Development provides housing for homeless, individuals with disabilities, and workforce housing

On Thursday, November 1, the Minnesota Housing Finance Agency (MHFA) announced plans for $87 million in affordable housing developments across the state, resulting in the creation and preservation of 1,717 units of affordable housing. The funding was provided by the Minnesota State Legislature through their 2018 bonding bill. Supported by Senator Rich Draheim [R-Madison Lake], the plans include $9.4 million in funding for the local Le Sueur Meadows II project, which will consist of 39 new one, two, and three-bedroom rental homes, with a mix of both workforce and supportive housing. The development will also include four units for high priority homeless households and four units for households with disabilities.

“Workforce and affordable housing is one the biggest needs our state faces,” said Senator Draheim, a member of the bipartisan Governor’s Taskforce on Housing. “Locally, I hear from employers and individuals alike who consistently face a shortage of affordable housing options. This not only prevents local businesses from attracting qualified employees, but also puts hardworking families in financially difficult situations. By working across the aisle to not only identify this problem but craft a solution, we are beginning to tackle Minnesota’s housing crisis.”

Statewide, the selected projects include a variety of single family home ownership and multifamily rental housing opportunities to meet the local needs of each community. The awards leverage many other funding sources, including federal, private, and local funds, to maximize the state’s investment. In total, the projects represent $364 million in development costs and 3,650 annual jobs. The projects were selected through a Consolidated Request for Proposal process, in which developers and administrators apply for a variety of funding sources through one common application.