The Saint Paul Housing and Redevelopment Authority (HRA) Board recently received an update on the first round of funding from the City’s 30% AMI Deeply Affordable Housing Fund. Approximately one-third (~$12 million) of the previously announced $37.5 million American Rescue Plan (ARPA) investment will be deployed to support these projects, which will increase the supply of deeply affordable multifamily rental housing in Saint Paul.
To be eligible for the first solicitation, projects had to be new construction, multi-family rental projects with four units or more; have at least 10% of the units at 30% AMI or below; commit to maintaining affordability for at least 30 years; and have an anticipated closing date of no later than the end of 2022.
In total, 11 applications were received. Two of the projects were fully funded by Ramsey County’s recent Inclusive Housing announcement. After review by staff, four projects were presented to the HRA Board on June 8, 2022 based on their alignment with the City’s goals and the amount of available funding.
Once complete, these housing developments will add nearly 250 affordable units in Saint Paul (at 60% AMI or below), with 75 deeply affordable units (at 30% AMI):
|Project Name||Developer||Address||Total Affordable Units||30% AMI Units|
|Phalen Village||MWF Properties||1180 Prosperity Avenue||76||33|
|Ashland Apartments||RS Eden||532 Ashland Avenue||17||17|
|Marshall Avenue Flats||PAK Properties||1619 Dayton Avenue||98||10|
|Twelve 22 University||JB Vang Partners||1222 University Avenue West||55||15|
These four projects will now move forward for final underwriting. The individual award amounts and official approval of the funding will be brought before the HRA Board for action at a future meeting.
The City will release a second solicitation for the Deeply Affordable Housing Fund later in 2022. This solicitation will further expand the supply of 30% AMI housing in Saint Paul.
This investment has been done in conjunction with Ramsey County, which has also dedicated $37 million of ARPA funds for deeply affordable housing. This collaboration will infuse more than $74 million of federal funding into affordable housing throughout Saint Paul and Ramsey County.
Last month, the Ramsey County Board of Commissioners approved an action to invest $21.6 million into affordable housing developments, ten of which are in Saint Paul. These projects will add another 172 units at 30% AMI across the city. In addition, the County Board also approved the allocation of the remainder of its previously committed ARPA funds ($17 million) for additional investments in affordable housing projects.
This historic investment by the City and County will greatly expand stable, permanent, affordable housing opportunities for Saint Paul’s lowest-income residents, who are most cost-burdened and disproportionately affected by the housing crisis.