A proposed affordable housing project took another step toward development after receiving a nearly $1 million cash infusion from the Montgomery County Redevelopment Authority.
Montgomery County Commissioners authorized a $970,000 transfer that would fund a "MontcoForward Loan,” a term MontcoWorks Executive Director Jennifer Butler categorized as a "low-interest loan.”
Monies would help fund a 60-unit affordable housing development project situated off Pennbrook Parkway in Upper Gwynedd Township. Despite staunch public opposition over the last nearly two years, the township’s Board of Commissioners unanimously authorized a zoning change back in August that could allow it the opportunity to progress.
After revising loan guidelines earlier this summer in order to "provide clear pathways to housing affordability,” Butler said the county redevelopment authority’s loan committee endorsed giving Upper Gwynedd Family Apartments, LLC. the six-figure loan.
"The committee is confident in the project’s potential for success and the positive impact of these 60 units of workforce housing on the community,” Butler said. "Based on the definition of workforce housing is 60 percent of the area median income in Montgomery County.”
Kim Krauter, director of development in Pennsylvania for the Walters Group, an affordable housing developer based in New Jersey, was present during the December meeting on behalf of the affordable housing development.
The Walters Group model uses tax credits to cultivate one- two- and three-bedroom apartments with rents based on the unit’s number of bedrooms and income levels, Krauter said, corresponding to certain percentages of the area median income as determined by the Pennsylvania Housing Finance Agency.
Montgomery County’s area median income is listed at $114,400 for 2023. Calculations based on the Low Income Tax Credit Program stipulate that one person earning 60 percent of the area median income, or $46,920 would pay $1,256 in rent for a one-bedroom apartment.
A two-bedroom apartment for a three-person household earning $60,300, or 60 percent of the area median income, would pay $1,507 per month in rent. A three-bedroom apartment for a four-person household, earning $66,960, or 60 percent of the area median income, would cost $1,741 per month.
"Workers who provide essential services to our community would qualify for this housing, providing pathways to reasonably priced homes for the county’s workforce — has an effect not just on those individuals, but on the economic growth and competitiveness of Montgomery County,” Butler said.
While Krauter did not provide remarks at the December meeting, she’s previously stressed that advocating for market-rate-style housing, and the tenants who reside there, is paramount.
"They’re just like every other building that’s built at the highest standards, and the folks that live there are hard workers, or for the senior buildings, worked hard their whole lives,” Krauter said in an interview with MediaNews Group earlier this year. "I think there’s this misconception that people are taking advantage of the system, and that’s not the case in these types of communities. It’s just not the case.”
The motion ultimately passed unanimously as the county plans to transfer the $970,000 to the county’s Redevelopment Authority.
"This is an important project. I’m glad to see that this project (is) moving forward. I’m proud of Upper Gwynedd for stepping up and being part of the solution to our housing issue,” said Montgomery County Commissioners’ Chairman Ken Lawrence Jr.
This article appears courtesy of a content share agreement between North Penn Now and The Reporter. To read more stories like this, visit www.thereporteronline.com.
See also:
Upper Gwynedd’s Pennbrook Parkway Debate Continues, with Eyes on Lansdale
Letter: Support Affordable Housing in Upper Gwynedd
Discussion Continues on 60-Unit Proposed Workplace House Development In Upper Gwynedd
Upper Gwynedd Hears Plans for Proposed 60-Unit ‘Workforce Housing’ Development on Pennbrook Parkway
