Project-Based Vouchers (PBV) are among the most effective tools MPHA has to help build new and sustain deeply affordable housing in Minneapolis. In alignment with Minnesota Housing’s annual consolidated RFP deadline, MPHA recently awarded 85 PBVs to six different Minneapolis housing developments. Across the six projects, a total of 389 new homes at various affordability levels have been proposed. At least 75 percent of MPHA’s 85 PBV units will be available to residents at or below 30 percent Area Median Income (AMI), with the remaining being reserved for those at or below 50 percent AMI.

Rather than the traditional tenant-based Housing Choice Vouchers (“Section 8”) awarded to an individual or family, PBVs sit with physical building units. This provides developers a long-term source of revenue via federal housing subsidies and access to a list of potential residents through MPHA’s Housing Choice Voucher waiting list. For the tenant, PBVs take the burden off individuals needing to secure their own housing from a Section 8-eligible landlord and instead creates a pipeline of subsidy-ready units across the city for qualifying families and individuals.

The PBV program at MPHA has been incredibly successful. Since 2019, MPHA PBVs have accounted for more than half of all deeply affordable homes built in Minneapolis. Further, the agency has committed to helping develop at least 150 new units of deeply affordable housing each year over the next four years as a part of the agency’s strategic plan.

Projects included in this round of PBV awards:

Penn Wood Village
Matrix Development was awarded 15 PBVs as a part of an 86-unit mixed-use building at Glenwood Ave N and Penn Ave N in the Harrison neighborhood. Of the 86 units, 18 are set aside for Permanent Supportive Housing partnering with Hennepin County, Simpson Housing Services, and Minnesota Department of Health and Human Services. The remaining 68 units are dedicated to families at or below 50 percent AMI. In addition to the affordable housing in the development, a food market will bring access to nutritious, affordable food, which the area currently lacks.

2400 Chicago
Stride Development and Kindheart Homes Social Services were awarded ten PBVs for its 60-unit project at 2400 Chicago in the Phillips neighborhood. The ten PBV units will be two-, three-, and four-bedroom units for large families. 2400 Chicago will be Passive House compliant for energy efficiency with a solar rooftop, energy efficient appliances and fixtures. The project will also feature a play area for children.

EPIC + R
VY Management was awarded 15 PBVs for its 68-unit mixed-use development at 1014-1026 Plymouth Ave N in North Minneapolis. EPIC + R will meet Passive House Standard and serving intergenerational families with three- and four-bedroom units. The commercial side of the project will bring a daycare center, business incubator space, and retail or office space to the neighborhood. EPIC + R plans to partner with non-profits to offer youth mentorship, homeownership programs, credit building services, and employment assistance onsite.

Zaria
Noor Development and Project for Pride in Living were awarded 20 PBVs for its new 89-unit development at 3030 Nicollet Ave in the Lyndale neighborhood. The project will service primarily families and offer indoor and outdoor play areas and playgrounds. This project is located at the former Wells Fargo bank site and will be an important part of the community’s healing to redevelop the site in a community-centric way. Additionally, the building will be in compliance with a number of environmental standards resulting in an onsite stormwater treatment and a rooftop solar array.

Clare 5
Clare Housing was awarded 15 PBVs for its 36-unit project at 1900 Monroe St NE in Northeast Minneapolis. This project will exclusively serve seniors living with HIV/AIDS and high priority homeless households. Clare 5 will have 24/7 supportive services provided on-site by Clare Housing and its partners.

CB & Lowry Ave
CommonBond was awarded ten PBVs for its 50-unit development at Lowry Ave N & Colfax Ave N in the Hawthorne neighborhood. The 50-unit affordable rental building will be a mixed-use with a ground floor health clinic. The property’s amenities will include a community room, bike storage, and shared laundry.

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The agency welcomes interested builders or developers to contact (pbvrfp@mplspha.org) to inquire about the benefits of PBVs, the RFP and bidding process, as well as how PBVs are awarded. MPHA’s Project-Based Voucher Request for Proposals process is on a rolling basis.