Six Indiana communities were awarded more than $29 million in low-interest state loans for housing-related public infrastructure, the Indiana Finance Authority announced Monday.
It’s the latest round of the Residential Housing Infrastructure Assistance Program, which is intended to boost housing development by helping communities pay for the expensive public infrastructure that new homes require.
The awarded projects include roadways, water and wastewater systems, stormwater management, and utilities, according to IFA, which administers the program.
“Increasing Indiana’s housing supply is essential to supporting our growing workforce and strengthening local economies,” Gov. Mike Braun said in a news release.
“These investments will help communities keep pace with job growth, attract new talent, and ensure more Hoosier families have access to safe, affordable places to live,” he said. “When we expand housing opportunities, we’re laying the foundation for long-term economic success in every corner of our state.”
The awardees are:
- Elkhart: $10 million
- Fort Wayne: $8.15 million and $1.75 million
- St. Joseph and New Carlisle: $4.5 million
- Arcadia: $3 million
- Austin: $1 million
- Attica: $975,000
Communities were picked “based on the need for additional housing inventory to accommodate local job growth,” the news release said. IFA also prioritized loan applications from local governments with “housing-friendly” zoning.
The projects are expected to support more than 1,500 units of housing, according to IFA. A projected 683 will be in rural areas and 882 will be in urban areas. The number of units will be confirmed upon loan closing, agency spokeswoman Stephanie McFarland said.
Under Indiana law, 70% of the funding must go to projects in communities with a population of less than 50,000. The remaining 30% is available for larger communities.
The program is a revolving loan fund. As the money is paid off, it becomes available for future projects.
IFA previously announced awards of about $31 million last spring and $51 million in 2024. The initiative stems from 2023’s House Enrolled Act 1005.
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