Ankeny affordable apartment building awarded federal housing tax credits

Kim Norvell | The Des Moines Register

An Indianapolis developer was awarded federal housing tax credits to bring an affordable apartment building to Ankeny.

TWG Development, the firm that renovated the former Register & Tribune building into apartments, plans a 3-story, 54-unit apartment complex at 7750 Southeast 19th Lane in Ankeny. Ninety percent of the apartments will be restricted to low-income renters.

The Iowa Finance Authority recently awarded the project $8.2 million in federal housing tax credits to be distributed over 10 years. The entire project will cost about $10.2 million, said Sam Rogers, development director for TWG Development.

The 66,000-square-foot building will have a mix of 1-bedroom, 2-bedroom and 3-bedroom apartments. Rents will range from a minimum of $450 for a 1 bedroom and a minimum of $625 for a 3 bedroom, Rogers said. Rent will be more for the six market rate units.

The affordable units are restricted for tenants making 30 percent, 40 percent and 60 percent of the area median income. That's a maximum annual salary of $34,560 for a single person, and $49,320 for a family of four, according to the United States Department of Housing and Urban Development.

Amenities include a library, playground, community room and in-unit laundry.

TWG Development, which has another affordable apartment complex under construction near Southridge Mall, saw a need in Ankeny for low-income housing, Rogers said.

Ankeny issued permits for 365 new apartment units last year, but only about 10 percent are considered affordable, according to city data. A majority of the 1-bedroom and 2-bedroom units at The Villas at Meadow Springs, 710 S. Ankeny Blvd., are for low-income seniors ages 55 and up.

"We find in these very nice suburbs that there's a great need for those people who can't afford the market rents but need to live in the area for work or for school," Rogers said.

Construction on the building is expected next spring, and will be open to renters in spring 2020.