Communities all across the country are grappling with how they can finance and build more affordable housing. In Ada County, the vacancy rate for affordable rental units is less than one percent.
“That virtually means that there are people standing in line to take over an apartment that someone is leaving. So essentially it’s a zero vacancy here in the market place,” said Gerald Hunter, president of Idaho Housing and Finance Association.
Adare Manor, a new 134-unit affordable housing development, is helping to meet that demand. A coalition of community partners came together on October 29 to cut the ribbon on Boise’s newest affordable housing development.
Adare Manor, located in the heart of downtown, targets renters earning 60 percent of Area Median Income or less, which translates to about $42,200 for a family of four. Adare Manor will include 120 affordable apartments, 1 manager unit, and 13 market rate apartments. Monthly rents range from $500 to $1,500 depending on income and the number of beds. The $28 million project would not have been possible without the financing and support from a number of community partners including: the city of Boise, Idaho Housing and Finance Association, Zions Bancorporation/ California Bank & Trust, the Richman Group/ American Express, and Capitol City Development Corporation.
“This is exactly the kind of housing that we are working to create all across the city through our Grow our Housing Initiative,” said Boise Mayor Dave Bieter.
The city of Boise contributed nearly $500,000 from their general fund, nearly $1 million in federal HOME dollars, and provided a reduced lease on the 3.1 acres the project sits on.
“By finding creative ways to be part of projects like this, we can help ease the affordability challenges facing our residents right now,” said Mayor Bieter.
IHFA contributed a little more than $1 million in federal HOME funding from HUD, issued $18.1 million in tax-exempt bond financing, and allocated a little more than $1 million in Low-Income Housing Tax Credits. Zions Bancorporation and California Bank & Trust then purchased the tax-exempt bonds and will provide permanent financing for the development.
“Partnerships like this are pivotal in providing safe, stable, and affordable housing in the Treasure Valley and throughout Idaho, “said Hunter. “IHFA has been privileged to work alongside a number of organizations and the city of Boise to help finance Adare Manor and other projects, including New Path Community Housing and Valor Pointe.”
The Pacific Companies along with Northwest Integrity Housing Co., the nonprofit partner of Thomas Development Co., co-own Adare Manor.
“We are pleased to be able to bring 134 units of new, high quality affordable and market rate housing to downtown Boise,” said Caleb Roope, CEO of The Pacific Companies.