MFA Awards $7.3 Million in Funding to Help Create and Preserve Affordable Housing throughout New Mexico

The Board of Directors for the New Mexico Mortgage Finance Authority (MFA) recently approved $7.3 million in New Mexico Housing Trust Fund (NMHTF) funding awards to help create and preserve affordable housing for more than 400 families across Las Cruces, the San Felipe Pueblo, Santa Fe, Raton, Española, Las Vegas, Albuquerque, and other cities throughout New Mexico.

“This funding supports projects that help address diverse housing needs throughout the state,” said MFA Executive Director and CEO Isidoro Hernandez. “Ultimately it will provide greater stability, health and wellness for families and more economic growth for communities across New Mexico.”

Funding was awarded based on each project’s readiness and ability to proceed, financial feasibility, project design and implementation, and ability to meet all program requirements. To qualify for the funding the projects also had to have an energy-efficiency component.

To date, MFA has leveraged 21-to-1 the $61 million dollars the state has invested in the NMHTF fund since it was created in 2005. This funding generated the development of 4,795 affordable housing units with an economic impact of $580 million across the state.

The widespread need for affordable housing creation and presentation was recently identified in a 2022 study commissioned by the MFA-led Housing New Mexico Advisory Committee that found 5,140 new single-family homes are needed every year to meet the growing demand for housing, 43,000 units need accessibility modifications, 40,000 units are in need of rehabilitation, 175,000 homes need energy efficiency improvements, and at least 6,500 units of permanent supportive housing are needed for those who are homeless. The study also found that there is currently a statewide shortage of 32,000 units for renters making less than 30 percent of Area Median Income (AMI) and 218,471 New Mexico households were identified as “cost burdened” – spending more than 30 percent of their income on housing costs.

The projects awarded funding include:

North Central New Mexico Economic Development District (NCNMEDD) Workforce Integrated Network (WIN) Project – Statewide - $2.7 million - North Central New Mexico Economic Development District (NCNMEDD)

Funding will support the acquisition and renovation of housing in Santa Fe, Taos, Espanola, Raton and Las Vegas, NM for individuals in the WIN program, a job placement program designed to provide 1,200 job placements in healthcare and skilled trade sectors, primarily by placing individuals exiting substance abuse programs or the criminal justice system. The housing will include a mix of existing buildings, homes and multi-family dwellings which can be renovated as group homes, or apartments.

The Pedrena Apartments – Las Cruces, NM - $2 million – Thomas Development Co.’s

Funding will support the new construction of an 80-unit multifamily development at 801 Farney Lane and 1955 El Paseo Road, Las Cruces, NM. The development will serve senior citizen households with incomes ranging from $12,810 to $25,620 per year for a single person household. Construction is currently set to begin in Sept. 2023 and finish by Sept. 2024. Since the building was designed specifically for senior citizens, it will feature interior apartment entrances, wide hallways with handrails, elevators, and common area amenities both inside and outside. The development will also host a variety of activities designed to foster socialization and mental and physical wellness.

Peach Tree Canyon – Las Cruces, NM - $1.25 million - New Mexico Housing Community and Development Corporation (NMHCDC)

Funding will support the new construction of the 144-unit multifamily development located at 7081 N. Jornada Road, Las Cruces, NM. The development will offer one-, two- and three-bedroom units and will serve families with incomes up to $36,600 per year for a family of four. According to the City of Las Cruces, the development is part of a larger 288-unit development that is Las Cruces' largest affordable housing project to date.

Encino Gardens - Albuquerque, NM - $1 million – Encino Gardens, Inc.

Funding will support the acquisition and rehabilitation of the development with two, five-story multifamily buildings with approximately 165 units located at 412 Alvarado Drive, Albuquerque, NM. The development serves senior citizen households with project-based Section 8 senior housing vouchers. The rehabilitation for both buildings will be the first significant renovation either building has undergone in the development’s 40-year history.

San Felipe Pueblo Roof Replacement and Repair – San Felipe, NM - $350,000 - San Felipe Pueblo Housing Authority (SFHA)

Funding will support emergency roof repairs and replacements for families with low and moderate incomes throughout the San Felipe Pueblo. The SFHA currently has a waiting list of more than 25 qualified families for the emergency roof repair and replacement program. To help ensure the project is completed in a timely manner, SFPHA will draw from a pool of multiple construction professionals ready to begin work on the roof repairs and replacements. The SFHA anticipates completing the repairs within six months.