Under the CDBG-DR AHCP awards, housing developers will receive gap funding for the construction of multifamily affordable housing construction in one of counties hit hardest by the 2019 floods.
The Nebraska Department of Economic Development (DED) has announced an award of $4 million for two multifamily housing projects in Sarpy County. Each project was awarded $2 million in gap funding through the Community Development Block Grant for Disaster Recovery (CDBG-DR) Affordable Housing Construction Program (AHCP). This investment will ultimately support the development of 68 affordable housing units in Sarpy County, in the City of Papillion, all benefiting households of low-to-moderate income. Sarpy County is one of three Nebraska counties acknowledged as being most impacted and distressed following the 2019 disaster.
With these awards, DED has announced investment of over $24 million in CDBG-DR funding to support construction of affordable housing, aiding the state’s long-term recovery and disaster resiliency following the 2019 disaster declaration.
In addition to the AHCP awards, the two projects will also leverage Low-Income Housing Tax Credits (LIHTC) through the Nebraska Investment Finance Authority (NIFA) 2024 Qualified Action Plan (QAP), awarded at the 9% levels. Housing developers interested in applying for similar funding should be aware of the upcoming 2024 QAP LIHTC 4% application period, which will similarly make available CDBG-DR funds. Pre-applications are due November 30th.
CDBG-DR funding was allocated to Nebraska by the U.S. Department of Housing and Urban Development (HUD) in the wake of the 2019 bomb cyclone and flooding. DED, in coordination with NIFA and HUD, quickly developed an action plan for the implementation of these funds for unmet housing needs. Desired outcomes included the redevelopment and revitalization of affordable housing stock in flood-affected areas. HUD identified Sarpy, Dodge, and Douglas counties as the “most impacted and distressed” from the flood disaster. Per HUD requirements, 80% of CDBG-DR funding must benefit the HUD-defined MID areas (Sarpy, Dodge, and Douglas counties), and 70% of Nebraska’s total allocation must be directed to low-and moderate-income persons. Additionally, all investments of CDBG-DR funding must be tied to unmet needs as a result of 2019’s Winter Storm Ulmer (DR-4420).
Additional funding opportunities are available in support of remaining unmet housing needs. Community leaders, housing advocates and developers should be aware of the CDBG-DR AHCP Small Rental funding opportunity. DED has scheduled a virtual information session about this opportunity on Thursday, November 16th from 9:00 am to 10:00 am CT. Eligible activities under Small Rental include development financing (i.e., loans) for affordable multifamily rental housing, particularly projects sponsored by nonprofits or public housing authorities not otherwise seeking LIHTC, and those serving special needs populations. Information and registration details can be found at https://opportunity.nebraska.gov/programs/community/cdbg-dr/ or by emailing ded.cdbgdr@nebraska.gov.
CDBG-DR Affordable Housing Construction Program Awards – October 2023
| Awarded Project | Awarded Developer | CDBG-DR Award Amount | No. of Units | Project Location | |||
| Tallgrass Family Housing | Hoppe & Son, LLC | $2,000,000 | 34 | Papillion (Sarpy County) | |||
| Project Description: The project will utilize roughly 2.7 acres out of an approximately 29-acre greater development. The affordable housing project will be integrated into a new development neighborhood with a variety of commercial space, including both large- and small-scale commercial users, market rate ownership and rental housing opportunities with shared community amenities. Tallgrass Family will consist of 34 units (14 3-bedroom and 20 4-bedroom) configured into five (5) different buildings in a rowhome typology. All units will have an attached garage, washer and dryer, and ceiling fans in all bedrooms. The project will feature a playground, lawn care, snow removal, sewer and water, and trash services will be paid by the development; tenants will pay electricity. | |||||||
| Awarded Project | Awarded Developer | CDBG-DR Award Amount | No. of Units | Project Location | |||
| Tallgrass Senior Housing | Hoppe & Son, LLC | $2,000,000 | 34 | Papillion (Sarpy County) | |||
| Project Description: The project will utilize roughly 2.8 acres out of an approximately 29-acre greater development. The affordable housing project will be integrated into a new development neighborhood with a variety of commercial space, including both large- and small-scale commercial users, market rate ownership and rental housing opportunities with shared community amenities. Tallgrass Senior will consist of 34 2-bedroom units configured into four (4) different buildings in a rowhome and multifamily typology. All units will have a washer and dryer and ceiling fans in all bedrooms. The project will feature outdoor senior exercise equipment and a pickleball court with equipment. Lawn care, snow removal, sewer and water, and trash services will be paid by the development; tenants will pay electricity. | |||||||
For assistance, contact the Disaster Recovery Team via email at ded.cdbgdr@nebraska.gov or by phone at 800-426-6505.
Español: Para obtener ayuda, comuníquese con el Equipo de Recuperación de Desastres por correo electrónico a ded.cdbgdr@nebraska.gov o por teléfono al 800-426-6505.
Individuals who are hearing and/or speech impaired and have a TTY may contact the Department through the Statewide Relay System by calling (711) INSTATE, (800) 833-7352 (TTY), or (800) 833-0920 (voice). The relay operator should be asked to call DED at (800) 426-6505 or (402) 471-3111. Additional information is available on the Nebraska Relay website at http://www.nebraskarelay.com/. Nebraska Relay offers Spanish relay service for our Spanish-speaking customers. Spanish-to-Spanish (711) or 1-888-272-5528; Spanish-to-English (711) or 1-877-564-3503. Nebraska le ofrece el servicio de relevo a nuestros clientes en español. Los consumidores de TTY pueden escribir por máquina en español y las conversaciones serán retransmitidas en español y inglés.