Metropolitan Council Awards Housing Grants

Grants help advance four rental and four ownership projects in Bloomington, Chaska, Jordan, Minneapolis, Oakdale, Rosemount, Vadnais Heights and Ramsey County communities

ST. PAUL—Dec. 15, 2006--The Metropolitan Council this week awarded nearly $1.6 million of Livable Communities funds for affordable housing initiatives in metro-area communities. The Council approved eight housing grants for affordable ownership and rental programs in Bloomington, Chaska, Jordan, Minneapolis, Oakdale, Rosemount, Vadnais Heights and a group of communities in Ramsey County.

The funds will lend support to four ownership programs to help provide up to 30 affordable housing units, and four rental programs involving up to 122 new units, and the rehabilitation and preservation of 50 units.

“What is so impressive about the projects that receive Livable Communities grants is the collaboration that goes into them, with communities and other financing partners,” said Council Chair Peter Bell. “With fewer federal dollars allocated to affordable housing efforts, we see all kinds of innovation in the way we get these financial arrangements accomplished. Community Land Trusts, for example. It’s really quite remarkable and I give communities a lot of credit for the hard work that goes into helping their residents address and meet housing needs.”

Grants for ownership housing:

Clover Field Townhomes, Chaska--$75,000 to help three households with incomes at 50 to 60 percent of the area median income, or $39,250 to $47,100, to buy new three-bedroom townhomes in the Clover Field neighborhood. The three units will be placed in a land trust and remain permanently affordable to buyers who earn less than 60 percent of the area median income.

City of Lakes Community Land Trust, Minneapolis--$100,000 to help make six homes in the city more affordable by including the properties in a land trust. The land trust provides permanent affordability to households who live and work in Minneapolis but who are unable to afford to own a home using conventional means. These units will remain permanently affordable to homeowners who earn less than 80 percent of the area median income, or $62,800.

Tanner’s Lake Housing Rehabilitation Loan Program, Oakdale--$50,000 to help implement a home rehabilitation program for modest, workforce homes in the city’s oldest neighborhood as a way to preserve existing housing. The program, by leveraging public loans with other funding sources, will help rehabilitate up to15 homes, with the level of assistance depending on household income. The maximum loan amount will be $15,000 per home.

Rondo Land Trust, Ramsey County Communities--$100,000 to help support the Rondo Community Land Trust Homebuyer Initiated Program (HIP). Using HIP grants, participating homebuyers purchase existing homes on the open market and agree to enter into a Ground Lease Agreement with Rondo Community Land Trust to ensure the home will remain affordable for future buyers. Participating households are those with incomes at or below 80 percent of the area median income, or $62,800.

Grants for rental housing:

Blooming Glen, Bloomington--$290,000 for rental assistance at the existing 50-unit Blooming Glen family townhome development in Bloomington, which will be rehabilitated and preserved as federally-assisted Section 8 affordable rental housing for 30 years. All of the units will be affordable to low- and moderate-income households. The Livable Communities funds will be used to assist households earning 50 percent of the area median income, or $39,250 for a family of four.

Jordan Valley Townhomes, Jordan--$400,000 to help the city acquire a seven-acre site and build 46 units of rental housing. The location is near downtown within close proximity to schools, trails and other amenities. All the units will be affordable to households at 50 percent of the area median income, or $39,250 for a family of four.

Rosemount Family Townhomes, Rosemount--$145,000 to help build 30 family townhomes in eight two-story buildings in the north-central part of the city, north of downtown, with good access to State Hwy. 3. The site is currently vacant in a developing section of the city. All of the units will be affordable to households earning 50 percent of the area median income, or $39,250 for a family of four. The development will be owned and managed by the Dakota County Community Development Agency.

Willow Ridge Apartments, Vadnais Heights--$400,000 to help the city with construction of an apartment building on a 3.4-acre site in the southeastern portion of the community. The project will include 46 units. All will be affordable to households at 50 percent of the area median income, or $39,250 for a family of four.

The Council grant awards are part of a larger housing finance effort that also includes the Minnesota Housing Finance Agency (MHFA) and Family Housing Fund. The three agencies together this funding round awarded $13.7 million towards efforts to make housing affordable. MHFA is the largest contributor of the three, contributing more than $11 million statewide.

The combined efforts of the funding partners will help create 533 new housing units and rehabilitate and preserve 583 affordable units.

The Metropolitan Council is the regional planning organization for the seven-county Twin Cities area. It runs the regional bus and light rail system, collects and treats wastewater, coordinates regional water resources, plans regional parks and administers funds that provide housing opportunities for low- and moderate-income individuals and families. The Council is appointed by and serves at the pleasure of the Minnesota Governor.

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