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Resources for Affordable Housing Development

 

This page contains a collection of financing resources available to support the development of affordable housing in Connecticut. This is not an exhaustive list and is intended for informational purposes only. Please reach out to us at info@pschousing.org with additional programs to be added.

A PDF version of the Affordable Housing Resources Matrix is available here.

Programs Available to For-Profit Developers

Program Index:

  1. Connecticut Affordable Housing Program (AHP or FLEX)
  2. CHFA Multifamily Rental Housing Program
  3. Competitive Housing Assistance for Multifamily Properties (CHAMP)
  4. Federal Low Income Housing Tax Credit 4%
  5. Federal Low Income Housing Tax Credit 9%
  6. HOME Investment Partnerships
  7. Housing Trust Fund
  8. Land Bank & Land Trust Program
  9. Landlord Entrepreneurship and Affordability Program (LEAP)
  10. Multifamily Loan Fund Consortium
  11. Pre-Development Loan Program

 

Connecticut Affordable Housing Program (AHP or FLEX)

Fund Administrator: Connecticut Department of Housing (DOH)

Type of Funds: Development and preservation of affordable housing through:

  • Grants
  • Loans
  • Loan guarantees
  • Deferred loans

Property Size: No size limit

Additional Information: 

The Affordable Housing Program (also known as FLEX) is DOH's primary housing production program.

The program provides quality, affordable housing for Connecticut residents, promotes and supports homeownership and mixed income developments, and assists in the revitalization of urban and rural centers.

Applicants seeking funding may apply in any of the funding rounds set forth on the current DOH Funding Schedule for which they are eligible.

For More Information: Visit the DOH website's FLEX page.

 

CHFA Multifamily Rental Housing Program

Fund Administrator: Connecticut Housing Finance Authority (CHFA)

Type of Funds: Options include:

  • Construction-only loans
  • Construction/permanent loans
  • Permanent-only loans

Additional Information: 

Applicants must complete the CHFA/DOH Consolidated Application.

For More Information: Further information on the Multifamily Rental Housing Program is available on CHFA's website here and here.

 

Competitive Housing Assistance for Multifamily Properties (CHAMP)

Fund Administrator: Connecticut Department of Housing (DOH)

Type of Funds: Gap funding

Property Size: Unspecified

Additional Information: 

NOTE: There has not been a new CHAMP Notice of Funding Availiability since 2018. 

DOH seeks to leverage non-State funds to catalyze the creation and/or preservation of affordable multifamily housing to promote healthy lives, strong communities and a robust economy. DOH funds may be provided in the form of grants, loans or a combination thereof. In addition, funds awarded under this initiative may be combined with financial assistance from the Connecticut Housing Finance Authority, including 4% low-income housing tax credits and taxable and/or tax exempt bond financing.

Funded using Housing Trust Fund (HTF) Program funds, Affordable Housing Program (FLEX) funds, federal HOME Investment Partnership Program (HOME) funds, federal National Housing Trust Fund funds, and/or other available sources.

For More Information: Visit the DOH website's CHAMP page.

 

Federal Low Income Housing Tax Credit 4%

Fund Administrator: Connecticut Housing Finance Authority (CHFA)

Type of Funds: Pre-development, rehabilitation

Property Size: Unspecified

Additional Information: 

Provides tax incentives for using private equity in the development of affordable housing for low-income households. 

Developers can sell these credits to corporations or investors to raise equity for their project. In exchange, developers must set aside a percentage of units for low-income residents and maintain the affordability of the units for 30 years.

In Connecticut, the allocating and compliance agency CHFA develops the Qualified Action Plan. 

4% LIHTCs are awarded through a non-competitive, ongoing, open application process. 

CHFA offers training sessions to learn more about the LIHTC application process.

For More Information: Further information on the 4% LIHTC is available on CHFA's website here and here.

 

Federal Low Income Housing Tax Credit 9%

Fund Administrator: Connecticut Housing Finance Authority (CHFA)

Type of Funds: Construction

Property Size: Unspecified

Additional Information: 

Provides tax incentives for using private equity in the  development of affordable housing for low-income households. 

Developers can sell these credits to corporations or investors to raise equity for their project. In exchange, developers must set aside a percentage of units for low-income residents and maintain the affordability of the units for 30 years.

In Connecticut, the allocating and compliance agency CHFA develops the Qualified Action Plan. 

9% LIHTCs are awarded based on an annual competitive funding round. 

CHFA offers training sessions to learn more about the LIHTC application process.

