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Affordable Housing Dominance in Grand Rapids' Heartside: LIHTC's Three-Decade Impact
CATEGORY
Affordable Housing
DATA
LIHTC Projects
Median Income
Racial Distributions
Population
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Affordable Housing
LIHTC Projects
Median Income
Racial Distributions
Population
The Heartside neighborhood in Grand Rapids, Michigan, exhibits a significant presence of Low-Income Housing Tax Credit (LIHTC) funded affordable housing. The neighborhood contains 1,120 units in LIHTC-funded projects, with 948 designated as low-income units. This represents approximately 79.7% of the neighborhood's estimated housing inventory, based on the 2022 population of 3,667 and an estimated 1,405 housing units. The high percentage indicates the crucial role of LIHTC projects in Heartside's housing landscape.
The LIHTC program has made substantial investments in Heartside, with project tax credits totaling $12,077,941. This equates to an average federal funding of about $10,784 per unit across all LIHTC-funded projects in the neighborhood. The longevity of affordable housing in Heartside is notable, spanning nearly three decades. The first LIHTC project, Dwelling Place Inn, was completed in 1989, while the most recent projects, including 20 Fulton Street East Apartments and 20 Fulton Street East II Apartments, were finished in 2017.
The 2010s saw the highest number of LIHTC project completions in Heartside. Notable projects from this period include Serrano Lofts and Division Park Avenue Apartments, both completed in 2011, as well as multiple projects finished in 2013, such as Herkimer Apartments-Division Avenue and 205 South Division Avenue Apartments. The LIHTC-funded housing stock in Heartside offers a diverse range of unit types, comprising 329 efficiencies, 352 one-bedroom units, 190 two-bedroom units, and 14 three-bedroom units out of the total 1,120 units. This distribution suggests a focus on accommodating smaller households and individuals.
One project of particular interest is the Herkimer Apartments-Division Avenue, completed in 2013, which targets the developmentally disabled population. This specialized housing addresses the unique needs of a vulnerable group within the community.
Heartside has experienced significant demographic changes alongside its LIHTC developments over the past decade. The neighborhood's population increased from 2,819 in 2013 to 3,667 in 2022, a growth of approximately 30%. Median income also rose substantially, from $16,105 in 2013 to $33,422 in 2022, indicating improving economic conditions for residents.
Racial demographics in Heartside have shifted as well. The white population percentage increased from 58% in 2013 to 61% in 2022, while the Black population decreased from 25% to 17%. The Hispanic population has remained relatively stable, fluctuating between 11% and 17% during this period. These changes suggest a dynamic and evolving neighborhood composition.
The Heartside neighborhood in Grand Rapids demonstrates a robust LIHTC-funded affordable housing presence, with projects spanning nearly three decades and covering a significant portion of the estimated housing inventory. The diversity of unit types and the inclusion of specialized housing for developmentally disabled individuals reflect efforts to meet varied community needs. Alongside these housing developments, the neighborhood has experienced population growth, increased median income, and shifts in racial demographics. These trends collectively indicate a neighborhood undergoing significant changes while maintaining a strong commitment to affordable housing through the LIHTC program.
