Manchester allocates $4.7 million for development of affordable housing

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MANCHESTER, NH – Mayor Joyce Craig and the Department of Planning and Community Development on Tuesday announced a Request for Proposals (RFP) for $4,700,000 to develop new affordable housing units in the City of Manchester. These funds were made available through the federal HOME program from the U.S. Department of Housing and Urban Development.

This is a $3.7 million increase in funding for affordable housing projects from the $1,037,611 originally allocated in the Mayor’s FY22 budget. This investment represents the most funding the City has allocated toward the development of affordable housing since the HOME program’s creation over 30 years ago.

“Affordable housing is one of the biggest challenges facing Manchester residents. This significant investment puts people first while at the same time addresses the critical need in our community,” said Mayor Joyce Craig. “These funds will allow us to focus on a ‘Housing First’ model to address homelessness, and make sure families, seniors on a fixed income and those with disabilities have access to safe, affordable housing that meets their needs.”

Projects utilizing these funds will provide housing for individuals/families making between 30% and 80% of the Area Median Family Income, defined by the U.S. Department of Housing and Urban Development, and require that these individuals not pay more than 30% of their annual income on total housing costs. The funds may be used for the development of new affordable units or rehabilitation of existing units. In addition, proposals are encouraged, but not required, to include commercial space, market-rate residential units, public green space, and public art.

According to the RFP,  all projects must meet the following minimum requirements to be considered for funding:

  • Projects may include the development of new units or the rehabilitation of existingproperties. The housing units to be developed may consist of rental units and/or ownership units.
  • The property must meet the City’s minimum property standards and all applicable building, life safety and universal accessibility codes upon completion of construction.
  • The displacement of existing tenants will be prohibited. Relocation activities will be conducted in accordance with the Uniform Relocation Act (Section 104 (d) of the Housing and Community Development Act of 1974, as amended).
  • The Rehabilitation of existing residential properties must not result in a net loss of bedrooms.
  • All projects shall leverage eligible funding sources (section 92.220 of the HOME Final Rule) in an amount that is not less than twenty-five percent of the amount requested from the City.
  • All projects must be located within the City limits of Manchester.

All requests will be reviewed by a selection committee composed of the Director of the Planning and Community Development Department, the Director of Homeless Initiatives, and a representative from the Board of Mayor and Aldermen CIP Committee, who will then make recommendations to the Board of Mayor and Aldermen for final approval.

Proposals are due by 3 p.m. on July 16, 2021, and must be submitted to the Department of Planning and Community Development in City Hall.


View the RFP below: