Click to view the analysis.
In celebration of the 10th anniversary of Austin’s general obligation affordable housing bonds, HousingWorks commissioned Civic Economics to complete an economic analysis of the bonds. We did a similar analysis of the 2006 affordable housing bonds in 2013. The 2013 study showed that the $55 million housing bond resulted in nearly $400 million in construction impact and, considering ongoing operating expenses, $865 million in impact over 10 years.
To date, approximately one-third of the 2013 housing bonds have been obligated ($27 million out of $65 million). These funds have been invested in both new construction and acquisition rehabilitation, resulting in nearly 1,300 units of affordable housing.
The 2016 study reveals some interesting data:
· The city’s $27 million investment was leveraged with an additional $190 million in outside funding. That’s a 7:1 leverage ratio!
Homestead Oaks – An affordable Foundation Communities property financed in part by the 2013 bonds. Photo courtesy: Hatch + Ulland Owen Architects
· The housing bonds have had a significant construction impact, employing more than 2,300 workers.
· The city’s $27 million investment will result in 1,278 units of rental housing created or preserved, 713 of which are deeply affordable.
· Affordable housing created by the housing bonds will have ongoing operational impacts, estimated to be $180 million over 10 years.
· Assuming the remaining bonds are invested and leveraged in a similar manner, we can expect a local economic impact of more than $900 million during construction alone. Click below to download the full analysis.