(HARRISBURG) – Community Strategies Group has been awarded a significant tax credit and a low interest loan, through the Pennsylvania Housing Finance Agency (PHFA), to assist in the construction of the Mulberry Mill Apartment complex in Bloomsburg, according to Senator John R. Gordner (R-27).
A tax credit in the amount of $1,212,026, through the federal Low Income Housing Tax Credit program, was approved today. A low-interest loan in the amount of $1,340,000, through the PennHOMES program, was also awarded.
Mulberry Mill Apartments will be an affordable senior (62+ with Supportive Services) development with a first floor Community Service Facility and commercial offices for several local entities. The building anticipates containing 44 residential units.
“This will be the third phase of a significant housing undertaking for the residents of the Bloomsburg area,” said Senator Gordner. “Obtaining these critical PHFA funds is crucial for the success of this venture.”
The PennHOMES Program is a PHFA loan program that provides loans to developments that restrict one-half of the assisted units for households with incomes at or below 50 percent of the area’s median income. The remaining assisted units must be restricted for households with incomes at or below 60 percent of the area’s median income. The PennHOMES Program offers loans with a zero percent interest rate and a 30-year term.
The federal Low Income Housing Tax Credit program provides a tax incentive to owners of affordable rental housing. The incentive is an annual tax credit (a dollar for dollar reduction in the tax payer’s federal taxes) earned in the initial ten years following when the units are placed in service assuming program requirements are met. PHFA has been designated as the allocating agency for Pennsylvania.
CONTACT: Mike Stephens (717) 787-8928