Michigan is faced with a housing supply shortage and the Michigan State Housing Development Authority (MSHDA) has developed a new program to help shore up the state’s housing stock. It’s called the Missing Middle Housing Program and the initiative will help fill funding gaps in rental and for-sale housing developments throughout the estate.
What it is:
The Missing Middle Housing Program will assist nonprofit and nonprofit/for-profit partnership developers in their housing developments, providing funding for those investing in, constructing, or substantially rehabbing properties. Developments must be “targeted to household incomes between 185% and 300% of the Federal Poverty Guidelines (FPG),” according to program guidelines. The grants have a 10-year compliance period to ensure housing for those within the “missing middle” demographic.
How it works:
Applications for the first funding round, which totals $15 million in funds available, opened this Monday, Sept. 19, and closes before the end of the year on Friday, Dec. 30. A second funding round is expected to open in spring 2023 and will make another $33 million available. The American Rescue Plan Act of 2021 helped make the program possible, with $50 million allocated to the state of Michigan.
Visit MSHDA online HERE
for more information about the application process.
[Related: Read “MSHDA finds new ways to deliver affordable housing options across the state” on Rural Innovation Exchange.]
Why it’s important:
“The COVID-19 pandemic exacerbated areas of concern in our state’s existing housing stock,” says Chad Benson, rental development director at MSHDA. “With the launch of the Missing Middle Housing Program, we can collectively address these issues and rebuild Michigan’s housing availability through strategic investments that will grant a large demographic of residents access to quality, safe, attainable housing.”
As part of the program’s stipulations, at least 30 percent of the funds must be allocated to rural projects. The housing shortage in rural communities has stymied people of all stripes. And that includes local employers, whose prospective hires often have a hard time finding places to live. So much so, in fact, that companies have taken it upon themselves to provide workforce housing, and often in creative ways
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