Three affordable housing projects in Cincinnati have been awarded highly competitive Low Income Housing Tax Credits (LIHTC). The awards are a victory for local officials after two years in a row with just one award.
City officials say this year's success is thanks, at least in part, to better coordination between the city's Department of Community and Economic Development (DCED) and the Cincinnati Development Fund (CDF), which manages the Affordable Housing Leverage Fund.
CDF Chief Strategy Officer Luke Blocher says Ohio Housing Finance Agency (OHFA), the state agency that manages the federal LIHTC program, recently started requiring upfront funding commitments from all sources.
"In response to that, we worked with the city to develop a new process by which we could underwrite and analyze projects [that were] considering applying," Blocher told WVXU. "And this is the critical part — in doing that together, we would pool a variety of available city sources and a variety of the sources that CDF had under its control."
Six development projects applied for funding to support a LIHTC application for 2025. After a joint review, all six received a commitment letter promising funds from the city, CDF, or both. Of those six applications, OHFA chose three — the highest number since 2022.
- 2025: 6 applications (308 housing units), 3 awards (142 housing units)
- 2024: 7 applications (412 units), 1 award (70 units)
- 2023: 2 applications (82 units), 1 award (30 units)
- 2022: 5 applications (236 units), 3 awards (146 units)
- 2021: 7 applications (347 units), 4 awards (198 units)
- 2020: 9 applications (460 units), 5 awards (250 units)
- 2019: 9 applications (678 units), 4 awards (341 units)
"I do believe that it was the coordination between the city and CDF to make sure these projects had the funding commitments necessary to even really be considered seriously," Blocher said. "It's hard for me to see how some of these projects would have made competitive applications without these commitments to fill their gaps."
LIHTC is one of the most significant funders of affordable housing in the U.S. As construction costs continue to rise, the tax credits have become even more critical to fund projects that would otherwise be too expensive to build.
"The landscape right now in construction is similar to what it is across the broader economy, where there's a lot of uncertainty," said Ben Eilerman of Over-the-Rhine Community Housing. "That uncertainty, especially around tariffs, is resulting in higher prices."
Cincinnati LIHTC awards
Wesley Baymiller
- Over-the-Rhine and the West End
- 60 units
- Income level: 60% Area Median Income and below
Developers will rehabilitate 13 historic buildings that currently operate as affordable housing. The project is a collaboration between Model Group and Preservation of Affordable Housing (POAH).
"Preservation funds are important to keep the buildings safe and sound and make sure that they're not lost to deterioration or disrepair," said POAH VP of Development Molly Ekerdt.
This is POAH's first 9% LIHTC award in Cincinnati.
"We're really thrilled that the state has picked us and it aligns with their priorities this year, and we're able to save this important housing in these neighborhoods," Ekerdt said.
The city of Cincinnati has proposed awarding $1.85 million to the project from the OTR-East Tax Increment Financing District; that would require a community engagement session and approval by City Council.
Vine and Polk
- CUF
- 57 units
- Income level: 60% Area Median Income and below
The project involves renovating one existing building into two units, and constructing one new building with 55 units. The development team includes Over-the-Rhine Community Housing (OTRCH), the Clifton Heights Community Urban Redevelopment Corporation, and 8K Construction.
"Our team has been working for years on this project," said OTRCH Director of Real Estate Development Ben Eilerman. "The community really saw a need for more affordable housing, especially the business owners up in the Clifton area — they saw their workers not being able to afford to live in the neighborhood."
The project is estimated to cost $20 million, and the LIHTC award will cover about $12.5 million.
The city of Cincinnati has awarded $2.85 million to the project from the city's Notice of Funding Availability (NOFA).
Pleasant House
- Over-the-Rhine
- 25 units
- Income level: 60% Area Median Income and below
This project will redevelop a building that currently serves as permanent supportive housing operated by Tender Mercies. It houses people who have experienced homelessness and have a mental health diagnosis.
The development partner is Over-the-Rhine Community Housing.
"The folks who live there are in small, cramped bedrooms with shared bathrooms and kitchens," Eilerman said. "What we are looking to do is to tear that building down and to put up a new 25-unit building that will provide everyone with efficiency apartments [and] provide a more robust common space."
The LIHTC award will cover about $7.7 million of the project's total $8.9 million cost.
The city of Cincinnati has awarded $1.25 million to the project from the city's Notice of Funding Availability (NOFA).
Greater Cincinnati LIHTC awards
Outside of Cincinnati, five other development projects in the area applied for LIHTC this year: one in Symmes Township (Hamilton County), two in Clermont County, one in Butler County, and one in Warren County.
Of those, just one received an award this year: The Meadows in Batavia Township.
The project will include constructing a new building with 76 units affordable to households making between 30% and 80% of the Area Median Income.
The developer is Spire Development
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