Duval Times

Jacksonville Mayor Donna Deegan has announced a significant commitment towards addressing the city's affordable housing crisis. In her proposed 2024-2025 budget, Mayor Deegan is allocating $10 million to jumpstart an innovative affordable housing loan fund, aiming to catalyze $120 million in new multifamily rental housing.

Mayor Deegan emphasized the importance of this initiative, stating, "We’re facing a crisis of affordable housing in Jacksonville, and this innovative housing fund presents the opportunity for us to attract an additional $12 of investment for every $1 the city invests."

The fund will be a public-private partnership, capitalizing on public, private, and philanthropic low-interest loans to provide developers with low-cost financing. This will enable them to unlock underutilized 4 percent tax credit financing from the state. The city's $10 million investment is a loan that will be repaid at the end of a 20-year investment period.

Amanda Frazier Wong, President of Self-Help Ventures Fund, highlighted the significance of the fund, stating, "This loan fund puts more fuel in the tank so that more affordable housing can be built and preserved each year."

Private and philanthropic investment totaling $30 million is required to match the city's $10 million, allowing developers to leverage additional financing through other sources. Several organizations, including the Jessie Ball duPont Fund, The Community Foundation for Northeast Florida, and Northern Trust, have expressed interest in being investors in the fund.

Mari Kuraishi, President of the Jessie Ball duPont Fund, expressed enthusiasm for the model, stating, "This model is unique because it can attract private and philanthropic dollars that would otherwise be sitting on the sidelines and return the capital to be re-invested in the community."

Isaiah M. Oliver, President of The Community Foundation, also voiced support, saying, "I want to thank the mayor for taking this critical first step, and I look forward to more conversations with the city and potential investors about why we believe the fund is a promising solution for a specific need in our community."

The fund is expected to provide financing for the acquisition and development of 500-1,000 housing units over the tax credit compliance period. It represents a significant step towards addressing the affordable housing supply challenge in Jacksonville, with City Council Member Joe Carlucci inviting key stakeholders to present on the fund at an upcoming meeting.

Mayor Deegan's $10 million allocation towards the affordable housing fund will be included in the budget to be presented to the City Council in July 2024. The initiative has garnered support from various sectors, showcasing a collaborative effort to tackle the pressing issue of affordable housing in Jacksonville.