Supervisors Approve $5.9M Affordable Housing Loan

County supervisors have approved a $5.98 million loan to build 90 rent-controlled apartments at Tuscarora Crossing near Leesburg that will stay rent-controlled after people born today have already retired.

The project, a joint venture between for-profit affordable housing developer Wellington Development and nonprofit developer Cornerstones, will keep those 90 units priced to be affordable to people making less than the area’s median income for 75 years—decades longer than the county or state require in their affordable housing programs.

The county’s loan is contingent on the developers also winning financing from the Virginia Housing Development Authority. It goes toward the project’s overall $33.8 million estimated cost, and comes out of the county’s $21.5 million Housing Trust Fund.

The rents are targeted for a range of incomes, all 60 percent or less of the area median income. Rents for the units range from $552 a month for a one-bedroom apartment, to $1,697 a month for a three-bedroom apartment. The project also includes nine units with Permanent Supportive Housing, to provide housing and necessary services for homeless people or people with disabilities. All of the apartments will be designed to be wheelchair-accessible, and two will be designed for hearing- or visually-impaired residents.

The county’s loan could also end up being for slightly less, depending on project costs and whether the developers are successful in their applications for $200,000 in Community Development Block Grant funds, $700,000 in State Housing Trust Fund lending, and other possible funding sources.

The project will put those homes close to the Village at Leesburg, bus service, and the W&OD Trail.

Supervisors approved the loan 9-0 on Feb. 18.

“I just want to applaud the developers of Tuscarora Crossing for bringing this innovation and that much-needed application to our county,” said Supervisor Sylvia Russell Glass (D-Broad Run).

rgreene@loudounnow.com

3 thoughts on “Supervisors Approve $5.9M Affordable Housing Loan

  • 2020-02-28 at 9:42 am
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    What are the terms of the loan? Or is it going to turn into a”gift”? In other words, the developers take the money, build units that will fall apart in 10 years, disappear from the obligation and not pay it back, so the county ends up maintaining the units for the next 75 years…

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