Treasury Spends $309m to Jump-Start Affordable Housing

The US Treasury Department is providing $309m to fund affordable housing projects stalled by the dearth of investment capital in today’s marketplace. The money — the latest of six similar payouts from $3bn in American Recovery and Reinvestment Act funds — will be divided among seven states: Arizona, Connecticut, North Carolina, North Dakota, Pennsylvania, South Carolina, and Vermont. The money will be used to fund affordable housing projects that already received state tax credits, but haven’t been completed because equity investors could not be found. “Today’s announcement of housing funds demonstrates how the Recovery Act is putting our nation on the path to economic stability, one community at a time,” said Treasury deputy secretary Neal Wolin in a statement. “This initiative will help spur construction and development, create much needed jobs, and increase the availability of affordable housing for families around the country.” The money is funding projects big and small, across multiple counties and in localized areas, depending on the individual state. In North Carolina, the $95m received will help complete 2,000 housing units across 26 counties. “That money is going to produce 2,000 units. Without it, they wouldn’t get built,” North Carolina Housing Finance Agency spokesman Chris Austin told HousingWire. North Dakota’s $3.6m will go to fund a 51-unit housing project in Williston, in the northwest corner of the state, according to North Dakota Housing Finance Agency spokesperson Sarah Mudder. The region is experiencing a boom driven by oil discovery and development. As oil companies move in, bringing employees and their families, the supply of affordable housing hasn’t kept up. Write to Austin Kilgore.