Gov. Wolf Announces Projects to Receive $3.7 Million for Community Revitalization
Harrisburg, PA (STL.News) Governor Tom Wolf announced six projects to be awarded $3.7 million for the construction or rehabilitation of mixed-used developments. The funding was raised through the sale of tax credits under the Mixed-Use Development Tax Credit Program, the proceeds of which are being used to fund the work of the Community Revitalization Fund Program.
The goal of the Community Revitalization Fund Program is to stimulate high-impact neighborhood revitalization projects around the state. This round of funding prioritized applications from smaller cities and communities, including third class cities.
“Mixed-use projects are always a plus because they bring not only new economic stimulus but much-needed housing, as well,” said Gov. Wolf. “I’m pleased to announce these awards, and I look forward to seeing their future impact in the communities where they’re located.”
The Mixed-Use Development Tax Credit Program is administered by the Pennsylvania Housing Finance Agency, and the selected projects were approved Thursday by its board of directors. The list of funding recipients is provided in the table below.
The Mixed-Use Development Tax Credit Program was created as part of the commonwealth’s fiscal year 2016-17 budget. The agency is allocated $4.5 million in credits annually to sell to generate community revitalization capital. PHFA was directed by the General Assembly to administer both the tax credit and program components of this initiative.
The Community Revitalization Fund Program seeks to expand or rehabilitate affordable housing stock coupled with retail/commercial space to promote community revitalization, especially in those parts of the state that are struggling economically. The term “mixed-use” for these projects refers to buildings that combine both commercial/retail and residential space.
“We anticipate the projects funded today will produce 83 new or rehabilitated residential units and 28,000 square feet of commercial-retail space,” said PHFA Executive Director and CEO Robin Wiessmann. “Most communities have an urgent need for more affordable rental units, and the commercial portion of these properties can be powerful economic drivers in the towns and cities where they’re located. We expect these six projects to be a welcome addition in their communities.”
The application of funding generated by the sale of the tax credits is flexible, and it could be used in a number of ways to address the program’s objectives. For instance, the dollars generated could fund the rehabilitation of older or underutilized buildings that can then help promote community development. Those buildings could be restored for commercial use and to provide affordable housing.