City of Providence Announces Historic Bond to Capitalize Affordable Housing Trust Fun
Providence Redevelopment Agency to Invest in Safe, Affordable and Equitable Housing Citywide
PROVIDENCE, RI — Mayor Jorge O. Elorza, City Council President John Igliozzi (Ward 7), and Providence Redevelopment Agency Executive Director Bonnie Nickerson today announced that the City of Providence, through the Providence Redevelopment Agency (PRA), has closed the first-ever bond issue to capitalize the Providence Housing Trust Fund.
“The need to provide safe, affordable housing for every member of our community has never been more critical,” said Mayor Jorge O. Elorza. “This historic $24.75 million investment marks another important step towards a just and equitable future for our residents. By increasing access to safe and affordable housing, we’re laying out a blueprint to build a more resilient community as we near the other side of this crisis.”
In partnership with the Providence City Council and PRA, Mayor Elorza announced a first-of-its-kind $20 million Affordable Housing Bond to stimulate affordable housing construction in December 2020. The City‘s improved finances and track record of prudent debt management allowed the bond issue to achieve a ‘BBB’ rating. Along with the current low interest rate environment, the City was able to increase the size of the bond issue on the day of pricing, resulting in over $6 million additional program funding.
“Affordable housing is a cornerstone in maintaining a healthy population and a strong economy in the City of Providence. I am proud to join Mayor Elorza and the Providence Redevelopment Agency in taking this substantial step to expand access to safe, reliable, affordable housing. As we continue to move forward through the COVID-19 pandemic, we must remain committed to improving the quality of life for all residents through productive and meaningful economic initiatives like the Affordable Housing Bond,” stated Council President John J. Igliozzi, Esq.
The Providence Redevelopment Agency is currently soliciting proposals to spur the production, preservation, and protection of affordable housing through the Providence Housing Trust Fund. These funds are available to private and public developers for construction and project financing.
“With these funds, we are boosting the capacity of the City to assist in the production of affordable housing for our residents, in neighborhoods across the City,” said Executive Director of the Providence Redevelopment Agency, Bonnie Nickerson. “Our housing study released earlier this year clearly identified a 10-year blueprint for housing and with this bond issue we can immediately begin brining units online to address this critical need in our community.”
Applications are being accepted on a rolling basis to the Providence Housing Trust Fund for review. Program documents will be available later for download at the Providence Redevelopment Agency’s website at providenceri.gov/planning/