TEMPLE, Texas — The Texas Department of Housing and Community Affairs (TDHCA) has awarded more than $95 million in housing tax credits to help "finance the development or rehabilitation of more than 60 rental properties, offering reduced rents and increased housing options for Texans throughout the state," Governor Greg Abbott announced on Thursday, July 25.
The awards, provided through the TDHCA's Housing Tax Credit Program (HTC), reportedly have an approximate value of $955 million over a 10-year term, and will help developers "construct or rehabilitate" over 4,400 units offering affordable rent to households earning up to 80% of the median family income in their respective areas, according to Abbot.
Abbott said the 9% HTC's will help finance the construction of 45 "high quality, new properties", including the "adaptive reuse" of two existing properties with a total of 3,450 affordable units and the "acquisition and rehabilitation" of 18 properties offering 1,025 units.
“Texas continues to ensure that Texans across our great state have access to affordable housing options through the Housing Tax Credit Program,” said Abbott. “These awards are critical for developers and housing agencies to improve and upgrade affordable housing units and offer affordable rent prices in Texas. I thank the Texas Department of Housing and Community Affairs for working tirelessly to provide Texans in need with opportunities to care for their families and thrive. With programs like these, we will build a bigger, better Texas for generations to come.”
“The Housing Tax Credit Program serves as a crucial factor in making affordable housing available to hard working families, senior citizens and persons with disabilities,” said TDHCA Executive Director Bobby Wilkinson. “Today’s awards are an example of how the public and private sectors can come together to create a positive and long-term impact in communities around the state, including the rehabilitation of properties at risk of losing their affordability.”
The Housing Tax Credit Program is authorized under the United States Internal Revenue Code, stated Abbott, and is Texas' primary means of "directing private capital towards the development of affordable rental housing".
Developers reportedly use the proceeds from the sale of the credits to help finance their property. Abbott said the credits awarded may cover up to 70% of each property's eligible development costs.
Several Central Texas properties were listed in the HTC application awards, including:
- West Family Apartments, 625 E Tokio Road, West
- Bird Creek Senior Living, 3000 S. General Bruce Dr, Temple
- Westwood Apartments, 3001 Illinois Ave., Killeen
- Gatesville Crossing, 2909 S Hwy 36, Gatesville
The full list of application awards and amounts can be found at this link.
More about the HTC program can be found at this link.
More from 6 News: