Financing Agreements Spur New Housing in Five Connecticut Communities

State housing agencies have recently signed financing agreements to create a total of 758 housing units across Connecticut, with more than half of them – 396 – being affordable for low- and moderate-income renters, the Department of Housing announced in August.

Another 18 units will represent permanent supportive housing for people experiencing homelessness and people with disabilities in Westport, according to a press release from the Housing Department and Connecticut Housing Finance Authority.

The developments are expected to provide new housing opportunities for residents in Norwalk, Stamford and Westport in Fairfield County as well as Norwich and Waterford in New London County.

“We’re excited that these finance agreements are done, and construction can begin,” Housing Commissioner Seila Mosquera-Bruno said in a press release. “These units will become permanent homes for our residents who deserve high-quality affordable living. DOH will continue to work as fast as possible to ensure our families and individuals have affordable housing options in their own communities.”

The projects will be funded by a combination of $25 million in loans and grants as well as low-income housing tax credits, expected to generate nearly $100 million in private investment.

The nearly 400 affordable units will be earmarked for residents making at maximum 80% of area median income in a given community. About 360 of those units will be funded by the Build for CT program, which supports the creation of apartments designed to be affordable for middle-income residents.

In Westport, a project funded by the Department of Housing involves acquiring an unoccupied building and converting all but one unit to supportive housing, the first time a project like that has gone underway in the town.

Through the partnerships, South Norwalk will see 161 new units reserved for households earning a maximum of 60% of local median income and 155 units for those making a maximum of 80% of that income.

Stamford will see a redevelopment project begin with 61 total units, 19 of which will utilize vouchers to support very low-income households, while a Westport will start with the acquisition of a property at 122 Wilton Road. This rehabilitated and unoccupied building will include 19 total units serving individuals and families earning a maximum of 60% of the area’s median income.

In New London County, Norwich will see a former mill building converted into a 146-residential unit project, with 50 of those units limited to residents earning up to 80% of area median income. Meanwhile, the third phase of the Waterford Woods project will add 216 units with 44 of them reserved for households earning up to 80% of the area’s median income.

These investments come at a critical time as Connecticut has struggled with an extended housing crisis, in which high demand and limited supply have contributed to rising housing costs for many families.

Posted by Joe O’Leary