In the city I live in there's a couple buildings that developers wanted to turn into apartments, one with the idea of creating affordable housing in which all the apartments would be below market rate. The city has stopped both of them from happening. The mayor's reasoning for opposing the affordable housing one was because too many of the apartments would be below market rate, he wants 20% to be below market rate and 80% to be market rate or more.
So their plan was to finance part of the project through the Illinois Housing Developmental Authority because they offer lower interest loans and grants, but without the entire complex being below market they don't qualify for that.
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u/Anarcho_punk217 Oct 20 '22
In the city I live in there's a couple buildings that developers wanted to turn into apartments, one with the idea of creating affordable housing in which all the apartments would be below market rate. The city has stopped both of them from happening. The mayor's reasoning for opposing the affordable housing one was because too many of the apartments would be below market rate, he wants 20% to be below market rate and 80% to be market rate or more.