Seven developers – all non-profit, minority or women–owned businesses – will be building new affordable housing units in eastern New Orleans. As part of the Orleans Housing Investment Program (OHIP), the City of New Orleans is partnering with the New Orleans Redevelopment Authority on the program. Eligible families must earn no more than 80 percent of Area Median Income (AMI).
This is OHIP’s fourth foray into new construction. Previous projects include 10 homes recently completed in the Lower Ninth ward; 25 homes built in Gentilly Woods, Hoffman Triangle, 7th Ward Extended and Read Boulevard. Another 17 homes are currently under construction in Pontchartrain Park. This latest group of homes will meet the Environmental Protection Agency’s Star Version 3 standard for energy efficiency, the Insurance Institute for Business and Home Safety FORTIFIED Gold standard for wind resistance, and the 1,000 gallon NORA Residential Stormwater Management standard for new homes.
New Orleans Redevelopment Unlimited, Inc. (NORU) is investing $2 million to construct the homes. In addition to land, the program also provides $100,000 in secondary construction financing for each home through NORU, with a portion of the loan forgivable to the developer and subsidy made available for purchase by the homebuyer.
“We continue to explore and implement creative and innovative methods of providing affordable housing opportunities for our residents,” said Mayor Cantrell. “Initiatives such as this encourage residents to purchase and own their own homes, which ultimately creates long-term generational wealth for families and an enhance quality of life within these communities.”
Developers who have been awarded contracts to build the 20 homes under this project include Home by Hand, Neighborhood Restoration of Baton Rouge, St. Bernard Project, Lucas Construction Corporation, Level Ground Development, GCE Services and VPG Holdings.
“We are so excited to get to work with our development partners to bring 20 new affordable, sustainable, and resilient homeownership opportunities to families in New Orleans East,” said Brenda Breaux, NORA Executive Director.
