Tuesday, July 7, 2009

Two Cincinnati projects win federal tax credits

Two Cincinnati projects have won a portion of more than $26 million in federal housing tax credits through the Ohio Housing Finance Agency.

The funding, awarded to 39 applicants through the 2009 Housing Tax Credit Program, is meant to facilitate the acquistion, development, and rehabilitation of affordable housing units throughout the state.

The local projects include:

  • Dana Hotel, Over-the-Rhine: A 41-room single-room occupancy hotel for residents with severe and persisting mental illness, operated by Tender Mercies. The $507,393 in tax credits will allow for building renovation, the addition of a half floor to the top of the structure, and the increase of at least 120 square feet of all units.
  • St. Paul Village, Madisonville: A 124-unit senior housing facility operated by Episcopal Retirement Homes. The $948,936 in tax credits will allow the Model Group to reduce the number of units to 103, including 96 one-bedroom apartments and 7 efficiencies. Project-based Section 8 rental assistance will be available for 71 of the units.
Housing tax credits can be claimed for a period of ten years and are deductable from the developer's federal tazable income, with building owners required to maintain affordable monthly rent and limit occupancy to residents with low and moderate income levels for up to 30 years.

Over 120 applicants sought funding during this round.

Local projects not making the cut include Mercer Commons and North Rhine in Over-the-Rhine; The Elberon in East Price Hill, St. Leger Place Apartments in Evanston; Knowlton Lofts at Factory Square in Northside; and Roselawn Senior Housing.

Since 1987, the Housing Tax Credit Program has led to the development of over 14,000 affordable properties with more than 75,000 rental housing units statewide.

Previous reading on BC:
Cincinnati supports tax credits for Evanston rental project (3/18/09)
$10.2M St. Leger Place rental project seeks tax credits (3/10/09)
Affordable housing projects win federal tax credits (8/9/07)
Model Property Development seeking federal funds for fourteen-building rehab (7/3/07)
North Rhine Project could lead to 54 affordable units (6/12/07)