The Indiana Housing and Community Development Authority has awarded low-income tax credits to two developers building affordable housing in Evansville.
HOPE of Evansville will receive $1.2 million in low-income housing tax credits to build the Homes of Evansville II Project. The development will consist of 60 affordable housing units, twelve of which will be set aside for people with intellectual and developmental disabilities.
Another $1 million in tax credits will go to the Advantix Development Corporation for their Evansville Townhomes project. That will add another 60 units to the city’s low-income housing stock.
Most affordable housing developments in the U.S. are built using these credits. Developers sell them to investors who then deduct some of that amount from their taxes for ten years.
These credits have helped finance low-income housing developments throughout Evansville.
Kelley Coures, executive director of the Evansville Department of Metropolitan Development, said the announcement shows that Evansville’s land bank works to provide affordable housing in the city.
Coures added that the Promise Zone designation that covers parts of the city helps developers compete for the small number of available tax credits.