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Newton staff outlines pipeline of affordable and senior housing projects, highlights tax-credit changes
Summary
City staff presented an annual housing report detailing completed and planned developments — including Mennonite Housing's Harvest Point, Fox Ridge, Hope Estates and downtown apartments — and summarized state-level changes to affordable-housing tax credits that could affect future projects.
City planning staff presented Newton’s annual housing report during the Aug. 26 meeting, summarizing recent completions, ongoing subdivisions and the status of several affordable and senior housing initiatives.
The report, presented by planning/housing staff (Zach), said Mennonite Housing’s Harvest Point phase 1 includes 16 duplexes (32 units) with a valuation “a little over $6,000,000.” Mennonite Housing Rehabilitation Services secured awards to support a proposed phase 2 that would add 28 senior housing units, staff said. Fox Ridge — described as the city’s largest active residential development — was reported to include a mix of housing types (19 single-family homes, 38 duplexes and 11 triplexes), with 32 certificates of occupancy issued so far.
Downtown housing and smaller projects: Staff said a downtown project at 129 West Sixth Street (next to Back Alley Pizza) will add eight apartment units, and those rentals are expected to range from about $1,000 to $1,200 per month. Other pipeline items include lot development near Sand Creek Station Golf Course, planned single-family lots and developer consideration of RHID (reinvestment housing improvement district) versus special-assessment financing.
Affordable-housing funding and policy: The presentation summarized recent action by the Kansas Housing Resources Corporation (KHRC) and state legislation. Notably, House Bill 2289 (signed April 24, 2025) revised the Kansas affordable housing tax credit program, changing award limits and laying out a phase-out schedule for 4% federal low-income housing tax credits after Nov. 15, 2025, with a full program sunset planned by 2028; KHRC has amended its 2025 qualified allocation plan accordingly, staff said. Staff also flagged 2025 funding availability through HOME, National Housing Trust Fund and state LIHTC programs.
Programs and tools: Newton’s Neighborhood Revitalization Program (NRP) and the rehabilitation rebate program (RRP) remain in place. The NRP can offer tax rebates for up to 10 years on increased property taxes for qualifying new construction or major improvements; the RRP provides rebates for exterior rehabilitation materials with priority for owner-occupied, senior, low-income, historic or main-arterial properties.
Why it matters: Staff said the projects target identified needs — particularly affordable senior housing — and that some LIHTC/LIHTEC-funded projects are not placed on the tax rolls for the abatement period, a trade-off officials weighed to address housing shortages. City staff and the planning commission also noted coordination with nonprofit partners, the Newton Land Bank and regional builder outreach to increase private-sector housing production.
Ending: Staff said more detailed materials and a housing analysis will be incorporated into the city’s forthcoming comprehensive plan process and will be shared with the planning commission and public as they develop.
