Gov. Hobbs attends the start of quality family housing bringing 368 homes to Glendale.
Gorman & Company, one of the nation’s largest producers of affordable and workforce housing, is excited to break ground on Arizona’s first affordable housing community financed using state low-income housing tax credits! The groundbreaking ceremony was held on Friday, March 24, 2023, at 6775 N. 67th Ave. in Glendale, with Gov. Katie Hobbs in attendance.
Created by the Arizona Legislature through the passage of S.B. 1124 in July of 2021, this new state tax credit program is now producing hundreds of new affordable housing units across the state. As a result, Centerline on Glendale will produce 368 units of new mixed-income housing, generate $2.5 million in permitting and impact fees for the City of Glendale, $4.3 million in construction sales tax revenue for the State of Arizona, and nearly $400,000 in annual property taxes over the next ten years, 75% of which goes to the local school districts. In addition, the project will create hundreds of local construction jobs through this innovative public-private partnership.
Glendale Mayor Jerry P. Weiers commented, “I couldn’t be more pleased to welcome this development to Glendale. At a time when affordable housing is hard to find across the Valley, these units will fulfill a critical need for Glendale residents. This alone will not solve the problem, but it is a step in the right direction.”
With total development costs of over $120 million, Centerline on Glendale will be the single largest private investment in Glendale’s Centerline redevelopment area since it was designated for redevelopment in the 1990s! Gorman & Company secured $86 million in critical private investments from US Bank who will be purchasing both the state and federal tax credits and providing construction financing to the development. Other financing partners include Cedar Rapids Bank & Trust and the Arizona Industrial Development Authority.
State and federal housing tax credits were competitively allocated to the project by the Arizona Department of Housing, who is also providing gap financing from the National Housing Trust Fund and HUD’s HOME program funds. The Maricopa County Human Services Department also allocated $6 million in Coronavirus State and Local Fiscal Recovery Funds (SLFRF), a part of the American Rescue Plan Act (ARPA), to make the project possible. A project-based rental subsidy is being provided to certain units in the development through both the City of Glendale Community Services Department and the Arizona Health Care Cost Containment System (AHCCCS) with waitlist preferences for formerly homeless households and individuals suffering from mental illness, making Centerline on Glendale one of the largest permanent supportive housing developments in the nation!
According to Brian Swanton, President & CEO of Gorman & Company, “Centerline on Glendale is a shining example of how sound public policy in Arizona can lead to amazing results for our community! The state housing tax credit, passed by the Arizona Legislature in a bi-partisan fashion in 2021, is the sole reason this project was able to move forward. Gorman & Company successfully leveraged that tax credit investment into $120 million in financing, 90% of which is coming from the private sector. Now, 368 low- and moderate-income families will have a place to live near jobs, transit, parks, and education.”
Centerline on Glendale is tailored to a diverse population of residents, including single individuals, families with children, the elderly, disabled, Veterans, formerly homeless, and households with special needs. The units in the development will be fully accessible for the physically disabled and sensory impaired through the utilization of Universal Design principles for accessibility for the residents of Glendale. This project will provide quality, affordable housing units for households earning between 0% and 80% of the countywide Area Median Income (AMI), equating to rents for the one-, two-, and three-bedroom units ranging from $497 per month for the most affordable one-bedroom to $1,837 per month for the most expensive three-bedroom unit.
"It's going to take a while to get our inventory where it needs to be, but the addition of nearly 400 new rentals in the heart of Glendale is an example of how we can address our affordable housing shortage one investment and one partnership at a time," said Maricopa County Board of Supervisors Chairman Clint Hickman, District 4.
Future residents will have access to on-site wrap-around supportive services, a splash pad, a dog park, a business incubation space, a fitness and recreation center, a 13-acre walking path, and electric vehicle charging stations. Centerline on Glendale is located near the southeast corner of 67th Avenue and Glendale Avenue on a currently vacant 13-acre parcel of land that is within walking distance to Glendale High School and is adjacent to two major bus lines. The project will also be one block from the soon-to-be-constructed Mountain Park Health Clinic. The development will also contain an on-site commercial kitchen operated by Local First Arizona to serve entrepreneurs running small food-based businesses in the West Valley.
“By providing safe and comfortable housing that is within reach for all, we are not only improving the lives of the people we serve but also strengthening a community as a whole,” said Glendale Councilmember Jamie Aldama of the Ocotillo District. “I am excited to welcome this development to the Ocotillo District and look forward to welcoming residents to their new homes in the near future.”
Comentarios