Press Contact Only:
Margaret Matrone, NCHFA, 919-877-5606, mamatrone@nchfa.com
Connie Helmlinger, NCHFA, 919-877-5607 cshelmlinger@nchfa.com
Federal tax credits and other financing awarded last week to build affordable apartments in 30 North Carolina counties are expected to support 7,100 jobs. Nearly $307 million in development will result from the tax credits and loans approved last week by the Tax Reform Allocation Committee and the North Carolina Housing Finance Agency.
“These 42 affordable apartment developments will provide housing opportunities for working families and seniors, improve communities, and build local tax bases,” said NC Housing Finance Agency Chairman Sam Ewell. “Building them will keep thousands of North Carolinians working in construction and related industries.”
The new awards will produce 2,482 privately owned, privately-managed affordable apartments. Seventy-two percent of the recently approved apartments (1,777 units) will be designated for families, and 705 units will house elderly residents. At least 248 of the apartments are targeted for persons with disabilities. The new awards will bring the number of Housing Credit apartments built in the state to more than 60,000.
In addition to the federal tax credits, 20 of the apartment developments will receive loans totaling $14.7 million approved by the NC Housing Finance Agency’s board of directors. All the developments will receive state tax credits as authorized by the General Assembly. The loans and state tax credits make it possible to produce affordable apartments in rural counties where incomes are low, and to reduce the rents in urban counties.
All of the apartments are affordable at 60 percent of median income, and many are affordable at 50 percent or 40 percent of median due to the additional financing. For a family of four, this ranges from $47,940 (60 percent in Wake County) to $20,960 (40 percent in low-wealth counties, such as Vance or Wilkes). The state’s Key Program operating assistance makes apartments affordable for persons with disabilities living on Supplemental Security Income (SSI) of approximately $660 a month.
The NC Housing Finance Agency evaluates the tax credit applications on behalf of the Tax Reform Allocation Committee, which consists of Secretary of Commerce J. Keith Crisco, State Treasurer Janet Cowell and State Budget Director Andy Willis. The evaluation includes independent market studies of each property and site visits by agency staff. Each property is rated for architectural design, rent affordability, financial stability, capability of the development team, and criteria to ensure statewide distribution of the financing.
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The North Carolina Housing Finance Agency is a self-supporting public agency. It has financed 206,000 homes and apartments in the last three decades, including nearly 83,000 homes for first-time home buyers. To learn more, go to www.nchfa.com or call 919-877-5700 or 800-393-0988.
