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City says state awarded two housing grants tied to 231 Merrimack Street and trust fund

5968608 · May 14, 2025
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Summary

Manchester received two state grants: a Housing Infrastructure Municipal Grant award tied to 231 Merrimack Street and a Housing Production Municipal Grant deposit to the city's affordable housing trust. City staff said both awards await Executive Council contract approval before funds are released.

Manchester officials reported at the May 14 Manchester Housing Commission meeting that the city received two state awards intended to support local affordable-housing work and the city's trust fund. The New Hampshire Department of Business and Economic Affairs notified the city of a Housing Infrastructure Municipal Grant (HIMG) award tied to a project at 231 Merrimack Street and a separate Housing Production Municipal Grant allocation that was deposited into the city's affordable housing trust.

City staff said the HIMG award is recorded as $116,753 and carries state project identifier SIP-611325; staff noted the figure is sometimes rounded in public discussion. According to the commission discussion, the 231 Merrimack project is described by staff as an affordable-housing program that will expand from an initial 16 "beds/units" up to 30 after fire- and safety-related work is completed. The HIMG contract must be approved by the New Hampshire Executive Council before funds are disbursed, and staff expect that approval to be the next step before construction or drawdowns begin.

Commission members also reported that $205,500 from the state's Housing Production Municipal Grant program was placed into Manchester's affordable housing trust fund. The commission discussion identified the trust fund as already holding a substantial balance.

Separately during the meeting staff described additional development activity and city support under consideration: a proposed Pearl Street project with conditional planning-board approval for 125 apartments and 12 townhouses; a Hartnell Lot project in negotiation; and the Victory Garage redevelopment in later phases. The mayor's proposed budget was described as including approximately $1 million in HOME funds toward future affordable apartments tied to one of those sites.

Commissioners and members of the public discussed timing and how long state funding cycles take. Staff told the commission that New Hampshire Housing and other state funding sources typically operate on timelines of about two years from application to funding in many programs, and that Executive Council contract approval is required before the city will receive the HIMG award.

The commission recorded administrative items and closed the meeting without taking formal votes on these specific projects.

Ending: Commissioners said they will monitor Executive Council approvals and report back to the commission when contracts are executed and funding is available.