Just over $37.4 million in workforce housing tax credits have been awarded to 62 proposed housing projects in Iowa, the Iowa Economic Development Authority announced today.

The housing projects are expected to create 2,036 housing units.

Among the projects awarded tax credits is the Commons at Highland Park, a four-story, mixed-use project planned at Sixth and Euclid avenues in Des Moines. Sonar Development Partners was selected by Invest DSM, a nonprofit group that owns the site, to develop, own and manage the project.

Two Hubbell Realty Co. multifamily projects also were awarded tax credits: the fourth phase of Linc at Gray’s Station in Des Moines, and Callaway, a project in Norwalk.

Linc IV will include 135 one- and two-bedroom apartments with private patios. Other phases of Linc, located south of Martin Luther King Jr. Parkway and west of Southwest 11th Street, include two apartment buildings and townhomes. Construction of Linc IV is expected to begin by early 2025.

Callaway will include 58 rental townhomes at Holland Pointe, a master-planned community in northeast Norwalk along Beardsley Street. Amenities in the townhome community will include a clubhouse, a swimming pool, walking trails and a dog park. Hubbell plans to begin construction by the end of 2024.

“We’re encouraged to see these two projects be awarded credits that will make these homes more accessible to those searching for rental units in these locations,” Matt Weller, vice president of development at Hubbell, said in a news release. “As developers, we continue to look for ways to create housing that meets Iowans where they are – whether that’s professionally or personally.”

Origin Homes, a division of Hubbell Realty, also received housing tax credits for projects in Knoxville, Jefferson and Conrad. Origin plans on building a total of 13 homes in the communities.

IEDA received 124 applications requesting $74 million in tax credits, according to a news release. The state agency had $35 million available to award in fiscal 2025 and $2 million remaining from fiscal 2024.

Project applications were scored competitively based on readiness, documented financing, community impact and developer experience.

Of the $37 million that was awarded, $20 million was provided to projects in small communities.

A recent 2024 WalletHub report listed Iowa first in the nation for most affordable housing, a ranking that the state has had for two straight years.

“We want to hold onto that ranking as we build for the future,” Debi Durham, director of IEDA and the Iowa Finance Authority, said in a news release. “These incentives are critical to helping more communities attract and retain quality businesses and a diverse workforce.”

Central Iowa projects, by county, that received workforce housing tax credit awards include:

Dallas County: Walnut Crossing Affordable Housing Development, a 48-unit project by Greater Des Moines Habitat for Humanity Inc. in Waukee ($741,000).

Polk County: Uptown Commons, an 8-unit project in Des Moines by Uptown Investor TJU LLC ($146,888 award); the Commons at Highland Park, a 78-unit project in Des Moines by Sonar Development Partners ($1 million); and Linc IV Apartments, a 135-unit project in Des Moines by Hubbell Realty Co. ($1 million award).

Story County: Trailside Nevada, a four-unit project by Diamond F Properties in Nevada ($105,000).

Warren County: Great Western Cottages, a 30-unit project in Cumming by Diligent Development ($830,250); Callaway Townhomes, a 58-unit project in Norwalk by Hubbell Realty Co. ($999,999); and Schoolyard Development, a 26-unit project in Indianola by Schoolyard Development LLC ($434,532).

To view the entire list of awards, click here.