WKY Communities Receive $223M for Disaster Recovery
Funds will construct 953 new rental units for counties hit by 2021 tornadoes
FRANKFORT, Kentucky — Kentucky Housing Corporation (KHC) joined Governor Andy Beshear and the Department of Local Government (DLG) today to announce a $223 million award to fund 953 new rental units in 11 developments in Christian, Graves, Hopkins and Warren counties. The projects will aid disaster recovery, support economic development, and help close the housing gap in each county.
“This is an unprecedented effort,” said Winston Miller, KHC’s executive director and chief executive officer. “KHC is thrilled to partner with DLG for this historic funding announcement that supports disaster recovery and job growth, increases affordable housing in Western Kentucky, and addresses the housing shortage in the region.”
The four Western Kentucky counties were all impacted by the 2021 tornadoes and lost a significant percentage of their rental stock. That shortage contributed to the housing gap in their area.
Funding
KHC and DLG each issued Notices of Funds Available (NOFA) for multifamily Western Kentucky Disaster Recovery in late 2023 with responses due in March 2024. KHC and DLG received more applications than expected seeking more funding than available. Recognizing an opportunity to create nearly 1,000 new rental units in Western Kentucky, the two agencies partnered to bring additional funds to the table. In the end, together, they awarded more than $223 million from the following sources:
- $134,601,971 in Tax-Exempt Bonds
- $12,349,958 in projected Tax Credit Equity
- $6,000,000 in HOME Investment Partnership Program (HOME)
- $1,000,000 in Kentucky Affordable Housing Trust Fund (AHTF)
- $5,000,000 in National Housing Trust Fund (NHTF)
- $4,500,000 in Kentucky Rural Housing Trust Fund (RHTF)
- $59,728,064 in Community Development Block Grant Disaster Recovery (CDBG-DR)
Housing Supply Gap Analysis
Earlier this year, KHC released the Kentucky Housing Supply Gap Analysis, which showed an overall housing supply shortage of 206,207 units, 101,569 of which were rental units. These 11 projects will fill 12 percent of that gap.
| County | City | # Projects | # Units | Current Gap in Rental Housing Supply | New Units as a % of the Gap | |
| Christian | Hopkinsville | 1 | 76 | 2,254 | 3% | |
| Graves | Mayfield | 2 | 122 | 570 | 21% | |
| Hopkins | Dawson Springs Madisonville | 3 | 120 | 669 | 18% | |
| Warren | Bowling Green | 5 | 635 | 4,388 | 14% | |
| TOTAL | 11 | 953 | 7,881 | 12% |
Funded Projects
The 11 projects funded through the NOFA are listed below. Collectively, they will receive more than $223 million to build 953 units for moderate- to low-income families in Christian, Graves, Hopkins and Warren counties.
| Projects and Developers WKY Disaster Recovery Multifamily New Construction Funding Awards | ||
| Units | Project Name | Developer |
| 76 | Smiley Terrace Approx 1295 Glass Avenue Hopkinsville, KY 42240 | Wabuck Development Company Inc |
| 120 | Garrison Gardens 1221 Crewdson Drive Bowling Green, KY 42101 | |
| 56 | Tracey Terrace 1525 Cuba Road Mayfield, KY 42066 | |
| 8 | Lifeworks Annex 1176 Adams Street Bowling Green, KY 42101 | |
| 40 | Canon Court Approx 13500 Nortonville Road Dawson Springs, KY 42408 | |
| 32 | Harper Village Apartments Approx 445 Browning Street Madisonville, KY 42431 | |
| 48 | Marketplace Commons NE corner of HWY 62 & KY Rte 109 Dawson Springs, KY 42408 | SOCAYR INC & Bywater Development Group LLC |
| 180 | Emery Flats 1200 Morgantown Road Bowling Green, KY 42101 | |
| 66 | Commonwealth Court 975 S Commonwealth Drive Mayfield, KY 42066 | |
256 | Echo Trail Apartments Parcel #027A-01-012 (no assignment yet) Bowling Green, KY 42101 | LDG Multifamily LLC |
| 71 | Campbell View Apartments 110 Campbell Lane Bowling Green, KY 42101 | AU Associates Inc |
For a complete breakdown of the funding by project, click the button below.
Kentucky Housing Corporation, the state housing finance agency, was created by the 1972 General Assembly to provide affordable housing opportunities. As a self-supporting, public corporation, Kentucky Housing offers down payment assistance loans to assist first-time homebuyers obtain home mortgages, housing production financing, homeownership education/counseling, rental assistance, housing rehabilitation, and supportive housing programs for special needs populations.
