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VHCB awards proceeds from Sustainability Bonds to affordable housing projects

By: Mia Watson on 3/21/2018

In January, Vermont Housing Finance Agency was instrumental in the sale of nearly $37 million in Vermont Property Transfer Tax Revenue Bonds. Proceeds from these bonds, sold as sustainability bonds due to their intended use, support the Housing for All initiative to construct and preserve affordable housing across Vermont. Project development is underway. Vermont Housing & Conservation Board (VHCB) has already awarded proceeds from the housing bonds to 15 planned affordable housing projects.

Projects include an apartment building in Brattleboro, where the Windham & Windsor Housing Trust will build 23 rental units. The energy efficient building will be located near essential services and transportation, and will offer a community room, office space for service providers, and a small commercial space. The apartments will be affordable to low-income residents with incomes from 50-120% of median income. Of the $6.8 million total cost of development, $3.9 million will be supported by the proceeds of the housing bonds.

VHCB has awarded $425,000 in housing bond proceeds towards the rehabilitation of the historic Woolson Block building in downtown Springfield (pictured) by the Springfield Housing Authority. The project will create 15 affordable apartments and 4 units of transitional housing for youth at risk of homelessness between the ages of 18 to 24, along with an apartment for a live-in supervisor. This project will also be supported by federal Low-Income Housing Tax Credits awarded by VHFA.

Proceeds from the bonds will also fund $600,000 in accessibility improvements to homes and apartments statewide by the Vermont Center for Independent Living. These efforts will help seniors and those with disabilities to stay in their homes and remain part of their communities.

"We were very pleased to use our experience working with financial partners and investors on the bond sale to maximize the funds raised for the Housing for All initiative," remarked VHFA's Executive Director Sarah Carpenter. “It is exciting to see the bond proceeds in action with these projects”  

Revenue from bonds will ultimately construct or rehabilitate 550-650 homes statewide over the next two to three years. To learn more about these projects, visit VHCB’s website or read their 2017 Annual Report.