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Zion, Illinois: LIHTC Program's Impact on Affordable Housing Amid Demographic Shifts
CATEGORY
Affordable Housing
DATA
LIHTC Projects
Median Income
Racial Distributions
Population
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Affordable Housing
LIHTC Projects
Median Income
Racial Distributions
Population
Zion, a city in Illinois, has a significant presence of affordable housing through the Low-Income Housing Tax Credit (LIHTC) program. The city's LIHTC-funded affordable housing inventory comprises 1,097 total units, with 801 designated as low-income units. Based on the 2022 population of 24,064 and an estimated 9,220 housing units, the LIHTC-funded affordable housing represents approximately 11.9% of the city's estimated housing inventory.
Zion has received $6,773,726 in project tax credits for affordable housing through the LIHTC program. With 8 approximate projects, this translates to an average of $846,716 in federal funding per project. The average federal funding per unit is $6,175, considering the total 1,097 units in LIHTC-funded projects. Zion holds 0.84% of the total state LIHTC funding, indicating a significant allocation for a city of its size.
The city's involvement with LIHTC-funded affordable housing spans nearly two decades, from 1993 to 2011. The earliest projects, Waterford Apts Phase I and II, were completed in 1993, while the most recent projects, Crane Meadows Apts and A Safe Place II, were finished in 2011. The 2000s saw the most activity, with six out of eight projects completed during this decade.
The LIHTC-funded housing stock in Zion offers a diverse range of unit types. The inventory includes 163 efficiencies, 585 one-bedroom units, 319 two-bedroom units, and 6 three-bedroom units, catering to various household sizes and needs.
Over the past decade, Zion's population has remained relatively stable, with a slight decline from 24,581 in 2016 to 24,064 in 2022. The median income has fluctuated, reaching a low of $55,502 in 2017 and a high of $65,656 in 2021, before settling at $59,234 in 2022. This economic volatility may indicate an ongoing need for affordable housing options.
The racial demographics of Zion have shifted significantly. The Hispanic population has grown from 28% in 2016 to 40% in 2022, while the Black population decreased from 30% to 21%, and the White population from 36% to 30% during the same period. This demographic shift could potentially influence future affordable housing needs and strategies.
Zion's LIHTC-funded affordable housing inventory plays a substantial role in the city's housing landscape, covering nearly 12% of the estimated housing stock. The city has leveraged significant federal funding for these projects, with an investment spanning almost two decades. The diverse unit types available cater to various household sizes, reflecting an attempt to meet different community needs. While no new LIHTC projects have been completed since 2011, the fluctuating median income and changing racial demographics suggest that the demand for affordable housing may continue to evolve, potentially warranting future affordable housing initiatives.
