Funding will create 11 affordable rental and ownership communities in half of the City’s Council districts
Caption: Rendering of the Drowsy Willow development; courtesy of Industry ATX.
AUSTIN, TX – The City of Austin Housing Department announces approval of more than $42 million in funding for 11 affordable housing developments in Districts 1,2,3,4, and 5, as approved by the Austin Housing Finance Corporation (AHFC) Board meetings on Dec. 12, 2024 and Jan. 30, 2025. The AHFC was created by the City of Austin as a nonprofit corporation to implement housing solutions to service low- and moderate-income residents.
The funding from AHFC will aid in the construction of 1,429 units – 1,315 affordable rental and 114 ownership units – for households earning at or below 80% median family income (MFI). The units are expected to come online over the next three years. Five of these communities are slated for District 1; one for District 2; two for District 3, two for District 4 and one for District 5. Six of these developments will add more affordable home ownership units while the remaining 5 will create affordable rental units.
“The funding allocated for the development of these new projects aligns with the City’s ongoing commitment to offer affordable housing for Austin residents,” explains Mandy DeMayo, Interim Director for the Housing Department. “Although the majority of the units to be created are multi-family communities, the inclusion of approved ownership units demonstrates the City’s acknowledgement of the need to generate affordable ownership opportunities for those who need it.”
Caption: Rendering of UEZ I, courtesy of Capital A Housing.
Funding for construction of several of the rental units will be offset, in part, by federal low-income housing tax credits (LIHTC) funneled down locally via the Texas Department of Housing and Community Affairs (TDHCA). These credits allow housing developers to take a federal tax credit to offset 4 percent or 9 percent of its federal tax liability in exchange for building low-income rental housing projects.
“These new housing communities represent our continued resolve to provide affordable housing options for local residents – which would not be possible without the support, commitment, and collaboration of our local partners,” explains James May, Housing and Community Development Officer for the Housing Department.
The following developments were approved at the AHFC’s December 12 meeting.
Cairn Point Montopolis
Cairn Point Montopolis, located in District 3 at 1013 Montopolis Drive, was approved for $2 million – $1.1 million from 2022 General Obligation Bonds and $900,000 from Downtown Density Bonus – PSH (permanent supportive housing) funds. Funding will go towards development costs for the 150-unit multi-family development to include 65 Continuum of Care (COC) units. The property is owned by Vecino Group and Family Eldercare is the service provider. The development will have a 45-year affordability period.
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23 units will be available for rent to households earning at or below 30% MFI,
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57 units will be available for rent to households earning at or below 50% MFI, and
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70 units will be available for rent at 60% MFI
Cameron HiLine
Cameron HiLine, located in District 4 at or near 1124 Clayton Lane, was approved for $7.95 million from 2022 General Obligation Bonds. Funding will go towards development cost for a 227-unit affordable multifamily community in the Windsor Park neighborhood. Construction completion is anticipated to begin in October 2025.
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16 units will be available for rent to households earning at or below 30% MFI,
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42 units will be available for rent to households earning at or below 40% MFI,
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54 units will be available for rent to households earning at or below 50% MFI,
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70 units will be available for rent to households earning at or below 60% MFI, and
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45 units will be available for rent to households earning at or below 80% MFI
Aspire at Big Austin
Aspire at Big Austin, located in District 1 at or near 1000 East Braker Ln. on 6.9 acres, was approved for $8.755 million from 2022 General Obligation Bonds for development costs for a 368-unit multifamily community with Mission Development Group (Mission DG) as the developer. The affordability period is 45 years.
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7 units will be available for rent to households earning at or below 30% MFI,
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45 units will be available for rent to households earning at or below 40% MFI,
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89 units will be available for rent to households earning at or below 50% MFI,
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86 units will be available for rent to households earning at or below 60% MFI,
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89 units will be available for rent to households earning at or below 70% MFI, and
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52 units will be available for rent to households earning at or below 80% MFI.
Of the 368 units:
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18 units will be Efficiencies,
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220 units will have 1 bedroom,
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110 units will have 2 bedrooms, and
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20 units will have 3 bedrooms.
Johnny Limón Village
Johnny Limon Village, located in District 3 at or near 800 Gardner Road, was approved for $3.1 million from 2022 General Obligation Bonds for an ownership development that will be located. Funding will be used for development costs for a 27-unit ownership development. Completion of construction is anticipated in March 2027. The affordability period will be 99 years.
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7 homes will be available for sale to households earning at or below 60% MFI, and
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20 homes will be available for sale to households earning at or below 80% MFI.
