Five Idaho Developers Receive $1.2 Million to Build Affordable Housing

BOISE ­ Five Idaho developers received approximately $1.2 million in Low-Income Housing Tax Credits during a recent allocation round from the Idaho Housing and Finance Association (IHFA). Tax Credits were reserved for affordable multifamily rental housing developments in Chubbuck, Twin Falls, Rexburg, Weiser and Nampa, Idaho.

In Twin Falls, Tax Credits are reserved for KOA Development to complete a 60-unit affordable housing complex. Tax Credits are also reserved for Chubbuck's first affordable housing complex, a 96-unit rental community, built by Arave Construction. Links Properties, LLC, received two reservations to construct 28 affordable units in Weiser and 32 units in Rexburg.

A Tax Credit reservation is also made for Boise Neighborhood Housing Services to build 73 units in Nampa. All units will be rent restricted to qualified households earning 60 percent or less of area median income.

IHFA administrators are currently accepting applications for a Tax Credit application round ending Sept. 1. Approximately $225,000 will be reserved during this round.

As the state's administrator of the Low-Income Housing Tax Credit Program, IHFA receives approximately $1.4 million annually from the U.S. Department of Treasury. Tax Credits are allocated to multifamily housing developers in Idaho.

The Tax Credit program is a competitive allocation program. Participating owners receive Tax Credits annually over a 10-year period when they comply with program regulations including restricting the amount of rent charged to limited-income families.

"The Tax Credit Program is popular among developers who see the need to build affordable rental housing," according to Rod Beck, IHFA executive director. "It's one of the few federal incentive programs left to encourage the development of affordable rental housing."

Throughout the state, 77 projects offering more than 2,800 rental units have been built through the Tax Credit program; of these, 2,500 are designated for limited-income families. In 1995, 312 rental units were built, with 266 designated as affordable, and IHFA anticipates completion of an additional 704 units during 1996­97.

The Idaho Housing and Finance Association is a self-supporting, nonprofit corporate body. IHFA's mission is to promote affordable housing opportunities to Idaho's limited-income citizens. IHFA uses no state funds or state employees to support its operations.