City of Bloomington Awarded $27 Million in Housing Revenue Bonds
Funds will help support 165 additional affordable housing units
The City of Bloomington was awarded an allocation of $27 million in Housing Revenue Bonds today to support the development of 165 additional affordable housing units at 1950 East 86th Street in the South Loop district. The funds will assist affordable housing developer Aeon in constructing the new infill development on the site of the recently acquired Village Club Apartments.
Aeon partnered with the City of Bloomington to preserve 306 units of naturally occurring affordable housing at Village Club Apartments. The City’s support of the new infill development will further assist in stabilizing the project.
“The City of Bloomington’s commitment to affordable housing is evidenced yet again, first with its dedication of $15.2 million to establish the Affordable Housing Trust Fund, which provided $7 million for Aeon to acquire and rehab Village Club, and now with this support of $27 million in Housing Revenue Bonds for Aeon to develop new affordable housing on site,” Community Development Director Dr. Eric Anthony Johnson said. “The City Council members deserve thanks for their willingness to make this commitment and to have acted so quickly to assist Aeon in acquiring this property and securing the necessary funding to keep the rents affordable.”
“We very much appreciate the City’s ability to keep pace with the private market, to help us preserve affordable homes for people, and for committing its resources to gain bonds to create new homes for families in our community,” stated Alan Arthur, President and CEO of Aeon.
“We’re thrilled to work with Aeon and preserve the much-needed affordable housing at the Village Club Apartments. This partnership with Aeon is an inspiring example of the great work that takes place when we align with our nonprofit community,” said Bloomington Mayor Tim Busse.
Both the existing and new units offer 40% of the units with rents affordable to tenants with incomes no higher than 50% of area median income and 60% of the units with rents affordable to tenants with incomes no higher than 80% of area median income.
“Located within walking distance to Mall of America light rail transit station and in close proximity to jobs in the retail, restaurant, hospitality and health industries, this affordable workforce housing will help meet the needs of Bloomington,” stated Dr. Eric Anthony Johnson.