U.S. Department of the Treasury Announces $246.4 million to Support Affordable Housing Development
October 23, 2024
Washington, DC - The U.S. Department of the Treasury's Community Development Financial Institutions Fund (CDFI Fund) awarded 48 organizations $246.4 million today for the development of affordable housing and community facilities serving low-income individuals, families, and communities. These awards were made through the fiscal year (FY) 2024 round of the Capital Magnet Fund (CMF). The Awards will support financing for the preservation, rehabilitation, development, or purchase of affordable housing, as well as related economic development and community service facilities, such as day care centers, workforce development centers, and health care clinics.
“By providing financing that is critical to growing the supply of housing available in economically distressed and low-income communities, this round of CMF award funding will help narrow the gap in the current affordable housing crisis,” said CDFI Fund Director Pravina Raghavan. “Today’s awards are projected to leverage more than $8.85 billion in private and public sector resources, all of which will be focused on developing affordable housing units, neighborhoods, and community resource facilities. Additionally, the CDFI Fund made substantial changes to the program this year by updating its regulations. These updates will enhance CMF’s flexibility and reduce Recipient burden, which will improve access to these important resources for affordable housing.”
Award Recipients are required to leverage their awards with other private and public investment by at least ten to one, guaranteeing that a minimum of $2.46 billion will be invested in eligible projects across the United States. For the FY 2024 round, the awardees anticipate that these awards will leverage more than $6.8 billion in private investment.
The 48 awardees will collectively serve 50 states, the District of Columbia, Guam, and Puerto Rico. In all, 25 awardees (52% of the total awardees) plan to invest a portion of their award dollars in rural areas, with 12 of those organizations planning to invest at least one-fourth of their award dollars in rural areas. Of the total awardees, 25 are Community Development Financial Institutions (CDFIs) and 23 are nonprofit housing organizations. The Awardees were selected pursuant to a competitive review of Applications submitted from 136 organizations that requested more than $1.06 billion from the FY 2024 Capital Magnet Fund round.