Housing Trust Group (HTG), one of the nation’s largest developers of affordable housing, has secured financing and commenced development on Inn Town Lofts, a $33.7 million affordable housing community with 56 units in Lubbock, Texas. Serving as the company’s first affordable housing development in Texas, HTG will rehab one of the city’s historic yet underutilized properties, the Jim Kimmell Center, as well as develop an additional two-story building for housing. Construction is expected to begin this month, with leasing to begin in the Summer of 2025.
Apartments at Inn Town Lofts will be reserved for income-qualifying residents who earn at or below 30, 50, 60, and 80 percent of the area median income (AMI). Monthly rents will range from $452 to $1,789, a fraction of the median rent in Lubbock which stands at $1,375 (Redfin).
“As Lubbock sees an increasing need for affordable housing, Inn Town Lofts will provide relief to working families throughout the community while preserving one of the city’s most important landmarks,” said Matthew Rieger, President and CEO of Housing Trust Group. “The revitalization of Lubbock’s Jim Kimmel Center will breathe life back into a valuable part of the city’s history while serving as a point of pride and stability for families in the area.”
Located at 1202 Main Street, Inn Town Lofts will feature 26 studio apartments, 10 one-bedroom units, 12 two-bedroom units, and 8 three-bedroom units. Spanning more than 65,000 square feet, residents will enjoy a wide range of amenities including a state-of-the-art fitness center, children's playground, community laundry room, business center with workstations, community theater area, and complimentary high-speed Wi-Fi.
As part of HTG’s continuous service to residents, residents will benefit from onsite services including annual income tax prep, weekly exercise classes, and health support services, among other benefits.
“With the state of Texas on a continued path for growth, so too does its need for affordable housing,” added Rieger. “Currently, there is a severe need for available rental homes that low-income households are seeking. Having recently identified a similar situation in Illinois and answering the call in the Chicago area, HTG looks forward to replicating that success throughout the Lone Star State.”
According to the National Low-Income Housing Coalition, more than 906,000 renter households earn less than 30% of the area median income, a stark contrast to the roughly 227,000 affordable units available. This trend continues at the micro level within Lubbock County. As more than 70 percent of the renter population earned less than $40,000 in 2022, the number of affordable housing units that same year stood at only 1,805, far below the area’s total number of 33,069 housing units (Novogradac).
Funding sources include $14.5 million in 9% Low-Income Housing Tax Credits (LIHTC) equity syndicated by NEF, a $12 million construction loan provided by JP Morgan Chase Bank, a permanent loan of $4.3 million from ERA2 Treasury Funds, $2.1 million in Federal Historic Credits, a $2.5M subordinate loan from AM Affordable Housing, $225,000 in a TIF Utility Reimbursement Grant, and $125,000 in a LEDA Grant.
The design and construction team for Inn Town Lofts includes historic consultant Rosin Preservation, Wallace Architects, general contractor Teinert Construction, engineer Hugo Reed, interior designer Frosolone, and landscape architecture by Parkhill.
