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VHFA seeks "Housing for All" investors: Historic initiative expected to create or rehabilitate 650 homes statewide

Posted by: Leslie Black-Plumeau on September 11, 2017 - 3:34pm

VHFA invited bids from investors Friday for the "Housing for All" initiative passed by Vermont lawmakers earlier this year.  The proceeds from this financing will be used to create and rehabilitate an estimated 650 rental and owned homes across the state.

"We consistently hear about how widespread the lack of affordable, decent housing is in many parts of Vermont," said Governor Phil Scott. "By leveraging other funds, this investment will help create much-needed homes that are affordable for working Vermonters at the middle and lower end of the wage scale."

Funded through a small portion of Vermont's Property Transfer Tax revenue, the "Housing for All" initiative is the largest single commitment of state funds for housing development in Vermont's history.

"We are delighted to use our experience with housing finance tools and investors to help strengthen the impact of this exciting initiative," remarked VHFA's Executive Director Sarah Carpenter.

In order to reduce the cost of underwriting and public offering fees, this particular financing will only be offered directly to institutional and organizational investors, and not to individual investors. This will help maximize the amount of proceeds produced with $2.5 million annual debt service for 20 years. Bids are due October 2, 2017.  Information about future VHFA bond offerings are posted on our website.

Converting the proceeds from investors into new and rehabilitated housing will be the task of the Vermont Housing and Conservation Board (VHCB).  VHCB has a 30-year history in Vermont of funding and supporting permanently affordable housing created by non-profits, municipalities and other public-private partnerships. VHCB is conducting outreach meetings around the state to explain the application process and solicit project ideas.  

Note: This is a public press release and not an invitation to bid, nor is it an offer to buy or sell securities. 

Pictured:  The Roaring Branch apartments in Bennington exemplify the housing that could be created through the "Housing for All" initiative.  Provided by Vermont Housing Conservation Board. 

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