DSHA Announces Preliminary Low-Income Housing Tax Credit Allocations

$3.18 million in funding to build and preserve affordable housing in Delaware

Dover, Del. - Sept. 9, 2025 - The Delaware State Housing Authority (DSHA) has announced its preliminary project awards for the 2025 low-income housing tax credit (LIHTC) allocation cycle.

Four development projects will receive allocations, bringing the creation of 105 affordable units and the preservation of 116 existing affordable units.

"Increasing housing supply, particularly by building new affordable rental units, is one of the many ways we can begin to solve the housing crisis in Delaware. Boosting supply also helps us reduce homelessness, a critical issue that DSHA is working to address," said DSHA Director Matthew J. Heckles. "Like Governor Matt Meyer, we believe housing is a human right. All Delaware residents deserve to have a safe, secure and stable home, whether they own or rent. The allocation of tax credits we are announcing today will make that a reality for over 200 families immediately and hundreds more over the life of the program."

The winning projects are:

• Village of Francis and Clare, Wilmington - The first high-rise DSHA is allocating LIHTC credits to, this will be a senior site bringing 51 units in a new construction project.
• Willows at Northstar, Lewes - An area of opportunity, this site is part of a larger master-planned development that incorporates affordability into market rate development. This project will bring 46 units in new construction.
• Georgetown Apartments I, Georgetown - This project preserves existing rental subsidy contracts and with Georgetown II Apartments soon to be renovated with LIHTCs, it is contributing to substantial improvements of a larger community. Georgetown Apartments I will preserve 76 units.
• Mispillion Station III, Milford - This preservation project of 40 units is part of a multi-phase improvement plan to the Mispillion community.

"In Delaware, we are more than 19,000 rental units short of what we need to house residents, especially those who need affordable housing," said Stephanie Griffin, DSHA's Chief Production Officer. "These four LIHTC awards will enable developers of these projects to leverage their investments to provide much needed affordable housing to state residents."

DSHA receives an annual tax credit amount and awards credits annually through a competitive process. Recipients were selected based on criteria outlined in DSHA's Qualified Allocation Plan, which include Area Median Income (AMI) rent restrictions, location, accessibility, development amenities, and more. The equity raised through the tax credit investment allows developers to attract the additional financing needed to create or preserve low-income rental housing.

Developers claim tax credits over 10 years, which allows them to balance the construction or rehabilitation costs incurred during the rental housing development. All buildings financed with the LIHTC must remain affordable and in compliance with other program policies for a minimum of 30 years.

The LIHTC was created in 1986 to encourage private/public investment to preserve and construct affordable rental housing nationwide. Alone and combined with tax-exempt private activity bonds, the LIHTC has been the most productive source of affordable housing financing in the nation's history.

DSHA has administered LIHTC since 1987, adding more than 10,000 affordable units to the state's housing inventory.

For more information about the LIHTC program, please visit Low Income Housing Tax Credit (LIHTC) - State of Delaware - Delaware State Housing Authority