Austin HFC adopts six consent items including loans for 101 affordable units and HOME-funded rental assistance

The Austin Housing Finance Corporation board of directors unanimously adopted six consent items during a May 8, 2025 meeting at City Hall that included two development loans totaling $10,000,000 to create 101 affordable housing units and authorization to negotiate a roughly $1,200,000 HOME-funded tenant-based rental assistance agreement.

Mandy DeMeo, treasurer of the Austin Housing Finance Corporation and a Housing Department staff member, presented the consent agenda and said, “I offer them all on consent.” The items approved were: (1) approval of minutes from the March 6 AHFC meeting; (2) authorization to negotiate and execute a $5,500,000 loan with Foundation Communities to develop 56 units at The Bloom at Lamar Square in District 9, with units targeting 30%–60% of median family income (MFI); (3) authorization to negotiate and execute a $4,500,000 loan with the Mary Lee Foundation to develop 45 units in District 9, all at 30% or below MFI; (4) acceptance of the acquisition of about 0.16 acres from Watershed Protection at 2801 Castro Street in District 3; (5) conveyance of that lot to Guadalupe Neighborhood Development Corporation to develop at least two affordable housing units for low-income households; and (6) authorization to negotiate and execute a grant agreement with the Housing Authority of the City of Austin (HACA) for a longstanding HOME-funded tenant-based rental assistance (TBRA) program anticipated to serve approximately 65 households in the coming fiscal year for about $1,200,000.

Why it matters: the two loans will fund new affordable rental housing in District 9 totaling 101 units targeted at lower-income brackets, while the HACA TBRA funding supports short-term rental assistance for an estimated 65 households. The land acceptance and conveyance in District 3 will transfer a city-owned vacant lot for at least two affordable units through a local nonprofit developer.

Discussion and public comment: Councilman Ryan Alter asked whether the funds for the loans were tied to the Statesman PUD fee-in-lieu receipts; DeMeo replied that “these dollars are not, as a result of the statesman pud” and that the PUD-triggered fee-in-lieu has not yet occurred, adding that the current dollars are believed to be general obligation bonds and that Statesman PUD receipts are anticipated in the future. A single public speaker, identified as Carla Courtney, spoke on item 6; the transcript records only her name and that she spoke on item 6 without providing the text of her remarks.

Action and vote: Vice President Fuentes moved adoption of the consent agenda; it was seconded by Board Member Vela. The presiding officer noted there were no requests to abstain or recuse and, “Without objection, the Austin Housing Finance Corporation consent agenda is adopted unanimously.” No individual roll-call vote totals were provided in the transcript.

Next steps and implementation notes: the two development loans were authorized for negotiation and execution, which indicates staff will proceed with final contract terms and closings; the HACA grant authorization directs staff to negotiate and execute a HOME-funded TBRA agreement expected to fund roughly 65 households in the next fiscal year. The 0.16-acre site at 2801 Castro Street will be accepted by AHFC from Watershed Protection and conveyed to Guadalupe Neighborhood Development Corporation for development of at least two affordable units.

The meeting adjourned at 10:34 a.m.