For More Information: Further information on the 9% LIHTC is available on CHFA's website here and here.

 

HOME Investment Partnerships

Fund Administrator: Connecticut Department of Housing (DOH) - Federally-funded

Type of Funds: Pre-development, construction, services

Property Size: All

Additional Information: 

Provides HOME is the largest federally-funded program administered by the DOH and is designed to create affordable housing for low and moderate-income households. 

The HOME program is designed to: 

  • Provide quality, affordable housing for Connecticut residents 
  • Strengthen communities 
  • Expand the capacity of non-profit housing development organizations, and 
  • Leverage private sector participation

For More Information: Further information on the HOME program is available on DOH's website here.

 

Housing Trust Fund

Fund Administrator: Connecticut Department of Housing (DOH) - Funded through General Obligation Bonds

Type of Funds: Grants, loans

Additional Information: 

Designed to create affordable housing for low and moderate-income households. 

The program encourages the creation of homeownership housing for low and moderate income families, promotes the rehabilitation, preservation and production of rental housing and the development of housing which aids the revitalization of communities. 

DOH uses a competitive application process to award funds.

For More Information: Further information on the HTF program is available on DOH's website here.

 

Land Bank & Land Trust Program

Fund Administrator: Connecticut Department of Housing (DOH) - Funded through General Obligation Bonds

Type of Funds: Grants, loans, deferred loans

Property Size: Unspecified

Additional Information: 

The program is divided into two components: 

(1) Land Bank – Grants, loans or deferred loans to purchase land, which an eligible applicant can "bank" or hold the land for a period of up to two years, and 

(2) Land Trust – Grants, loans and deferred loans for acquisition, holding and managing costs, but land must be developed right away. The land underlying the units must be held in trust.

For More Information: Further information on the Land Bank & Land Trust program is available on DOH's website here.

 

Landlord Entrepreneurship and Affordability Program (LEAP)

Fund Administrator: Housing Development Fund (HDF) and Connecticut Housing Finance Authority (CHFA)

Property Size: 2-4 units

Additional Information: 

The HDF Income Limits will apply as long as the HDF Limit is within the CHFA Income Limit for the city/town where the property is located 

HDF, at its discretion, may increase eligible borrower(s) income to the maximum limit set by CHFA for the area 

Projected rental income must be included in the qualifying income for this program.  

  • 75% of the gross rental income from the 1st rental unit and   
  • 65% of the gross rental income for additional rental units must be included. 

There are no exceptions for Over Income Borrowers in Targeted Areas. 

Clients using HDF subordinate loans must also be within the programs’ respective income limits.

8-hour Homebuyer Education Certificate required for all buyers

Landlord Education Required for all borrowers

For More Information: Further information on the LEAP program is available on HDF's website.

 

Multifamily Loan Fund Consortium

Fund Administrator: Housing Development Fund (HDF)

Type of Funds: Pre-development, acquisition, construction, rehabilitation, permanent, mini-permenant (terms up to 2 years), bridge loans, lines of credit

Additional Information: 

HDF requirements may vary depending on the location of the project, affordable units range from 30% to 100% of total units. 

The Multifamily Loan Fund at HDF is a consortium of eleven banks brought together to finance affordable housing projects throughout Connecticut.

For More Information: HDF has released a commercial infosheet on the MFLC which can be viewed here.

 

Pre-Development Loan Program

Fund Administrator: Connecticut Department of Housing (DOH)

Type of Funds: Pre-development, construction, rehabilitation, redevelopment

Property Size: Unspecified

Additional Information: 

The Predevelopment Loan Program is directed to housing developers seeking assistance with predevelopment costs incurred in connection with the construction, rehabilitation, or redevelopment of housing for low and moderate income persons and families.  

Predevelopment costs are expenses that are not administrative and are necessary before the construction stage of a project begins.  Proposed projects to be supported with these predevelopment funds must be eligible for financial assistance from DOH.

For More Information: Further information on the Pre-Development Loan Program program is available on DOH's website here.

