Wytheville and Galax were among 28 projects to receive funding for affordable and special needs housing.
The funding – $24 million across the state – will create or preserve 1,635 affordable units for low-income Virginians, according to a release from the governor’s office. The funding aims to help increase affordable housing options, reduce homelessness and provide permanent housing for those with intellectual and developmental disabilities.
HOPE Inc. received $150,000 for plans to Wytheville’s Fairview Homes. The project will create 12 two-bedroom units with four units reserved for permanent supportive housing. Services for the permanent supportive housing will be provided through a memorandum of understanding with Mount Rogers Community Services.
In Galax, Northway, through Community Housing Partners, received $500,000. Northway is an existing affordable multifamily development of 72 units, including one-, two- and three-bedroom garden-style apartments. Eight of the units will be designed to meet Section 504 of the Rehabilitation Act and two units will be designed to serve sight and/or hearing-imparied residents. Sixty units will come with rental assistance that guarantees renter will not have to pay more than 30 percent of their income toward housing costs, including utilities.
“As the COVID-19 pandemic continues to create housing challenges in our Commonwealth and across the country, we are pleased to deploy this funding to support Virginians who are most in need,” said Gov. Ralph Northam. “The Affordable Special Needs Housing program is a valuable resource for increasing the availability of safe, affordable, and sustainable housing for low-income Virginians, particularly those with special needs. With this round of funding, we will advance projects that strengthen our communities and help ensure every Virginia resident has the opportunity to build a healthy, productive life in our Commonwealth.”
The Virginia Department of Housing and Community Development (DHCD) administers Affordable and Special Needs Housing (ASNH) loans, which combine state and federal resources to provide a simplified and comprehensive application process. Funding comes from three main sources: the federal HOME Investment Partnerships Program, the federal National Housing Trust Fund (NHTF), and the Virginia Housing Trust Fund (VHTF). Through the ASNH program, DHCD also supports the creation of Permanent Supportive Housing (PSH) units to serve Virginia’s most vulnerable citizens. In this round of funding, DHCD allocated more than $7 million through the HOME Program, over $4 million through the NHTF, $12.6 million through the VHTF, and an allotment of $500,000 through PSH funds.
Northam and the General Assembly invested an historic $55 million in the Virginia Housing Trust Fund this fiscal year, and the governor’s budget proposal increases this funding to $70.7 million in the current year. VHTF provides financing for construction projects that create or preserve affordable housing units, reduce the cost of affordable housing, and increase homeownership. This funding is a key source of financing for these affordable housing initiatives to support moderate- and-low-income families, as well as supporting homeless reduction grants to provide rapid re-housing and longer-term housing solutions for individuals experiencing chronic homelessness.
