The Texas Department of Housing and Community Affairs (TDHCA) has announced awards through the 2021 9% Housing Tax Credit (HTC) Program allocation that will help finance the development or rehabilitation of rental properties offering reduced rents and increased housing options throughout the state.
According to a TDHCA press release, El Jardin in downtown Brownsville will receive $1,180,840 in housing tax credits, while the Price Lofts on South Price Road will receive $1.5 million in housing tax credits.
In total, TDHCA will provide nearly $84.7 million in housing tax credits to private developers constructing or rehabilitating 70 properties (totaling 5,192 units) across the state that will offer rents affordable to households earning up to 80 percent of the area median family income, the TDHCA said in a press release.
Investors purchasing credits allocated to developers may apply the credits toward their federal tax liability each year for 10 years on a dollar-for-dollar basis in exchange for their investment in the property; marking today’s awards an approximate value of $847 million over the 10-year term.
“With today’s awards, TDHCA continues its efforts to provide high-quality housing for Texans, with many serving our most vulnerable populations such as homeless veterans and the elderly,” explained Bobby Wilkinson, TDHCA executive director. “The housing tax credit programs serve as essential financial tools to aid in the development and construction of affordable housing, while also contributing to Texas’ strong economy.”