Cohen-Esrey Calls for Bipartisan Action on Affordable Housing in 120th Congress

Highlights

• Cohen-Esrey Development Group is urging Congress to maintain housing affordability as a bipartisan priority.

• The developer outlined three policy priorities to expand affordable housing supply and preserve existing homes.

• Recommendations include advancing Affordable Housing Credit Improvement Act provisions and increasing Housing Credit funding.

• The group also called for expanding investor participation in the Low-Income Housing Tax Credit (LIHTC) programme.

Developer Outlines Housing Policy Priorities

Cohen-Esrey Development Group has identified several federal policy priorities for the 120th Congress, focusing on housing affordability, development financing and the preservation of existing affordable housing.

Following the recent U.S. election, the developer is urging lawmakers to pursue bipartisan measures that support housing production and help address financing challenges facing affordable housing projects.

One priority is advancing the remaining provisions of the Affordable Housing Credit Improvement Act. The proposed measures are intended to strengthen the Housing Credit programme and increase financing opportunities for affordable homes.

Tax Credit Funding and Investment Capacity

Cohen-Esrey is also calling for additional Housing Credits or alternative funding to address financing gaps associated with elevated borrowing costs. Higher financing expenses can affect project feasibility and make it more difficult for developers to move planned affordable housing developments into construction.

Another recommendation focuses on expanding the investor base for the Low-Income Housing Tax Credit programme and increasing the capacity of existing investors to use Housing Credits. The objective is to attract more private capital for new affordable housing developments and the preservation of existing housing stock.

The LIHTC programme is a federal tax incentive that encourages private investment in affordable rental housing through tax credits allocated to qualifying developments.

Financing Policies Could Affect Affordable Housing Development

Cohen-Esrey said the proposed policy changes could help developers address funding shortfalls and advance more projects from planning to construction. Additional financing capacity could also support the preservation of existing affordable housing and expand residential options for households seeking lower-cost homes.

Implications for Affordable Housing Developers

The priorities highlight the connection between federal tax-credit policy, private investment and affordable housing production. For developers, changes to Housing Credit availability and investor participation could influence project financing and development timelines. For communities, the availability of funding remains an important factor in adding and preserving affordable rental housing.

Source: Cohen-esrey.