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Auburn’s Northwest Village Subdivision Affordable Housing Project Winner, Economic Development category The Northwest Village Subdivision is an affordable housing subdivision funded by the Community Development Block Grant (CDBG) program sponsored by the U.S. Department of Housing and Urban Development (HUD) to benefit low to moderate-income (LMI) households (those in which incomes do not exceed 80% of the median family income). The City of Auburn started its first affordable housing program in the mid-1980s with 17 units. However, the development of an affordable housing subdivision through a Community-Based Development Organization (CBDO) is the first of its kind for Auburn. The City’s Affordable Housing Program (AHP) involves a collaboration of both the public and private sectors. Auburn partnered with various agencies to create an AHP and used CDBG funds as capital seed money to provide infrastructure improvements for the subdivision as well as construction financing. In addition, the City will provide a 20% mortgage subsidy of the total sales price in an effort to reach an affordable monthly payment for the homeowner. To that end, Auburn created a Revolving Loan Fund to recapture all loan proceeds to recycle funds to build additional units. Twenty-eight homes will be constructed during Phase I with a total of 60 affordable housing units in the subdivision by the completion of Phase II. |