Linn County Leads the State in Workforce Housing Funding
Nov 23, 2021
When you think about workforce, do you think about housing? You should. Having affordable housing is a key factor to retaining and recruiting workforce, and you could almost hear cheers throughout the Economic Alliance recently when the State announced several workforce housing tax credit awards for the region. In fact, Linn County led the State in the number of housing tax credits handed out.
The Workforce Housing Tax Credit program provides tax benefits to developers to create new housing. Developers get tax credits so they can keep rents lower, and the housing units can then be more affordable. Projects are scored competitively based on readiness, financing, need and local support and participation.
Eight housing projects in Cedar Rapids, Marion, and Hiawatha garnered the tax credit awards, which will eventually lead to 647 new housing units. The Cedar Rapids Metro Economic Alliance assisted in many of the tax credit applications that resulted in nearly $7.5 million in awards for the projects. In all, the Economic Alliance helped secure nearly 25% of the money awarded in the State.
“It’s a competitive program so the awards highlight the quality of the projects that were submitted for approval,” said Ron Corbett, vice president of economic development for the Economic Alliance. “Workforce is the number one issue facing our employers today. We’ve implemented various strategies to retain our high school and college graduates along with attracting people to the region. Having housing available is a critical component to our overall strategy.”
These housing projects will also provide an economic boost of more than $100 million in new construction for the Cedar Rapids metro.
Housing and population growth go hand in hand. Recent census data shows Cedar Rapids grew 9% in the last decade. Corbett says that growth requires a variety of housing needs including affordable housing, which is a critical segment of a community’s housing portfolio. These housing projects will help fill that need.
Here’s a look at the metro projects awarded housing tax credits:
- HVCD Multi-Family Rental 48 Hiawatha Linn 2022, $1,000,000 2021 New Const. Awarded
- Green Park Apartment Living Multi-Family Rental New Const. 69 Marion Linn 2022 $1,000,000 Awarded
- Rose Cottage Villas L.C. Single Family Attached Rental New Const. 76 Cedar Rapids Linn 2022 $1,000,000 Awarded
- The Hub Multi-Family Rental New Const. 114 Cedar Rapids Linn 2022 $1,000,000 Awarded
- Iowa Building, Cedar Rapids, Iowa Multi-Family Rental New Const. 41 Cedar Rapids Linn 2022 $975,559 Awarded
- Czech Village Pocket Neighborhood Revitalization Single Family Attached Owner Occupied New Const. 25Cedar Rapids Linn 2022 $524,100 Awarded
- Marion IA - Boulevard Apartments Multi-Family Rental New Const. 94 Marion Linn 2022 $1,000,000 Awarded
- Union at Wiley Multi-Family Rental New Const. 180 Cedar Rapids Linn 2021 $1,000,000 Awarded
- A list of all the awarded workforce housing tax credit projects can be found at www.iowaeda.com/UserDocs/fy22worforce_housing_awards.pdf.