$4M committed for affordable housing
Franklin County officials have committed $4 million to four developments that would create 273 affordable apartments for lower-income residents.
It’s the first planned outlay from a larger effort to jump-start affordable housing construction around the county, particularly in areas along existing or planned public transportation routes and near schools, doctor’s offices and other amenities.
But there’s a catch: The money outlined in separate letters of intent signed by the Franklin County commissioners won’t be disbursed until the developers involved secure federal tax credits and other funding to bring the projects to fruition.
“Shovels aren’t going in the ground tomorrow — this is a multi-year, phased process,” said Alex Beres, assistant economic development director for the county. But, he added: “These projects would not get off the ground if not for the initial inducement from the county.”
The funds are coming from a new “Magnet Fund” program, established in Franklin County’s Economic Development and Planning office as part of an affordable housing initiative approved by the commissioners about a year ago.
The commissioners plan to allocate about $65 million over the next decade to spur the development of 2,000-plus affordable housing units. The effort is backed by an increase in conveyance fees, paid as part of real estate transactions, that was implemented by the commissioners in October.
The goal is to provide a local incentive for developers to pursue federal low-income housing tax credits and other funding for housing construction and rehabilitation projects.
Those projects are needed not just to provide residential options for low-income residents but also to lure companies considering relocations or expansion in central Ohio.
The latter decisions aren’t only based on the cost of land and infrastructure anymore, said James Schimmer, the county’s economic development director.
“It’s more about quality of life and work force availability,” he said.
Projects selected during the first funding round from the county’s Magnet Fund are proposed at Cleveland and Myrtle avenues in Linden, south of West Broad Street near Lincoln Village and Hilltop, on Lockbourne Road on the South Side, and on Reeb and Morrill avenues on the South Side.
“We’re looking to put dense, affordable housing along transit corridors,” Beres said. “We want to drive the market to continue to build affordable housing along these areas.”
The county’s contributions range from $660,000 to more than $1.3 million, and the projects could be ready for residency by 2022. A set number of apartments in each complex would be open to lower-income residents, with rents priced below market value.
“We can’t judge our community’s success by how well the wealthy are doing,” Commissioner John O’grady said in a released statement. “It’s not meaningful success unless all of our residents have a chance to be successful, and no one can fully participate in our growing community if they can’t afford to live someplace decent.” mkovac@dispatch.com @Ohiocapitalblog