Weekly Real Estate News
Virginia Gov. Glenn Youngkin has issued an executive order designed to tie economic development with workforce housing.
Under the newly announced Executive Order 42, the Virginia Economic Development Partnership and the Department of Housing and Community Development will coordinate with Virginia Housing (the state’s housing finance agency) to ensure business site investment decisions include nearby localities’ plans to foster housing development to support economic growth.
The governor has also announced the launch of the Workforce Housing Investment Program, a new initiative at Virginia Housing. With this program, Virginia Housing will provide loans, loan subsidies, and grants up to $3 million to localities and nonprofits to develop housing for workers earning 80% to 120% of area median income, or up to 150% in rural areas. To be eligible for investment, a locality must be within a 30-minute drive of a business adding new jobs: 100 for a non-distressed locality, 50 for a distressed locality, and 25 for a double-distressed locality. The new program is designed to invest $75 million over five years.
Youngkin said the new endeavors are in response to an environment where “Virginia is growing and we need to make sure the supply of housing can meet our surging demand. The private sector is ready to step in and meet the needs of our growing workforce with much needed workforce housing, and today’s announcement advances these efforts by accelerating workforce housing development and requiring local governments to support the housing growth that Virginia needs.”
“Affordable housing changes lives, and it also attracts businesses that grow and add new jobs. This new, flexible program allows us to magnify our collective impact through partnering directly in the communities that need assistance for middle-income workers,” added Virginia Housing CEO Tammy Neale.
