This article appeared in the March issue of Affordable Housing Finance.
SPECIAL FOCUS > > PUBLIC HOUSING BEYOND HOPE VI Mixed-Finance Projects Proceed Despite Hurdles By Andre Shashaty AFFORDABLE HOUSING FINANCE â€¢ MARCH 2007
As public housing authorities (PHAs) move to tap new resources to build and rehabilitate housing, they are creating new competition for private developers, but they also offer opportunities for collaboration in addressing the large unmet need for rehabbing and replacing their aging apartments.
Despite cuts in their federal capital and operating funds, PHAs still enjoy a steady flow of federal support, not to mention their control over federal housing vouchers and land holdings as well as access to the tax-exempt bond market.
A relatively small number of pioneering PHAs are actively seeking private-sector partners, particularly those with strong balance sheets who can help get private financing. They are using bonds, federal low-income housing tax credits, and other tools to rehab or redevelop their ailing public housing.