The Connecticut Housing Finance Authority (CHFA) announced Tuesday that roughly $10.4 million in state housing tax credits will be allocated to 24 nonprofit developers. The funding will support the creation or rehabilitation of more than 450 affordable homes and apartments in 15 towns, including Bridgeport, Norwalk, Sharon and Middletown.
Shovel‑ready projects to move quickly
CHFA’s Senior Director of Research, Marketing and Communications, Marcus Smith, said many of the projects are “shovel‑ready” and could break ground within six months. A few may take longer depending on the specific use, but all are slated to begin soon.
Addressing a massive housing shortage
State studies estimate Connecticut needs roughly 100,000 additional affordable units. The Housing Tax Credit Contribution (HTCC) program, created in 1987, has helped build, preserve or rehabilitate more than 12,000 units since 2010. Smith noted that the program has shifted from funding large, generic projects to supporting unique developments that would otherwise lack financing.
Variety of housing types
Among the funded projects are owner‑occupied multifamily buildings, supportive housing for formerly homeless residents, and three down‑payment assistance programs for prospective homeowners. Six supportive‑housing units will be built in Norwalk and Middletown.
Strong demand for flexible support
Last year the HTCC program received 37 applications requesting $16 million, but only $10 million could be awarded. This year, 24 applications were funded, reflecting a “strong desire for this type of flexible support from the state,” Smith said, describing the previous year as a “blip.”
Public‑private partnership
Eversource, a regional utility, is the primary investor in the program. Once nonprofits receive equity from Eversource, the projects are expected to move forward rapidly. Awardees must submit quarterly reports to ensure proper use of the credits.
Leadership’s view
CHFA CEO Nandini Natarajan called the HTCC program “an important part of the toolkit” for addressing Connecticut’s complex housing challenges. She emphasized that the credits can support new affordable rentals, homeownership opportunities, and the preservation of existing housing stock.
The allocation of these tax credits demonstrates the state’s commitment to expanding affordable housing options for families and individuals across Connecticut, while also leveraging private investment to maximize impact.
Original reporting: The Connecticut Mirror — read the source article.
