July 17, 2016
The City of Philadelphia has been awarded $9.3 million in state tax credits for eight affordable housing developments scattered across sites throughout the city.
Pennsylvania Governor Tom Wolf announced that a total $40.3 million in tax credits and $5.9 million in PennHOMES funding will be released to municipalities statewide through the Pennsylvania Housing Finance Agency. The project will create an additional 1,875 rental housing units for Pennsylvania residents, including 475 units in Philadelphia.
“This tax credit program touches many lives by making affordable housing available through a powerful partnership between the public and private sectors,” said Governor Wolf. “Pennsylvania communities win because the program makes possible the construction of housing for seniors, veterans and others that wouldn’t be possible otherwise.”
The tax credits awarded to developers are expected to attract more than $407 million of investment funding to support the construction and rehabilitation of multifamily housing that offers affordable rents.
PHFA Executive Director and CEO Brian A. Hudson Sr. said the new state funding is a positive sign for public-private enterprises to meet the demand for affordable rental units.
“The funding available through tax credits is in such high demand that every year we are only able to support about a third of the developments that apply,” Huson said. “This demonstrates not only the demand for more affordable housing but also the strong private sector interest in this program.”