Dear Housing Partners,
As you know, we have been incredibly fortunate with the amount of resources we have received from the federal government, state government, and our bond issuance activity. This increased funding has really moved MaineHousing forward in achieving Dan’s stated goal of quadrupling our rental production to 1,000 units per year.
Our traditional 9% LIHTC, 4% LIHTC, and supportive housing programs have had record activity thanks to the State Low Income Housing Tax Credit and additional available subsidy; and we have added additional programs this year: the Affordable Homeownership Program, the Rural Affordable Rental Housing Program, the Affordable Housing Initiative for Maine Islands, the Recovery House Program, and the HOME-ARP Program. We currently have over 80 projects and 3,700 units (3,303 low income units of which 2,103 are new units) in the pipeline with total development costs over $1 billion.
At this point, due to the commitments we have made, the rising costs and additional funding we have had to provide to projects, and the reduction in subsidy we can create through our bonds (due to rising interest rates), we must put overall limits on our programs as our resources are dwindling.
Following please find the subsidy remaining in each program:
4% Walk-In Program with Subsidy - $10 million in subsidy remaining
Rural Affordable Rental Housing - $10 million in subsidy remaining
Affordable Homeownership Program - $8.6 million in subsidy remaining
These limits are effective as of the time of this email. We will cease taking applications once the subsidy is spoken for. Any applications received before this email was sent will be reviewed for possible funding. Any applications received after this email will be considered on a first come first served basis until no further funds remain. Therefore, if you have a project, please be sure to submit your application as soon as it is ready and complete. We want to give everyone as much notice as possible, but we are receiving applications at a record pace, so funds are going quickly.
Please know that this does not include the $20,000,000 in ARPA funds reserved for projects with Project Labor Agreements and does not include the 9% LIHTC round with applications due next week.
It is also extremely important to make sure you include the proper contingencies in your budgets. With resources becoming scarce, MaineHousing will not have the ability to fill gaps going forward as we have this past year. Costs above budgeted contingencies will be the responsibility of the developer. We are incredibly thankful for everyone that works with us to address Maine’s housing needs. We have all worked so hard to put all our recent funding to work.
Thank you,
Mark C. Wiesendanger
Director of Development
MaineHousing
26 Edison Drive
Augusta, ME 04330
Office: (207) 626-4625
Cell: (207) 215-2996
Maine Relay 711
www.mainehousing.org
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