Low income housing tax credit program helps create New Hampshire jobs.
BEDFORD, NH – November 14, 2012 – (RealEstateRama) — New Hampshire Housing approved Low Income Housing Tax Credit (LIHTC) funding for six affordable housing developments across the state, making possible the construction of a combined total of more than 180 units of affordable rental housing for low- and moderate-income residents. These housing developments are also expected to create almost 500 jobs while they are under construction.
The LIHTC Program is a federal program that encourages private investment in new, affordable rental housing. The six projects that received funding are Notre Dame Senior Housing in Berlin, Woodbury Mill in Dover, Gile Hill apartments in Hanover, Marlborough Senior housing in Marlborough, Pine Valley Mill in Milford, and Harriman Hill in Wolfeboro.
• Notre Dame Senior Housing in downtown Berlin, which will be developed by Tri-County CAP in Berlin, will convert an abandoned, historic school into 33 low-income apartments with long-term support services.
• Woodbury Mill in downtown Dover will use federal historic tax credits to transform an 1885 shoe factory mill into 42 low-income apartments. The project is sponsored by The Housing Partnership in Portsmouth.
• Gile Hill Apartments will be a continuation of a development started in 2004. This new phase will build 15 two-bedroom apartments, 13 of which will be targeted specifically to households that make less than 60% of the area’s median income. Twin Pines Housing is developing the project.
• Marlborough Senior Housing in Marlborough will renovate a town-owned school building into 24 apartments for low-income households. Southwestern Community Services in Keene is sponsoring the project and will also provide supportive services to residents.
• Pine Valley Mill in Milford, which is sponsored by Dakota Partners will redevelop a mill building from 1870. The building will hold 50 apartments for low-income families and a commercial center that will offer 25,000 square feet of space.
• Harriman Hill in Wolfeboro is the second phase of a larger project by Laconia Area Community Land Trust (LACLT). The first phase, which built 24 family apartments, was completed this year. This new phase will add 24 more units of workforce housing to the Lakes Region community.
The LIHTC program, which is administered in the state by New Hampshire Housing, grants federal income tax credits over a 10 year period to eligible projects. These credits are then typically purchased by private investors who become limited partners in the projects, which helps reduce the need for public subsidies. The result is that the approximately $2.8 million in tax credits allocated each year can be leveraged into $22 to $24 million in project funding—funding that creates local jobs and keeps investment dollars in the state.
“The LIHTC Program is a successful example of a public-private partnership that provides a tremendous boost to our state’s economy,” said Dean Christon, Executive Director of New Hampshire Housing. “These projects are providing much-needed housing for our seniors and the workforce while also helping New Hampshire’s housing market become stronger.” Today, LIHTC generates an average of 80 percent of the funding for all affordable rental production in New Hampshire. More information about the LIHTC Program can be found at www.nhhfa.org.
New Hampshire Housing Finance Authority is a self-supporting, public benefit corporation established by the state legislature. The Authority operates a number of programs designed to assist low- and moderate-income persons to obtain housing. Since its inception, New Hampshire Housing has helped more than 39,000 families purchase their own homes and has been instrumental in financing the creation of more than 14,000 multi-family housing units. More information about its programs can be found on the agency’s website at www.nhhfa.org.
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