For Immediate Release
TUESDAY, SEPTEMBER 30, 2014
Jerilynn Martinez, 303.297.7427
Hilarie Portell, 720.810.3906
Low Income Housing Tax Credits to Help Support New Affordable Housing in Westwood Neighborhood Revitalization
(DENVER) – A new affordable housing development in south west Denver’s Westwood neighborhood was awarded $915,504 in Federal Low Income Housing Tax Credits (LIHTC) by Colorado Housing and Finance Authority (CHFA). The development, Grove Street Apartments, is part of a comprehensive revitalization effort being implemented by City leaders in partnership with the Westwood community. CHFA recently announced the final round of LIHTC allocation awards for 2014, which included Grove Street Apartments, a proposed mix-use development incorporating affordable housing and a nonprofit community services organization.
“By partnering with Cities and Urban Renewal Authorities, CHFA can leverage our resources even further to help address the need for affordable housing, especially in communities like Westwood where revitalization has been prioritized,” said Cris White, CHFA executive director and CEO.
Grove Street Apartments, at 3116 West Alameda Avenue, being developed by Gorman & Company, will be a 1.3-acre, mixed-use development that will bring 42 units of much-needed affordable housing and services to the Westwood neighborhood, an Urban Renewal Area identified by the Denver Urban Renewal Authority (DURA) as blighted and in need of reinvestment. In addition to the tax credits, the $14.3 million project will include a financial contribution from DURA.
“We are extremely pleased to partner with Gorman and Company, the Colorado Housing and Finance Authority, and the City and County of Denver by deploying DURA resources for the Grove Street Apartments. The redevelopment of this site, identified as a priority location for redevelopment in the 1990 Urban Renewal Plan, represents a significant milestone for the corridor. For over 20 years, DURA has worked with individual residential and commercial property owners to reinvest in the Westwood area,” said Tracy Huggins, DURA’s executive director.
CHFA’s allocation of federal LIHTC in Round Two will allow Grove Street Apartments to leverage $3.35 million in DURA funds that otherwise would not be available to support redevelopment in the area. These resources will be critical as 24 percent of Westwood’s families live below the poverty line, and 95 percent of the children in Westwood are eligible for free or reduced-price lunch. According to the U.S. Census, approximately 27 percent of all of Denver’s substandard housing units are located in Westwood, and 78 percent of renter-occupied housing was built before 1980. Additionally, Westwood’s affordable housing rentals are 99.8 percent occupied with very long wait lists (up to 300 people).
“Grove Street Apartments is the kind of catalytic project we specialize in,” said Kimball Crangle, Colorado market president for Gorman & Company. “We’ll provide high quality housing and services for working individuals and families who are low income earners, helping to strengthen the economic well-being of families and transforming the community over time.” Crangle was previously a senior developer for Denver Housing Authority and led their flagship Mariposa redevelopment at 10th Avenue and Osage Street.
The development of Grove Street Apartments coincides with coordinated efforts by City Councilmember Paul López, Mayor Michael Hancock’s administration, and others to bring new investment into the Westwood neighborhood spanning housing, health care, and food access needs.
“Mayor Hancock is focused on five critical strategies for Westwood revitalization through community investment—parks/open space, youth, fresh food, affordable housing, and commercial development,” said Paul Washington, executive director of the Denver Office of Economic Development. “We are therefore so pleased to see Grove Street Apartments added to Denver’s spectrum of affordable and workforce housing, and particularly in Westwood, as one of the highest areas of concentrated poverty in the city.”
“The Grove Street Apartments development is a catalyst project for Westwood,” said City Councilman Paul López, who represents the area. “In addition to critically needed affordable housing, this mixed use development will bring job training opportunities to southwest Denver.”
The construction of Grove Street Apartments is estimated to generate $15,852,402 in economic impact and support 74 jobs. Ground breaking is expected in early fall of 2015 with an opening in fall of 2016.
About Colorado Housing and Finance Authority (CHFA)
CHFA finances the places where people live and work. Created in 1973 by the Colorado State Legislature, CHFA strengthens communities by making loans to low- and moderate- income homebuyers, affordable multifamily rental housing developers, and small and medium sized businesses. CHFA also provides education and technical assistance about affordable housing and economic development. CHFA is a self-sustaining public enterprise. CHFA issued bonds are not obligations of the state. For more information about CHFA please visit www.chfainfo.com. Contact our Denver office at 1.800.877.chfa (2432), or our Western Slope office at 1.800.877.8450.
About Gorman & Company, Inc.
Gorman & Company, Inc. specializes in revitalizing communities through innovative housing partnerships. As a trusted partner and respected industry leader since 1984, they specialize in downtown revitalization, the preservation of affordable housing, workforce housing and the adaptive reuse of significant historic buildings. Gorman & Company has offices in Denver, Co; Milwaukee & Madison, WI; Chicago, IL; Phoenix, AZ; and Miami, FL. Learn more at www.GormanUSA.com.