Addressing a challenge confronting metropolitan areas across the country, city officials in Las Cruces are on the verge of putting together a program designed to accelerate the construction of more affordable housing.
A fund has been set up aiming to lessen the costs for developers of building new single family housing units.
What is being called the Revolving Loan Fund will not only provide low interest construction loans for project development, but additionally will help defray the cost of acquiring and building infrastructure.
According to a press release issued by the City of Las Cruces, city staff has recommended that the program should be done in conjunction with the Tierra Del Sol Housing Corporation, a local nonprofit with years of experience in affordable housing development.
City documents state that the fund will start out at $500,000, with the available money “intended to incentivize developers to create modestly-sized and -priced homes that will appeal to first-time homebuyers or other homebuyers who earn up to 120% of American Median Income.”
The homes to be constructed, in turn, will be “more appropriately sized and priced than many available today.”
The funding program is awaiting approval by the Las Cruces City Council.
By Garry Boulard
