Carter Commons housing project selected for state tax credits
Earlier this fall, Carter Commons, a planned housing project in Great Falls, was selected for $6.5 million in federal housing tax credits to build 25 new affordable homes for seniors.
The Montana Department of Commerce and Montana Board of Housing manage the state’s allocation of federal housing tax credits and awarded $31 million in credits to developments in five communities to preserve or build 279 affordable homes.
“With rising inflation, some Montanans are struggling to keep up with bills and pay rent. Finding affordable rentals can be difficult, not just in Montana’s larger towns, but also its rural communities. Federal housing tax credits, which allow developers to borrow less construction money and pass the savings along through lower rent, are vital to the availability of more affordable homes,” according to Montana Department of Commerce release.
Federal housing tax credits flow through the state agency and fund the construction or rehabilitation of about 280 homes each year. This supports the creation an estimated 550 jobs, about $29 million in local wages, and more than $2 million in new taxes and revenues for local governments, according to the commerce department.
The board also awarded credits to projects in Libby, Missoula, Butte and Crow Agency.
The board received applications for six projects requesting more than $38 million.
“The members of the Montana Board of Housing faced a very difficult decision this year, as in every year, choosing which developments will receive federal housing tax credits funding,” Montana Board of Housing Chair Sheila Rice said in a release. “Enacting a state affordable housing tax credit, as recommended in the Governor’s Housing Task Force report this month, would present an incredible opportunity for the state to support the development of more affordable, attainable housing in the future.”
The Carter Commons developers applied for tax credits in 2021 but weren’t selected. That year the board awarded $6.1 million to renovate the Baatz building for permanent supportive housing.
In 2021, the developer, Housing Solutions, LLC, told the city that the project would include 36 one- and two-bedroom apartments for those 55 and older with income requirements.
The project, Carter Commons, would be located on 3rd Street, across from Carter Park and will go through the city’s normal development and construction permitting process.