Programs Available to Nonprofit Developers

Program Index:

  1. Connecticut Affordable Housing Program (AHP or FLEX)
  2. CHFA Multifamily Rental Housing Program
  3. Competitive Housing Assistance for Multifamily Properties (CHAMP)
  4. Federal Low Income Housing Tax Credit 4%
  5. Federal Low Income Housing Tax Credit 9%
  6. HOME Investment Partnerships
  7. Housing for Elderly Persons
  8. Housing Trust Fund
  9. Land Bank & Land Trust Program
  10. Multifamily Loan Fund Consortium
  11. Pre-Development Loan Program
  12. State Housing Tax Credit Contribution Program (HTCC)

 

Connecticut Affordable Housing Program (AHP or FLEX)

Fund Administrator: Connecticut Department of Housing (DOH)

Type of Funds: Development and preservation of affordable housing through:

  • Grants
  • Loans
  • Loan guarantees
  • Deferred loans

Property Size: No size limit

Additional Information: 

The Affordable Housing Program (also known as FLEX) is DOH's primary housing production program.

The program provides quality, affordable housing for Connecticut residents, promotes and supports homeownership and mixed income developments, and assists in the revitalization of urban and rural centers.

Applicants seeking funding may apply in any of the funding rounds set forth on the current DOH Funding Schedule for which they are eligible.

For More Information: Visit the DOH website's FLEX page.

 

CHFA Multifamily Rental Housing Program

Fund Administrator: Connecticut Housing Finance Authority (CHFA)

Type of Funds: Options include:

  • Construction-only loans
  • Construction/permanent loans
  • Permanent-only loans

Additional Information: 

Applicants must complete the CHFA/DOH Consolidated Application.

For More Information: Further information on the Multifamily Rental Housing Program is available on CHFA's website here and here.

 

Competitive Housing Assistance for Multifamily Properties (CHAMP)

Fund Administrator: Connecticut Department of Housing (DOH)

Type of Funds: Gap funding

Property Size: Unspecified

Additional Information: 

NOTE: There has not been a new CHAMP Notice of Funding Availiability since 2018. 

DOH seeks to leverage non-State funds to catalyze the creation and/or preservation of affordable multifamily housing to promote healthy lives, strong communities and a robust economy. DOH funds may be provided in the form of grants, loans or a combination thereof. In addition, funds awarded under this initiative may be combined with financial assistance from the Connecticut Housing Finance Authority, including 4% low-income housing tax credits and taxable and/or tax exempt bond financing.

Funded using Housing Trust Fund (HTF) Program funds, Affordable Housing Program (FLEX) funds, federal HOME Investment Partnership Program (HOME) funds, federal National Housing Trust Fund funds, and/or other available sources.

For More Information: Visit the DOH website's CHAMP page.

 

Federal Low Income Housing Tax Credit 4%

Fund Administrator: Connecticut Housing Finance Authority (CHFA)

Type of Funds: Pre-development, rehabilitation

Property Size: Unspecified

Additional Information: 

Provides tax incentives for using private equity in the development of affordable housing for low-income households. 

Developers can sell these credits to corporations or investors to raise equity for their project. In exchange, developers must set aside a percentage of units for low-income residents and maintain the affordability of the units for 30 years.

In Connecticut, the allocating and compliance agency CHFA develops the Qualified Action Plan. 

4% LIHTCs are awarded through a non-competitive, ongoing, open application process. 

CHFA offers training sessions to learn more about the LIHTC application process.

For More Information: Further information on the 4% LIHTC is available on CHFA's website here and here.

 

Federal Low Income Housing Tax Credit 9%

Fund Administrator: Connecticut Housing Finance Authority (CHFA)

Type of Funds: Construction

Property Size: Unspecified

Additional Information: 

Provides tax incentives for using private equity in the  development of affordable housing for low-income households. 

Developers can sell these credits to corporations or investors to raise equity for their project. In exchange, developers must set aside a percentage of units for low-income residents and maintain the affordability of the units for 30 years.

In Connecticut, the allocating and compliance agency CHFA develops the Qualified Action Plan. 

9% LIHTCs are awarded based on an annual competitive funding round. 

CHFA offers training sessions to learn more about the LIHTC application process.

For More Information: Further information on the 9% LIHTC is available on CHFA's website here and here.

 

HOME Investment Partnerships

Fund Administrator: Connecticut Department of Housing (DOH) - Federally-funded

Type of Funds: Pre-development, construction, services

Property Size: All

Additional Information: 

Provides HOME is the largest federally-funded program administered by the DOH and is designed to create affordable housing for low and moderate-income households. 

The HOME program is designed to: 

  • Provide quality, affordable housing for Connecticut residents 
  • Strengthen communities 
  • Expand the capacity of non-profit housing development organizations, and 
  • Leverage private sector participation

For More Information: Further information on the HOME program is available on DOH's website here.

