Governor Dannel P. Malloy today announced plans for $18,335,000 in grants and loans to help fund thirteen affordable housing developments in the state.
“Increasing the availability of affordable housing is a top priority because the benefits extend far beyond the families and communities immediately impacted,” the governor said in a statement. “More and more, we understand the economic results — studies show that affordable housing increases spending and employment opportunities, boosts revenue for local governments, and reduces foreclosures and the negative associated costs. Expanded housing options for our workforce also give employers a competitive advantage when trying to attract top talent to their companies.”
“The Department of Housing and the Connecticut Housing Financing Authority (CHFA) are combining efforts, when feasible, to pursue a multi-layered approach to help fund housing developments in the State-Sponsored Housing Portfolio,” said Evonne Klein, commissioner of the state Department of Housing (DOH). “It’s an approach that includes financing from CHFA or private sources, equity investment through tax credit allocations, and gap financing from DOH to address capital needs of developments all across the state.”
“We are proud to be part of the team working to strengthen the state’s housing portfolio,” Eric Chatman, President and Executive Director of CHFA, said. “Each investment in these units has a direct impact on the quality of life for residents, while increasing safety, sustainability and reducing operating costs.”
Almost $17 million will be distributed among four projects including:
- Danbury — The Glen Apartments, owned and managed by the Housing Authority of the City of Danbury, contains 100 apartments for the elderly in 23 buildings, which were constructed in two phases between 1962 and 1964. This major rehabilitation project will include converting heating and cooling systems, upgrading lighting and insulation, installing Call for Aid systems, and installing individual meters for each apartment. The project will also include creating new ADA-compliant apartments, installing an emergency generator, improving the community building to make it fully handicapped accessible and making site improvements to replace impervious surfaces and better manage storm water drainage. The project will be funded with 4% Low-Income Housing Tax Credits (LIHTCs) and Tax-Exempt Bond (TEB) financing from CHFA and $4.3 million in gap funding provided by DOH.
Westport — Sasco Creek Apartments, owned by the Westport Housing Authority and managed by Millennium Real Estate Services, is a moderate rental development comprising 33 individual mobile homes built in 1985. The property will be completely redeveloped to include 54 new apartments and new infrastructure. The project will be funded with 4% LIHTCs and TEB financing from CHFA and $5.7 million in gap funding provided by DOH.
also, about $1.6 million will be awarded in predevelopment grants for costs such as architectural design, environmental studies, and other early-stage development costs for projects including theBorough of Naugatuck Housing Authority: $250,000 for Oak Terrace
The funding needs approval from the State Bond Commission, which is controlled by Malloy and next meets on December 13. The tax credits require the approval of the CHFA Board of Directors.