PETOSKEY, BIG RAPIDS — The Michigan State Housing Development Authority awarded more than $16.3 million in federal 9% Low-Income Housing Tax Credits to support the creation and preservation of more than 700 housing units across Michigan, including developments planned for Petoskey and Big Rapids.
Per a Dec. 22 news release, the authority said the competitive tax credits are intended to help developers build or rehabilitate housing for low- and moderate-income residents by reducing financing costs, which can support lower rents and long-term affordability.
Developers can claim the credit against their tax liability annually for up to 10 years.
“By leveraging public-private partnerships, we’re not only addressing housing affordability, but we’re also boosting local economies and strengthening communities,” said Tony Lentych, chief housing investment officer. “These LIHTC allocations reflect our ongoing commitment to expanding housing opportunities across Michigan.”
In Big Rapids, the authority allocated $1,075,000 in credits for Ryan Creek III.
DeShano Development and DR Asset Holdings plan to build 42 one-, two- and three-bedroom units for households earning between 20% and 80% of area median income.
The development is expected to create one permanent job and 47 temporary jobs.
In Petoskey, the authority allocated $1,500,000 in credits for Victories Square II. Community Housing Network and Odawa Economic Development plan to build 44 units for households earning between 30% and 80% of area median income. The release said seven units will receive rental assistance.
The development is expected to create 71 permanent jobs and 19 temporary jobs.
Across all projects receiving allocations, the authority said 11% of units being created or rehabilitated will be fully accessible and 530 units will meet visitability standards.
The Michigan State Housing Development Authority said the $16.3 million in 9% tax credits will support 14 projects in nine Michigan communities.