Montana Success Stories
Tax credits help convert hospital to housing
Where: Lewistown, Mont., pop. 6,000
Problem: Lewistown’s housing shortage was putting a damper on the community’s economic development.
Solution: With MAP’s help, Lewistown converted an abandoned building into affordable housing for 24 families.
To alleviate a housing shortage that was putting a damper on Lewistown’s economic development, the Lewistown (Mont.) Housing Advisory Committee envisioned a bold project to convert an abandoned, aging hospital annex into muchneeded affordable housing.
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The group opted for financing a lowincome housing project with tax credits.
The committee formed a nonprofit corporation – the Lewistown Community Development Corporation – that acts as the developer, applied for the tax credits, and hired a professional management firm.
Ouellette Place has eight units in the historic building and two new buildings of eight units each. The city donated the land and building.
LCDC applied for federal Low Income Tax Credits allocated to Montana from HUD, representing nearly $2.6 million over 10 years. To raise equity capital, LCDC sold the credits to investors, who became part owners of the project.
MAP was part of the project from the beginning, providing advice and technical assistance including conducting income surveys and a housing needs assessment, locating funding sources, choosing a contractor, monitoring construction and developing policies and procedures for the new housing.
For more information, contact:
Phone: 952-758-4334
Fax: 952-758-4336
E-mail: map@map-inc.org
MAP is a member of the RCAP network and an equal-opportunity lender, provider and employer.