Montana Announces Over $47 Million in Federal Housing Funding This Week

HELENA, Mont. — Montana officials announced more than $47 million in combined federal housing funding this week, highlighting the state’s ongoing efforts to address affordable housing shortages through multiple federal programs.

The Montana Department of Commerce announced Thursday that six awardees will share over $8 million in funding from the HOME Program, the Housing Trust Fund and the Community Development Block Grant Program. The announcement follows the Montana Board of Housing’s approval of $39 million in federal housing tax credits on Wednesday for 160 apartment units across five communities.

The combined funding will support construction and rehabilitation projects across Montana, from Miles City to Billings to Twin Bridges, providing housing options for families, seniors and adults with disabilities.

“Access to affordable housing is vital to the health and well-being of Montana families, communities, businesses and economy,” said Commerce Director Marta Bertoglio. “These programs are supporting construction and rehabilitation projects that expand housing options that might otherwise not be available to Montanans who need them.”

The CDBG Program, HOME Program and HTF are federal block grants directed and allocated by the U.S. Department of Housing and Urban Development to create affordable homes for households with lower incomes.

The following awardees will receive funding:

• CR Builders, LLC will receive $863,000 through the HOME Investment Partnerships Program and $1,150,000 through the Housing Trust Fund for new construction of the Saddlehorn Apartments in Miles City.
• The Crow Tribe will receive $1,500,000 through the HOME Investment Partnerships Program for the rehabilitation of the Western Motel in Hardin to create permanent supportive housing.
• Fergus County will receive $1,815,204 through the Community Development Block Grant in support of the Heart of Montana Farm in the Dell’s project in Lewistown to construct its group home to serve adults with intellectual disabilities.
• Homeword, Inc. will receive $1,671,000 through the Housing Trust Fund for the rehabilitation of the Fraser and Sage Towers in Billings.
• The Town of Twin Bridges will receive an award of $400,000 through the Community Development Block Grant in support of the Twin Bridges Community and School Foundation’s project to construct the Four Rivers fourplex.
• Mineral County will receive up to $750,000 through the Community Development Block Grant in support of the District XI Human Resource Council’s Housing Stabilization Program to rehabilitate single-family residences throughout the County.

Andrew Chanania, principal at Slate Capital Partners in Billings, said the federal funding programs are essential for affordable housing development. “We’ve syndicated a number of developments across Montana that have depended on HOME, HTF and CDBG funds,” Chanania said. “These funds are critical gap financing that enables us to help preserve existing and create new, affordable housing opportunities that Montanans can afford. Without these programs, many projects would be unable to move forward.”

Recent projects demonstrate the layered financing typical of affordable housing development. GL Development’s Mitchell Court in Billings, a 32-unit family complex nearing completion, combined HOME funds with Low Income Tax Credits, Glacier Bank equity, city Tax Increment Financing, and loans from the Montana Healthcare Foundation and Commerce’s Coal Trust program.

Similarly, Slate Capital Partners’ rehabilitation of The Manor, a 60-unit senior complex in Hamilton, required HOME, HTF and CDBG funds, plus 4% Tax Credits with Glacier Bank financing and Montana Department of Environmental Quality Brownfields funding.

For more information about Commerce’s housing programs, visit commerce.mt.gov.