Tax credits denied

DUNKIRK — Another round of tax credits has been awarded, but a local senior housing project was again left off the list.
Crown Crossing — a planned $5.9 million senior housing facility in downtown Dunkirk — was not one of the 18 projects awarded tax credits by Indiana Housing and Community Development as part of the Internal Revenue Service Section 42 Rental Housing Tax Credit program. Lt. Gov. Sue Ellspermann announced the list of selected projects Thursday.
Buckeye Community Hope Foundation, a Columbus, Ohio, firm that is working to develop the housing project in partnership with the City of Dunkirk, was seeking nearly $600,000 in tax credits.
“Of course I was hopeful for Dunkirk to be able to have new senior housing there,” said Ami Huffman, director of community development for Jay County Development Corporation. “I’ve had several residents that have approached me that are ready to move in as soon as we get it ready.”
Dunkirk Mayor Gene Ritter could not be reached for comment.
Huffman noted that both Buckeye and the city plan on continuing to pursue the project, which would include 28 units in a facility on the west side of Main Street between Center Street and the railroad tracks. It would also include a courtyard, kitchen, social hall, library, laundry room, computer room and administrative office space.
“I really like the site,” said Ian Maute, Buckeye’s vice president of development. “I like the community. I feel strongly about addressing the need for senior housing in the area.”
As it was in previous years, Crown Crossing will be part of the city’s Stellar Communities application. A letter of intent to apply for the Stellar designation will be turned in next week.
Dunkirk was a finalist last year for Stellar in the category for communities with a population of 6,000 or fewer, but finished as the runner-up to North Liberty.
Ellsperman announced more than $14.3 million in tax credits Thursday. The 18 projects selected to receive the assistance came from a pool of 50 applicants.
The largest tax credit awarded to a single project was for Florence Fay School Senior Apartments, a $13.3-million senior housing facility in Indianapolis. It also received $500,000 in development funds.
Three others received $1 million or more in tax credits.
And $855,083 in tax credits went to Salem Place Apartments, a 64-unit family housing project in Daleville estimated at a total cost of $8.4 million.
"Rental Housing Tax Credits are one of the most important tools we have to encourage the production of affordable housing," said Ellspermann, who chairs the IHCDA, in a press release. "The 18 new projects will contribute greatly to the overall development and stabilization efforts of these communities."
Buckeye was also passed over last year when it sought $501,360 in tax credits and $400,000 in development funds from IHCDA during the same round of funding.
Huffman said all parties had worked in an effort to improve the application this year, but that it ended up with a lower score. Crown Crossing had earned 147 points in the IHCDA’s scoring system last year, and got 136.5 this time around.
The lowest score for an “elderly” housing project that received tax credits this year was a 146.75.
“It was rough because we made adjustments that we thought would help us score higher,” said Huffman, noting the elimination of the historic façade, which was driving up the cost of the project. “(Scoring lower) was disappointing.”
Also rejected in this round of funding was $661,268 in tax credits for 2nd Street Lofts, a 41-unit family housing project in Decatur.
Jay County Council has approved a $150,000 economic development income tax (EDIT) loan for the Crown Crossing project. Dunkirk has pledged $110,000.