Reynolds announces $20M Iowa Downtown Housing Grant program despite uncertainty in real estate market | Iowa

(The Centre Sq.) – Iowa taxpayers will devote practically $20 million on downtown housing projects, Gov. Kim Reynolds introduced Thursday.

Sixty-one particular communities will get a total of 466 new households via the Downtown Housing Grant application. The downtown revitalization will completely manifest in communities with no a lot more than 30,000 inhabitants.

Reynolds mentioned housing will catch the attention of workforce and assist 466 Iowans live near in which they do the job.

Fourteen assignments received $600,000 grants. Each and every of all those intends to provide at minimum 10 units. Three projects been given $100,000 grants for upper tale creating jobs that will give 1 device apiece. A brewery in Cascade that has been vacant for 25 a long time will be converted into 10 rental residences, and a previous middle faculty in Jefferson will property 25 rental models. In all, two previous colleges, seven underutilized facilities and 52 higher tale properties will be redeveloped into housing. The Iowa Economic Growth Authority has presented a record of projects’ addresses, styles, funding, models and locations.

“This method provides a distinctive and transformative possibility to the two revitalize our communities and increase our housing stock across the condition,” Reynolds claimed.

Ninety-four candidates asked for $31 million in funding. Assignments were scored on requirements such as venture appropriateness, current funding and partnerships, impact on housing in the community and inhabitants measurement.

Reynolds has invested $100 million in federal American Rescue Act point out and nearby relief monies in increasing housing offer for Iowans to live close to their workplaces.

Center for Economic Accountability President John Mozena informed The Center Square in an emailed assertion Thursday that whilst the tasks could be successful, it’s uncertain whether they are a intelligent use of taxpayer bucks for the reason that of unparalleled office shifts in mindsets about how a lot function can and ought to be performed remotely.

“If Iowa’s elected officers know for guaranteed that there is a prolonged-term sector for residential developments that give men and women ‘the possibility to are living in close proximity to where by they function,’ then they really should share their crystal balls with the relaxation of the country,” he said.

As numerous as one particular in five positions could become either a fully or largely remote posture, Mozena mentioned.

“Right now, no person would seem to know for guaranteed what that signifies for where men and women will live, in which they will function or what sorts of housing or amenities they are heading to be hunting for. It’s an unprecedented time of uncertainty and modify that’ll have very long-time period impacts on a great deal of locations, together with these pretty towns. … But it’s an election yr, and that federal COVID income is burning a gap in elected officials’ pockets across the nation, so we get jobs like this where the state’s subsidizing true estate developers to the tune of nearly $43,000 for every new condominium,” he stated.

He stated there is a better solution: Simplify the approach for making and renovate current houses.

“Zoning codes and other land use laws have gotten so complicated, restrictive and high priced to offer with that a surprising volume of the value of a new property or condominium is just in acquiring federal government permission to develop it,” Mozena claimed. “If Iowa’s towns want men and women to construct houses there, the most basic way to do so is to become the simplest spot to create new homes.”