Texas Housing to Provide Almost $3.8 Million in Tax Credits
The Texas Department of Housing and Community Affairs (TDHCA) said it is providing financing to two high-quality rental properties in Houston offering reduced rents for seniors. The TDHCA is giving $1.91 million in housing tax credits to the developers of the 153-unit Orchard at Westchase Apartments, and providing $1.99 million in credits to help finance the 144-unit Magnolia Place Apartments.
Both developments will feature rents affordable to older tenants earning no more than 60 percent of the area median family income. For Houston, this equals an annual income of $31,260 for a two-person household.
Although both developments failed to receive a share of $68 million in credits through the 2010 Housing Tax Credit Program allocation cycle in July, each was placed on a waiting list in the event credits were returned to TDHCA by other developers. When the credits became available, the department allocated them to applicants on the waiting list in priority order.
When TDHCA Executive Director Mike Gerber announced the financing, he also cited a recent study by the National Association of Home Builders that estimates the one-year impact of a typical 100-unit property developed through housing tax credits to include 56 full-time construction jobs, $5.4 million in total wages and salaries, and $862,800 in tax and other revenue to state and local governments.