8301 Riverstone
8301 Riverstone, located in District 1 at or near 8301 Riverstone Drive, was approved for $720,000 from HUD HOME Investment Partnerships Program for development costs for a three-unit ownership housing community. The homes will be available to households at or below 80% MFI. The affordability period is 99 years.
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3 homes will be available for sale to households earning at or below 80% MFI
7331 Menchaca Townhomes
7331 Menchaca Townhomes, located in District 5 at or near 7331 Menchaca Road, was approved for $525,000 from 2022 General Obligation Bonds for development costs for a 10-unit townhome community. The townhomes will be available for sale to households earning at or below 80% MFI. The affordability period is 99 years.
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10 homes will be available for sale to households earning at or below 80% MFI
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8 of these homes will be 2-bedroom units, and
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2 of these homes will be 3-bedroom units.
Prospect Heights
Prospect Heights, located in District 1 at or near 1142 Poquito Street, was approved for $1.2 million from 2022 General Obligation Bonds for development costs for a 12-unit townhome community with Austin Habitat for Humanity as the developer. The homes are expected to be completed by March 2026 and will be available for sale to households earning at or below 80% MFI. The affordability period will be 99 years.
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12 homes will be available for sale to households earning at or below 80% MFI
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11 of these homes will be 3-bedroom, 1,400-square-foot units, and
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1 of these homes will be a 4-bedroom, 1,700-square-foot unit.
Moontower Flats
Moontower Flats, located in District 1 at or near 1901 E. Martin Luther King Jr. Blvd., was approved for $2 million from 2022 General Obligation Bonds for development costs for a 24-unit townhome community with the Texas State Affordable Housing Corporation (TSAHC) as the developer. The affordability period is 99 years.
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24 homes will be available for sale to households earning at or below 80% MFI
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8 of these homes will be 1-bedroom units,
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12 of these homes will be 2-bedroom units,
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4 of these homes will be 3-bedroom units.
The AHFC Board also approved three more developments on Thursday, Jan. 30.
St. John Redevelopment
St. John Redevelopment, located in District 4 at or near 7211 and 7309 North Interstate Highway 35, will be approved for $4 million from 2022 General Obligation Bonds for a 526-unit multifamily rental development. Greystar Development Central, or an affiliated entity, will be the developer.
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106 units will be available for rent at or below 50% MFI
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130 units will be available for rent at or below 60% MFI
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27 units will be available for rent at or below 80% MFI
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263 units will have no income restrictions
UEZ I
UEZ I (or Urban Empowerment Zone I), located in District 1 at or near 6314 FM 969 Road, will be approved for a little over $4 million from 2022 General Obligation Bonds for the construction of an 80-unit permanent supportive housing multifamily rental development for people at risk of homelessness or experiencing homelessness. All units will be Continuum of Care (COC) units, which provide coordinated health care for a patient. Capital A Housing will be the developer and the Austin Area Urban League, or an affiliated entity, will be the owner/operator and supportive services provider. The development will consist of a four-story, elevator served building with offices and community spaces. The affordability period is 40 years.
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15 units will be available for rent at or below 30% MFI
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65 units will be available for rent at or below 50% MFI
Industry ATX/Drowsy Willow
Drowsy Willow, located at or near 5901 Drowsy Willow Trail in District 2, was approved for a total of $7.752 million -- $4.76 million from 2022 General Obligation Bonds and $2.992 million from 2022 General Obligation Bonds – Acquisition and Development. The funding will be used for development costs of a 38-unit ownership housing development. The affordability period is 99 years. All homes will be placed in an AHFC Community Land Trust. Construction is expected to be completed in 2028.
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10 units will be available for sale to households earning at or below 60% MFI, and
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28 units will be available for sale to households earning at or below 80% MFI.
The Broader Picture
Each unit of new affordable housing contributes to the Austin Strategic Housing Blueprint goals set over ten years (2018-2028). This ambitious plan aimed to facilitate community partnerships around a single, strategic vision to create 60,000 affordable housing units for those making less than 80% of the median family income and fill the need for affordable housing throughout the city. The Blueprint includes goals for affordable housing in every City Council District to ensure that resources are aligned equitably.
Resources for affordable housing are available online at www.austintexas.gov/housing.
About the City of Austin Housing Department
The City of Austin Housing Department provides equitable and comprehensive housing solutions, community development, and displacement prevention services to enhance the quality of life of all Austinites. To access affordable housing and community resources, visit www.austintexas.gov/housing.
About the Austin Housing Finance Corporation
The Austin Housing Finance Corporation (AHFC) was created as a public, non-profit corporation and instrumentality of the City of Austin. The mission of the AHFC is to generate and implement strategic housing solutions for the benefit of low- and moderate-income residents of the City of Austin.