April 9, 2026
$26.8 Million Awarded to Build and Preserve Affordable Housing in Austin
Image of groundbreaking celebration for The Sasha, a 60-unit supportive housing community for victims of family violence. The development was recently awarded $300,000 from Project Connect funds for construction.
AUSTIN, TX – Austin Housing is pleased to announce that Austin City Council and the Austin Housing Finance Corporation (AHFC) have recently approved just under $26.8 million to support eight affordable multi-family and ownership housing developments across the city. These developments span across several city council districts, including Districts 1, 2, 3 and 5. These investments create and preserve both rental and ownership opportunities for low- and moderate-income households, reinforcing Austin’s ongoing commitment to affordability, stability, and equitable growth.
The funding from AHFC supports the Rental Housing Development Assistance (RHDA) and Ownership Housing Development Assistance (OHDA) programs, which will assist in the construction of a total of 590 affordable rental and ownership units. These units will be made available to households earning at or below 30, 50, 60 and 80 percent of the median family income (MFI). The units are expected to come online over the next several years.
“By supporting a mix of ownership and rental developments, we are strengthening neighborhoods, expanding opportunity, and helping ensure residents can remain in the communities they call home,” said Deletta Dean, Director of Austin Housing.
Funding for these developments comes from a combination of General Obligation Bonds, Project Connect Anti‑Displacement funds, HOME Community Housing Development Organization (CHDO) funds, and Homestead Preservation District Tax Increment Financing. Developers leverage AHFC financing with additional public and private resources in order to bring more affordable homes online over the next several years.
Brendan Kennedy, Division Manager at Austin Housing, says these awards support developments that serve a wide range of income levels while ensuring long-term affordability across Austin.
“These investments allow us to stretch local funding further and deliver more affordable homes across Austin,” Kennedy says. “By supporting both rental and ownership developments, we are helping meet critical housing needs at multiple income levels.”
Developments Approved for Funding
The following rental developments were awarded funding through Rental Housing Development Assistance (RHDA) at the April 9th AHFC meeting:
South First Affordable Apartments
South First Affordable Apartments is a proposed rehabilitation of two existing developments located at or near the intersection of 714 Turtle Creek Blvd and 5609 Cougar Lane, Austin, TX 78745 in District 2. The development was awarded a total of $4.95 million (approximately $3.56 million from remaining 2018 General Obligation Bonds and $1.39 million from 2022 General Obligation Bonds) for the rehabilitation and preservation of 125 total units. The community will be comprised of efficiencies, one- and two-bedroom units. The developer is Narrow Road Group.
19 units will be available for households at or below 30 percent MFI;
44 units will be available for households at or below 50 percent MFI; and
62 units will be available for households at or below 60 percent MFI.
The Sasha
The Sasha is located in District 3 at 1325 Grove Blvd, Austin, TX 78741. This development was awarded $300,000 from Project Connect funds for the construction of a 60-unit supportive housing community. This award will supplement a previous RHDA award, with a total loan amount of up to $8.80 million. The developer is DMA Development Company and The SAFE Alliance is the owner/operator. Construction of the supportive housing community – which will consist of one-, two- and three-bedroom units – is expected to be completed in Spring 2027. 30 units will be permanent supportive housing while the remaining 30 will be transitional housing, supporting individuals and families fleeing family and/or sexual violence and are experiencing homelessness.
12 units will be available for households at or below 30 percent MFI;
25 units will be available for households at or below 40 percent MFI; and
23 units will be available for households at or below 50 percent MFI.
Verbena Flats
Verbena Flats is located in District 5 at 1017 West Slaughter Lane, Austin, TX 78748. The development was awarded $8 million using 2022 General Obligation bonds. The developer, Journeyman Group, will use the funds to construct a 328-unit multifamily rental community.
7 units will be available for households at or below 30 percent MFI;
7 units will be available for households at or below 40 percent MFI;
97 units will be available for households at or below 50 percent MFI; and
217 units will be available for households at or below 60 percent MFI;
Apart from the planned rental developments, several ownership developments were approved funding through Ownership Housing Development Assistance (OHDA):
Goodnight Ranch
Goodnight Ranch is a single-family ownership development located in District 2 at 5800 Rotunda View, Austin, TX 78747. The development was awarded $4.7 million from 2022 General Obligation Bonds for the construction of 47 affordable homes. The property is being developed by Austin Habitat for Humanity.
47 units will be available for households earning at or below 80 percent MFI.
Ada Anderson Place
Ada Anderson Place is a townhome ownership community located in District 1 at 5712 ½ Jackie Robinson Street, Austin, TX 78721. The developer, Guadalupe Neighborhood Development Corporation (GNDC) was awarded $6.4 million in 2022 General Obligation Bonds for the construction of a total of 32 affordable homes. This development is located on land donated by the Austin Housing Finance Corporation, also approved at the April 9th board meeting. Plans are to develop two-, three- and four-bedroom homes.
8 units will be available for households earning at or below 60 percent MFI; and
24 units will be available for households earning at or below 80 percent MFI.
Johnny Limon Village
Johnny Limon Village is an ownership community located in District 3 at 800 Gardner Road, Austin TX 78721. This development was approved for an additional $2.14 million from 2022 General Obligation funds (totaling $5,218,900 for the entire project) for the development of a 27-unit community, proposed to consist of 12 duplexes and 3 single family homes. The homes will be developed and sold by GNDC. Construction is expected to be completed in the Spring 2027. The development is located on land donated by the Austin Housing Finance Corporation, which was approved at the December 12, 2024 board meeting.
7 units will be available for households earning at or below 60 percent MFI; and
20 units will be available for households earning at or below 80 percent MFI.
806 Vargas
806 Vargas is an ownership development located in District 3 at 806 Vargas Road, Austin TX 78741. The developer, GNDC was awarded $150,000 from Project Connect funds. The funding will be used to construct 2 duplex style homes. The development is located on land acquired by GNDC through a loan from the Project Connect funded, Anti-Displacement Community Acquisition Program.
1 unit will be available for a household earning at or below 60 percent MFI; and
1 unit will be available for a household earning at or below 80 percent MFI.
3124 Father Joe Znotas
3124 Father Joe Znotas is a single-family home located in District 3 at 3124 Father Joe Znotas Street, Austin, TX 78702. The developer, GNDC was awarded $135,000 from HOME Community Housing Development Organization (CHDO) funds for the construction of a three-bedroom home.
1 unit will be available for sale to a household earning at or below 80 percent MFI
Additionally, an upcoming AHFC Board meeting will also consider a RHDA award for approximately $1.02 million.
La Vista De Lopez
La Vista De Lopez is a multifamily rental development currently under construction in District 1 at 809 East 9th Street, Austin, TX 78741. The development will be considered for an award totaling $1.02 million from Homestead Preservation District Tax Increment Reinvestment Zone (HPD TIRZ) funds. This award will supplement a previous RHDA award, with a total loan amount of up to $6.23 million. The developer is GNDC.
12 units will be available for households at or below 30 percent MFI;
25 units will be available for households at or below 40 percent MFI; and
23 units will be available for households at or below 50 percent MFI.
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About Austin Housing
Austin Housing creates and preserves housing opportunities to stabilize communities. To access affordable housing and community resources that help you, visit www.austintexas.gov/housing.
About the Austin Housing Finance Corporation
The Austin Housing Finance Corporation (AHFC) was created as a public, non-profit corporation and instrumentality of the City of Austin. The mission of the AHFC is to generate and implement strategic housing solutions for the benefit of low- and moderate-income residents of the City of Austin.
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