Henrico apartment complex receives funding to create more affordable housing units

Eleven affordable housing projects in the metro Richmond area – including one in Henrico County – will receive a total of $2.45 million in grant money from PlanRVA and the Partnership for Housing Affordability, the organizations announced Dec. 9. The projects will result in the construction of 263 new affordable housing units.

At the Cool Lane Apartments in Eastern Henrico, just south of I-64 east of Richmond near Mechanicsville Turnpike, nearly $467,000 will be used to add 86 new units.

The funding represented the majority of $3 million in grant money provided through Virginia Housing.

Distribution of funds was determined by a competitive application process administered by PHA. Award recipients were announced at PlanRVA’s December board meeting Thursday morning.

The grant program is supported by a $40 million statewide fund from Virginia Housing with the goal of creating at least 30 new affordable housing units in each of Virginia’s Planning Districts.

“Virginia Housing is thrilled to see all these projects receive grants,” said Susan Dewey, CEO of Virginia Housing. “PlanRVA and the Partnership for Housing Affordability have created an incredible model that other communities around the Commonwealth can replicate. Delivering an additional 263 units of affordable housing is truly exceptional.”

Virginia Supportive Housing is receiving the funding for the Cool Lane Apartments projects. Other organizations that are receiving grants include the Better Housing Coalition, Habitat for Humanity – Goochland County; Habitat for Humanity – Powhatan; Hanover and King William Habitat for Humanity; Maggie Walker Community Land Trust; project:HOMES; and Richmond Metropolitan Habitat for Humanity.
New affordable housing units will be added in the Town of Ashland, the City of Richmond, and the counties of Chesterfield, Goochland, Hanover, Henrico, and Powhatan.

PlanRVA received $3 million from Virginia Housing to address specific needs in the Greater Richmond region, including financing new affordable homeownership opportunities, renovating vacant and blighted properties, and creating upper-story housing in downtown business districts. The bulk of those funds will be distributed to non-profit organizations that have shovel-ready affordable housing developments.

“These grants will help us deliver high-quality and affordable homes that set up our region’s families and neighborhoods for success,” said Christopher Winslow, vice-chair of the Chesterfield Board of Supervisors and current chair of PlanRVA. “The partnership between PlanRVA and the Partnership for Housing Affordability is a model of collaboration and maximizing resources to benefit the greatest number of people as possible.  Good things happen when we work together.”

The grants are designed to serve as gap financing to help nonprofit developers offer rents and sales prices that are more affordable to lower-income households. Funds from the program can be used to cover rising construction costs, land acquisition, and contractor fees, in addition to many other eligible expenses.

PHA will work with the selected developments over the next three years to monitor progress and ensure adherence to program guidelines.

“These grants are transformational for our region and we hope are just the beginning,” said Laura Lafayette, executive director of PHA. “Our partnership with PlanRVA will bring more quality and safe affordable home options to our region and help advance key solutions outlined in the Richmond Regional Housing Framework.”

The remaining $250,000 in grants will be awarded during an allocation process in the spring of 2022.