The Iowa Finance Authority (IFA) Board of Directors on Wednesday awarded more than $9.5 million in federal housing tax credits to support the construction and rehabilitation of 331 affordable rental homes across Iowa.
The tax credits were awarded to 10 housing developments located in Cerro Gordo, Jasper, Johnson, Polk, Pottawattamie, Scott, Sioux and Webster counties.
Among the recipients are SJB Development, LLC and The Housing Fellowship, which were awarded $1.3 million in tax credits for the construction of The Iris, a 44-unit development geared toward residents age 55 and older. The project is part of the transformation of the former ACT campus in Iowa City and will be located at 60 ACT Place.
“Housing is a critical pillar in fostering strong, thriving communities across the state of Iowa,” said Iowa Finance Authority Director Debi Durham. “Congratulations to all nine communities receiving tax credits today, with a special recognition to the four designated as Iowa Thriving Communities — Des Moines, Fort Dodge, Mason City and Newton — for their outstanding efforts in leveraging innovative practices to attract housing opportunities for their workforce.”
The awards are part of the Federal Housing Tax Credit program, under which the Internal Revenue Service allocates annual per capita tax credits to each state. IFA is responsible for distributing the credits in Iowa, where developers use the credits to attract private investment and generate equity for affordable housing developments.
IFA received 23 applications requesting more than $27 million in tax credits for the 2025 round. With roughly $9.8 million available, the final awards represent a nearly $95 million investment over 10 years, as credits are issued annually during that period.
In addition to the federal tax credits, awarded projects will receive $2.5 million in HOME program funding and $1.5 million from the National Housing Trust Fund.
A complete list of recipients can be found here.
