The Bend Chamber of Commerce announced a $500,000 donation from Providence Health Thursday that will be used to help local non-profits build affordable housing.
The money works as a low-interest loan for builders and the homes built will be offered to households that earn between 80% and 120% of the area median income. According to Freddie Mac and Fannie Mae, that AMI range for eligibility is between $84,080 and $126,120.
“It’s the teachers. It’s the firefighters. It’s restaurant managers. It’s all those folks that we so rely on in our economy and our community, and we want to make the homes accessible to them,” said Katy Brooks, Chamber CEO.
The loan money is already being put to use at a development at the corner of 15th Street and SE Wilson Avenue, with the first group of homes expected to be up by winter.
Here are more details from the Bend Chamber:
The low-interest, short-term loan is designed to offset land acquisition, pre-development, and construction costs in a market burdened by the high cost of land, construction supplies, labor and lending. The new program will leverage the collaboration of local builders, developers, investors and non-profit partners to build more attainable housing for Bend’s workforce within 80%-120% of AMI.
The Chamber conducted a study in 2022 that showed 91% of regional employers said housing had a high impact on their ability to hire and retain employees.
“This was a clear indication that our housing problem is not just a human issue, it’s an economic constraint,” said Sara Odendahl, Bend Chamber Director of Government Affairs and Strategic Initiatives.
How the Loan Works
- The Bend Chamber partners with non-profit housing organizations, builders, developers, and employers to identify land throughout the city of Bend to utilize the Loan, resulting in lower costs passed on to the buyer.
- The fund is flexible and can be used for property acquisition, permitting, or construction costs.
- The fund will be managed by Mid Oregon Credit Union and deployed as an 18-24-month revolving loan at 3% interest.
- The home must be deed-restricted to ensure that future buyers are employed in Bend and earn between 80%-120% of AMI.
- The loan fund is funded through philanthropic contributions to the BendNEXT Foundation, the 501(c)3 foundation of the Bend Chamber.
“Building homes within financial reach of employees is critical to employers”, said Brooks. “This loan provides a way to leverage the ability to reduce costs and partner with others who want Bend to be home and workplace to more of us.”
Originally Published Here: https://www.centraloregondaily.com/news/local/bend-affordable-housing-donation/article_60b95624-6650-11ef-9f58-a34f018fc074.html