneth C. Holt.
For a list of awardees, see Affordable Rental Housing Awardees 2019.