Contact: Cullen Werwie, 608-267-7303
29 Projects Expected to Create 1,200 Construction Jobs, 1,400 Units of Affordable Housing
Oshkosh and Milwaukee–Governor Scott Walker today awarded $17.1 million in Affordable Housing Tax Credits to fund affordable housing project developments across the state of Wisconsin and create approximately 1,200 construction jobs. The tax credits, which are distributed by the Wisconsin Housing and Economic Development Authority (WHEDA), will move forward 29 developments that will create 1,400 units of affordable rental housing.
“Affordable housing and economic development are essential components to getting our state’s economy back on track. Each development awarded tax credits not only meets local housing needs, they also stimulate economic growth in the form of high-paying, family supporting jobs for our communities,” said Governor Scott Walker. “With these tax credits, private developers are able to move forward with construction of properties that they would often time be unable to finance on their own.”
Governor Walker made two announcements at the future sites of Fair Acres Town Homes and Brewery’s Point Apartment. The Fair Acres Town development received over $760,000 in tax credits to provide new construction town homes for families in Oshkosh. The Brewery’s Point Apartments received over $760,000 in tax credits to provide new construction senior housing in Milwaukee’s Park East corridor. WHEDA received 59 applications this year representing nearly $37 million in requests, a reflection of the highly competitive nature of the federal tax credits. Of the 29 developments awarded allocations this year, 8 are within the City of Milwaukee and 11 in Milwaukee County.
Tax credits are awarded over a ten-year-period through the federal housing tax credit program. The 2011 awarded tax credits are worth over $171 million over their 10-year lifespan. In exchange for receiving the tax credits, developers agree to reserve a portion of their housing units for lower- and moderate-income households for at least 15 years. Remaining units are rented at market rates to seniors and families without income limits.
Tax credit developments must meet high design and operating standards. Criteria include strong management, excellent development quality, demonstrated market need, provision of services and amenities, proper local zoning and permits, and service to households at various income levels.
The tax credits will help finance units of new affordable housing in other communities including Appleton, Caledonia, Fond du Lac, Rhinelander, Richland Center and Wausau. Projects receiving tax credits include assisted living facilities, elderly housing and transitional housing for families at risk.
“This year’s Affordable Housing Tax Credits will generate an estimated $250 million in economic activity for Wisconsin,” said WHEDA Executive Director Wyman Winston. “The program is designed to attract private equity capital for quality rental housing production. The success of this program is a strong testament to Wisconsin’s housing professionals dedicated to offering safe, quality affordable housing options in our state.”
“2011 marks the tax credit program’s 25th year in existence and WHEDA is proud to play a key role in administering this federal resource, which, to this date, remains one of the state’s most successful public-private partnerships,” said Winston.
Visit wheda.com for a complete listing of all 2011 tax credit allocations.
WHEDA is a public body corporate and politic created in 1972 by the Wisconsin Legislature that provides low‐cost financing for housing and small business development in Wisconsin. Since 1987, WHEDA’s award of housing tax credits has contributed to the construction of over 39,000 units of affordable housing throughout Wisconsin. For more information on the affordable housing tax credit program, visit http://www.wheda.com or call 800-334-6873.