DEPARTMENT OF COMMERCE

Friday, April 29, 2011

 

                        Penny Cope

                        Marketing & Web Specialist

                        Montana Housing Division

                        406-841-2846

 

                        Marissa Kozel

                        Communications Director

                        Montana Department of Commerce

                        406-841-2772

 

(HELENA) – The Montana Board of Housing (MBOH) awarded a total of $2,451,428 in Low Income Housing Tax Credits for affordable housing in the communities of Poplar, Wolf Point, Missoula, Helena and Great Falls.

 

All State Housing Finance Agencies, like MBOH, award Low Income Housing Tax Credits to housing developers, who turn the credits into construction funds by selling them to investors. These credits allow developers to borrow less money and pass through the savings in lower rents for low-income tenants.

 

The Montana Board of Housing is administratively attached to the Montana Department of Commerce.

 

 “The Tax Credit allocation process is a valuable financing tool that helps create affordable housing in the communities that need it most,” said Dore Schwinden, Director of the Montana Department of Commerce. “The MBOH does great work by providing financing for the development or rehabilitation of the state’s affordable rental housing stock, as well as low-interest loans for first-time homebuyers.”

 

Affordable Housing Projects Awarded Low Income Housing Tax Credits:

 

Fort Peck Homes II, awarded $614,401. Fort Peck Homesis a new construction project that will include 24 three- and four-bedroom homes in Poplar and Wolf Point. These homes will be rented with the eventual opportunity for home ownership. The houses are designed to use passive solar energy and will include covered porches and attached garages. This application was submitted by the Fort Peck Housing Authority. Each of these homes will be built on vacant or blighted sites which will be cleared prior to construction in an agreement with the cities of Poplar, Wolf Point, and Fort Peck Housing Authority. 

 

The Palace Apartments, awarded $616,250. The Palace Apartments project will remodel 60-efficiency, one- and two- bedroom units. Located in downtown Missoula, this development provides affordable housing to those who live close to resident services, transportation, and cultural facilities. The project will include solar panels, energy star appliances, roof greenscapes and rainwater collection. The Missoula Housing Authority is the project developer.

 

Cascade Ridge Senior Living, awarded $604,527. Cascade Ridge Senior Living is a new construction project in Great Falls for 39 one- and two- bedroom units for affordable elderly housing. The application was submitted jointly by Benefis Hospital and Mountain Plains Equity Group and will be built near Benefis Hospital. 

 

River Rock Residences, awarded $515,250. River Rock Residences is a new construction project in Helena consisting of 33 elderly one- and two-bedroom units. This entire project is designed to be 100% adaptable and accessible. Need for elderly housing is one of the considerations identified by the Helena Area Housing Needs Assessment completed in December 2010 by the Greater Helena Area Housing Task Force. The application was submitted by the Rocky Mountain Development Council. 

 

Tax Credits account for the majority of the country’s new rental housing that is affordable to low-income people. By providing an incentive for private sector investment, the Tax Credits have helped finance more than 2.4 million apartments nation-wide, for low-income families since its creation in 1986. Nationwide, the Tax Credits help finance more than 100,000 more apartments each year. In Montana, Tax Credit allocations enable the development of approximately 150 to 200 units of affordable housing annually. Since 1986, there have been over 5,800 units added to Montana’s inventory of affordable housing.