 

Housing for Elderly Persons

Fund Administrator: Connecticut Department of Housing (DOH) - Administrative support from the Connecticut Housing Finance Authority (CHFA)

Type of Funds: Grants, loans

Property Size: Unspecified

Additional Information: 

Ten percent of the units in these communities must be designed to be accessible to persons with physical disabilities, regardless of age.

For More Information: Further information on the Housing for Elderly Persons program is available on DOH's website here.

 

Housing Trust Fund

Fund Administrator: Connecticut Department of Housing (DOH) - Funded through General Obligation Bonds

Type of Funds: Grants, loans

Additional Information: 

Designed to create affordable housing for low and moderate-income households. 

The program encourages the creation of homeownership housing for low and moderate income families, promotes the rehabilitation, preservation and production of rental housing and the development of housing which aids the revitalization of communities. 

DOH uses a competitive application process to award funds.

For More Information: Further information on the HTF program is available on DOH's website here.

 

Land Bank & Land Trust Program

Fund Administrator: Connecticut Department of Housing (DOH) - Funded through General Obligation Bonds

Type of Funds: Grants, loans, deferred loans

Property Size: Unspecified

Additional Information: 

The program is divided into two components: 

(1) Land Bank – Grants, loans or deferred loans to purchase land, which an eligible applicant can "bank" or hold the land for a period of up to two years, and 

(2) Land Trust – Grants, loans and deferred loans for acquisition, holding and managing costs, but land must be developed right away. The land underlying the units must be held in trust.

For More Information: Further information on the Land Bank & Land Trust program is available on DOH's website here.

 

Multifamily Loan Fund Consortium

Fund Administrator: Housing Development Fund (HDF)

Type of Funds: Pre-development, acquisition, construction, rehabilitation, permanent, mini-permenant (terms up to 2 years), bridge loans, lines of credit

Additional Information: 

HDF requirements may vary depending on the location of the project, affordable units range from 30% to 100% of total units. 

The Multifamily Loan Fund at HDF is a consortium of eleven banks brought together to finance affordable housing projects throughout Connecticut.

For More Information: HDF has released a commercial infosheet on the MFLC which can be viewed here.

 

Pre-Development Loan Program

Fund Administrator: Connecticut Department of Housing (DOH)

Type of Funds: Pre-development, construction, rehabilitation, redevelopment

Property Size: Unspecified

Additional Information: 

The Predevelopment Loan Program is directed to housing developers seeking assistance with predevelopment costs incurred in connection with the construction, rehabilitation, or redevelopment of housing for low and moderate income persons and families.  

Predevelopment costs are expenses that are not administrative and are necessary before the construction stage of a project begins.  Proposed projects to be supported with these predevelopment funds must be eligible for financial assistance from DOH.

For More Information: Further information on the Pre-Development Loan Program program is available on DOH's website here.

 

State Housing Tax Credit Contribution Program (HTCC)

Fund Administrator: Connecticut Housing Finance Authority (CHFA)

Type of Funds: Gap financing

Property Size: Unspecified

Additional Information: 

The HTCC program helps nonprofit developers build affordable housing in Connecticut and gives local businesses an opportunity to invest in the projects.

CHFA allocates up to $10 million annually in state tax credits under the HTCC program to  nonprofits developing very low, low and moderate income housing in Connecticut.

Private business can buy the tax credits and apply them to their corporate tax. 

The law requires annual allocation setasides of $1 million for Workforce Housing and $2 million for Permanent Supportive Housing.

For More Information: Further information on the HTCC program is available on CHFA's website here and here.

 

State Sponsored Housing Portfolio (SSHP) Funding

Fund Administrator: Connecticut Department of Housing (DOH) & Connecticut Housing Finance Authority (CHFA)

Property Size: Unspecified

Additional Information: 

*SSHP funding is "DELAYED" per DOH website. 

Funding in furtherance of the State-Sponsored Housing Portfolio Capital Plan. 

Past NOFAs have included SSHP Critical Needs funding  and SSHP Recapitalization.

For More Information: Further information on the SSHP program is available on DOH's website here.

 Programs Available to Municipalities and Housing Authorities

Program Index:

  1. Connecticut Affordable Housing Program (AHP or FLEX)
  2. Community Development Block Grant - Small Cities
  3. HOME Investment Partnerships
  4. Housing for Elderly Persons
  5. Housing Trust Fund
  6. Housing for Economic Growth (IHZ)

 

Connecticut Affordable Housing Program (AHP or FLEX)

Fund Administrator: Connecticut Department of Housing (DOH)

Type of Funds: Development and preservation of affordable housing through:

  • Grants
  • Loans
  • Loan guarantees
  • Deferred loans

Property Size: No size limit

Additional Information: 

The Affordable Housing Program (also known as FLEX) is DOH's primary housing production program.

