The Houston City Council approved a resolution authorizing the issuance and sale of $6.5 million in supplemental tax-exempt bonds by the Houston Housing Finance Corporation to provide additional financing for the acquisition and rehabilitation of Alcott Village, a 248-unit multifamily affordable housing development. The project is located at 6767 Bennington Street and will remain subject to long-term affordability requirements under the Low-Income Housing Tax Credit (LIHTC) program, with all units reserved for tenants earning no more than 60% of the Area Median Income. The bonds are a special limited obligation payable solely from project revenues and do not pledge the city’s taxing power. The Harris County Housing Finance Corporation owns the land, making the project exempt from ad valorem taxes. The approval aligns with federal tax laws requiring at least 50% of project costs to be financed with tax-exempt bond proceeds.
This decision ensures continued investment in the preservation and rehabilitation of affordable housing in Houston. By approving the issuance of tax-exempt bonds, the city facilitates much-needed improvements to an existing LIHTC development while maintaining long-term affordability for low-income residents.