Virginia is moving forward with more than $1.1 billion in affordable housing projects by stacking multiple funding sources together.
A record-breaking $154.5 million investment in Affordable and Special Needs Housing loans will construct and rehabilitate 3,014 homes across 47 projects statewide, targeting low-income households and people with special housing needs. The loans fill financing gaps that often stall projects, helping major developments move from planning to construction.
The funding strategy combines federal sources — such as the HOME Investment Partnerships Program for affordable housing construction and the National Housing Trust Fund for extremely low-income households — with state sources including Housing Innovations in Energy Efficiency and the Virginia Housing Trust Fund.
Many developments are being designed with long-term stability in mind. Energy-efficient construction and upgrades will lower utility costs for residents. Accessibility features will allow seniors and people with disabilities to live independently longer. Additionally, supportive service layouts will help people transitioning out of homelessness.
The investment focuses on strengthening existing communities rather than replacing them. Rehabilitation projects are modernizing older buildings with safer systems, better insulation, and improved living conditions. This approach helps prevent displacement while keeping affordable housing in walkable neighborhoods close to jobs, transit, and services. Instead of constructing all new units, the plan is to make areas more livable and affordable to operate over time.
Photo by Pavel Danilyuk from Pexels
For more of the latest from the expansive government marketplace, check Government Market News daily for new stories, insights and profiles from public sector professionals. Check out our national contracting newsletter here.
