For years, it seemed the vast majority of housing subsidies—federal, state and city—went to affordable projects at the edges of our cities. At the same time, soaring land prices in city centers led to the development of high-priced rental and condo projects. Today, we are seeing a shift occur in which subsidies are helping to create more intelligent developments, giving renters of all incomes more choices.
Through public-private partnerships between government agencies, housing authorities, lenders, equity investors and developers, a new breed of mixed-income housing can result in not only meeting the needs of the entire renter population but creating better and more inclusive communities, while garnering a successful ROI for developers, owners and investors.
This is an excerpt of the article “An Unexpected Boost for Market-Rate Housing Development” which appeared on Commercial Property Executive on May 4, 2016.