KeyBank Community Development Lending and Investment (CDLI) is backing a major rural housing initiative in Miami, Arizona, with $35 million in total financing for the construction and rehabilitation of Miami Inspiration Housing. The investment includes a $13.9 million construction loan and $21.4 million in Low-Income Housing Tax Credit (LIHTC) equity. The Arizona Department of Housing also contributed $500,000 in soft debt to support the project, which marks the first affordable housing development in the Miami area since 2009.

Located roughly 80 miles east of Phoenix in the rural Copper Corridor, the project will offer 40 new affordable housing units through a mix of renovation and new construction. A long-vacant historical building will be rehabilitated to house 16 units, while a newly constructed structure will add 24 more. The units will serve families earning between 40% and 60% of the area median income (AMI).

“Miami Inspiration Housing will provide families a safe and vibrant place to call home,” the project developers stated. “This development will positively impact the community at large.”

The location is strategically positioned near employers such as Freeport McMoRan Mining, Capstone Mining, and the Globe and Miami Unified School Districts. It is also close to Gila Community College, Cecil Trucking, and the Cobre Valley Regional Medical Center. The site lies just two blocks from Highway 60, Miami’s main artery, offering convenient access to retail, healthcare, and recreation.

The development is being spearheaded by Chicanos Por La Causa (CPLC), a nonprofit with over 56 years of experience in community development. CPLC operates in Arizona and five other states, working to improve lives through housing, education, social services, and workforce development. Miami Inspiration Housing aligns with CPLC’s mission to bring diverse and inclusive housing to both rural and urban communities.

Gorman Property Management, a division of Gorman & Company, will oversee the property’s operations. Gorman currently manages more than 60 apartment communities totaling over 6,000 housing units.

KeyBank’s financing was structured by Zammy Arcos and Matthew Haas of CDLI. The bank is recognized as a national leader in affordable housing finance, offering a wide array of tools including construction and acquisition loans, lines of credit, and permanent mortgage execution services. Its LIHTC platform is one of the most robust in the country.

KeyBank’s track record includes 11 consecutive “Outstanding” ratings under the Community Reinvestment Act from the Office of the Comptroller of the Currency—the longest streak of any of the nation’s 25 largest banks since the law’s inception in 1977.

Headquartered in Cleveland, KeyCorp operates under the name KeyBank National Association and has assets of approximately $190 billion as of September 30, 2024. With nearly 1,000 branches and 1,200 ATMs in 15 states, Key offers a full suite of retail, commercial, and investment services.

Originally reported by Yield Pro.