$1.33 million boost helps housing project toward goal

By David Unze

Two agencies have approved $1.33 million for a St. Cloud project that would add 31 affordable housing units to the market.

The funding brings the H.O.P.E on Ninth project a step closer to reality.

The Minnesota Housing Finance Agency this week approved more than $1 million for H.O.P.E. onNinth.

It would establish a combination of housing for long-term homeless people and for families and individuals.

The $1 million is in addition to $300,000 approved by the Greater Minnesota Housing Fund.

The money covers less than half the expected$2.9 million cost to build the new housing units on the north side of the Place of Hope's Christian Living Hope Residential Center at 511 Ninth Ave. N.

Place of Hope andSand Companies Inc. have proposed building 31 affordable apartments at theNinth Avenue North location.

Ten of those units would accommodate chronically homeless people.

The remaining 21 units would serve individuals and families by offering rents of slightly more than 30 percent of the adjusted median income.

The funding was among $46 million allocated by MHFA to finance development, rehabilitation and preservation of affordable rental housing, operating subsidies and rental assistance, said Libby Mehaffy of the MHFA.

Place of Hope's project was one of 50 projects funded statewide, providing 2,265 housing units, of which 2,070 were deemed affordable housing.

Eighty-nine proposals were received, requesting more than $92 million.

The Rev. Carol Jean Smith, who operatesPlace of Hope Ministries with her husband, theRev. Geary Smith, wanted to review the MHFAstatement before commenting.

Funding

Minnesota Housing Finance Agency, $1,031,000:

¦ $600,000 in deferred loans.

¦ $187,000 in operating subsidies.

¦ $244,000 in housing tax credits.

Greater Minnesota Housing Fund, $300,000.