The program provides quality, affordable housing for Connecticut residents, promotes and supports homeownership and mixed income developments, and assists in the revitalization of urban and rural centers.

Applicants seeking funding may apply in any of the funding rounds set forth on the current DOH Funding Schedule for which they are eligible.

For More Information: Visit the DOH website's FLEX page.

 

Community Development Block Grant - Small Cities

Fund Administrator: Connecticut Department of Housing (DOH) - Federally funded through the United States Department of Housing and Urban Development (HUD)

Type of Funds: Pre-development, construction, services

Property Size: All

Additional Information: 

CDBG - Small Cities provides funding and technical support for projects that achieve local community and economic development objectives.

The Small Cities Program principally benefits low-and moderate-income persons.

For More Information: Visit the DOH website's CDBG-Small Cities page here.

 

HOME Investment Partnerships

Fund Administrator: Connecticut Department of Housing (DOH) - Federally-funded

Type of Funds: Pre-development, construction, services

Property Size: All

Additional Information: 

Provides HOME is the largest federally-funded program administered by the DOH and is designed to create affordable housing for low and moderate-income households. 

The HOME program is designed to: 

  • Provide quality, affordable housing for Connecticut residents 
  • Strengthen communities 
  • Expand the capacity of non-profit housing development organizations, and 
  • Leverage private sector participation

For More Information: Further information on the HOME program is available on DOH's website here.

 

Housing for Elderly Persons

Fund Administrator: Connecticut Department of Housing (DOH) - Administrative support from the Connecticut Housing Finance Authority (CHFA)

Type of Funds: Grants, loans

Property Size: Unspecified

Additional Information: 

Ten percent of the units in these communities must be designed to be accessible to persons with physical disabilities, regardless of age.

For More Information: Further information on the Housing for Elderly Persons program is available on DOH's website here.

 

Housing Trust Fund

Fund Administrator: Connecticut Department of Housing (DOH) - Funded through General Obligation Bonds

Type of Funds: Grants, loans

Additional Information: 

Designed to create affordable housing for low and moderate-income households. 

The program encourages the creation of homeownership housing for low and moderate income families, promotes the rehabilitation, preservation and production of rental housing and the development of housing which aids the revitalization of communities. 

DOH uses a competitive application process to award funds.

For More Information: Further information on the HTF program is available on DOH's website here.

 

Housing for Economic Growth (IHZ)

Fund Administrator: Connecticut Department of Housing (DOH)

Type of Funds: Pre-development, planning grants

Property Size: Unspecified

Additional Information: 

The Statute provides incentives to municipalities for creating Incentive Housing Zones (IHZ) in eligible locations, such as, near transit facilities, an area of concentrated development or an area because of existing, planned or proposed infrastructure that is suitable for development as an IHZ.  

Developable land excludes publicly and privately owned property slated for public uses, parks, recreation areas, dedicated open space land, other land where restrictions prohibit development, wetlands or watercourses and areas exceeding one-half or more acres of contiguous land where steep slopes or other topographic features make it unsuitable for development.

For More Information: Further information on the IHZ program is available on DOH's website here.

Programs Available to CDFIs

Program Index:

  1. CHFA Small Multifamily Loan Fund
  2. State Sponsored Housing Portfolio (SSHP) Funding

 

CHFA Small Multifamily Loan Fund

Fund Administrator: Connecticut Housing Finance Authority (CHFA)

Type of Funds: Acquisition, construction, rehabilitation, permanent

Property Size: 3-20 units

Additional Information: 

Finance small multifamily or mixed use developments to increase affordable housing stock in higher income communities, Bring vacant and blighted properties back to performing properties, and assist revitalization efforts in low- and moderate- income communities.

 

State Sponsored Housing Portfolio (SSHP) Funding

Fund Administrator: Connecticut Department of Housing (DOH) & Connecticut Housing Finance Authority (CHFA)

Property Size: Unspecified

Additional Information: 

*SSHP funding is "DELAYED" per DOH website. 

Funding in furtherance of the State-Sponsored Housing Portfolio Capital Plan. 

Past NOFAs have included SSHP Critical Needs funding  and SSHP Recapitalization.

For More Information: Further information on the SSHP program is available on DOH's website here.

 

This database is continuously updated with additional housing development programs. If you know of a housing development program which is not listed here, please email us at info@pschousing.org.