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PA Developers Can Tap New Grants for Mixed-Use Sites with Housing

Published Monday, November 18, 2024
by Paul Muschick

 

Mixed-used developments that include housing are eligible for state funding under a new program aimed at expanding housing opportunities and increasing the availability of affordable housing. 

Municipalities, economic development organizations, redevelopment authorities, municipal authorities, industrial development agencies, and for-profit organizations are eligible to apply for $10 million in grants.

The deadline to apply is Dec. 6. Apply and read program guidelines here.

The program is part of Pennsylvania’s first comprehensive Housing Action Plan that was initiated by Gov. Josh Shapiro.

“The PA Mixed-Use Housing Development pilot program is a strong first step towards boosting the availability of affordable housing, increasing housing for our growing workforce, and providing crucial support for Pennsylvanians struggling to obtain housing,” said Rick Siger, Secretary of the Department of Community and Economic Development. “This program and others developed under Governor Shapiro’s Housing Action Plan will improve access to safe, affordable housing which is essential for Pennsylvania’s economic growth and critical to the well-being of families and individuals throughout the Commonwealth."

Eligible projects must include residential and non-residential components. The residential component can be rental or owner-occupied housing. Grant funds may be used for:

  • Acquisition of land, buildings, rights of way, and easements
  • Clearing or preparing land for construction
  • Building rehabilitation
  • Demolition
  • Infrastructure including stormwater, utilities, sanitary sewer, transportation, and communications
  • Environmental assessment/remediation
  • Engineering, design, and inspection costs (up to 10% of construction costs)
  • Signage, landscaping, and street lighting
  • Administrative costs, permit fees, legal costs, and professional services expenses (up to 5% of total grant award)

Funding for the grants comes from the $400 million bipartisan PA SITES program approved by Gov. Shapiro and the Pennsylvania Legislature. That program funds improvements to make properties shovel-ready for development. Shapiro announced the first grant in the Lehigh Valley, in Allentown for a property where a manufacturing facility is planned. 

(Photo by The Creative Solutions Department LLC)

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