The planned expansion of affordable housing in Jacksonville is getting a boost in funding from the state.
The Illinois Housing Development Authority Board announced yesterday conditional awards totaling nearly $26 million in federal low-income housing tax credits.
IHDA Spokesperson Andrew Field says that the credits are sold to investors to generate capital for the 18 affordable housing projects located in 12 counties across the state.
“Developers submit competitive applications that are scored by the Illinois Housing Development Authority, and then we typically award the credits sometime around May or June every year. And this year it will fund 1,159 new units of affordable housing that will remain affordable for thirty years. We have set aside to ensure that the tax credits are spread throughout the state and this year there is some good downstate development.”
IDHA officials say that once the credits are sold to investors, the credits are estimated to generate $235 million in private capital to finance the creation of the housing.
Locally, the Downtown Villas project in Jacksonville was one of the 18 projects awarded tax credits. According to the listing information, the Will County Housing Development Corporation and the Morgan County Civic Services will construct 44 new housing units across 7 buildings on North Main Street that will include a mixture of two, three, and four-bedroom units.
16th District Congressman Darin LaHood said in the announcement that low-income housing tax credits are one of the best incentives from the federal level for helping to develop affordable housing and that many of the projects, especially in rural areas, would struggle to find funding without them.
Other downstate communities benefiting from the program include Champaign, Peoria, Lincoln, and Wood River among others.