The untold story: economic impact of affordable housing development
Increased Spending: When an individual or family can afford their rent, they have more discretionary income for more than just basic needs. Increasing the buying power of low-income households means more money goes towards local businesses, which, in turn, are more likely to hire more people, creating a steadier income flow for individuals in the community. Our current residents spend approximately $69 million per year.
Increased Hiring: In 2015 alone, the National Low Income Housing Coalition found over half a million jobs were created due to investments in lower-income housing, either directly or indirectly. For GAHP’s 476 current units, the estimated number of jobs supported by construction, operations, and resident spending is 413 jobs.
Increased Taxes and other revenue for local governments: An increase in spending leads to higher amounts of taxable goods, providing the community with more access to services. It has been reported that building one hundred affordable rental homes generates $2.2 million in sales and other taxes, as well as additional local government revenue from tolls, city fees, etc. (“A Place to Call Home,” National Low Income Housing Coalition 2015). GAHP’s current impact on tax revenue exceeds $5.4 million.
Revitalized Neighborhoods – affordable housing initiatives can inject new life and energy into an area: they can lead to more green space, a stabilization of housing values, and spur other economic investments in a neighborhood. New housing built with the latest innovation and design features, along with investments in street lighting, landscaping, and new sidewalks, can enhance the character of the entire community.