Taos Housing Partnership Launches Housing Predevelopment Fund
Eligible projects must commit to offering a percent of below market units depending on funding sources
Taos Housing Partnership (THP) announced on August 1st that it will begin accepting LOI (Letter of Interest) applications for its newly launched Predevelopment Fund. The Fund will award grants for predevelopment activities that occur in the early stages of select housing projects throughout the county. Grants will provide funding for eligible activities such as environmental studies, site preparation, market studies, surveys, and legal fees. These early stage costs are critical to determining project feasibility yet are often underfunded or not funded at all, creating a roadblock that prevents projects from getting underway.
Predevelopment funding is a best practice for providing early seed funding for development projects. The process is designed to solicit project ideas and patterns quickly to understand what development opportunities are potential throughout the county. It also creates a neutral process for identifying projects eligible to receive funding from the Town of Taos infrastructure funds and for investment from Taos County ARPA funds.
“Submission of a LOI is intended to draw out ideas even at the early stage” noted Lisa O’Brien, Executive Director. “We are looking forward to applications from other entities, not just the traditional housing developer. This could include non-profit organizations and the public sector” she added.
Eligible applicants of the Predevelopment Fund using state and federal subsidies must commit to providing a percentage of available units as below-market housing and funding allocations will be prioritized based on a project’s readiness to proceed. If the applicant is using private or local funds for the proposed project, they must describe how many units can be set-aside as below-market. Below-market is defined as housing that can be delivered to local community members at the following prices:
Rental housing that delivers new rental units that provide rents affordable to households earning less than 80% AMI and For-Sale housing that delivers affordable housing units available to households earning less than 120% AMI. All affordability calculations will follow the United States Department of Housing and Urban Development annual AMI calculations.
Taos Housing Partnership plans to make the first round of grant awards in October of this year, and to facilitate 1-2 funding rounds each year. Complete criteria and details about how to apply are available on Taos Housing Partnerships website. Taos Housing Partnership will be hosting a Predevelopment Fund Overview and Q&A Session via Zoom on August 2 from 5:30 to 6:45 p.m. Registration is required to participate in this work session.
About Taos Housing Partnership (THP)
Taos Housing Partnership (THP) is a community-based nonprofit organization committed to creating equitable housing opportunities for the Taos community while preserving its culture, promoting financial literacy, and protecting the environment. More information is available at taoshousingpartnership.org.
