DENVER – Today, Governor Polis and the Business Funding & Incentives division of the Colorado Office of Economic Development and International Trade (OEDIT) announced three new recipients of the Innovative Housing Incentive Program (IHIP) grant. This grant continues the Governor’s plans to help create a house for every Colorado budget and invests in companies working to develop more housing in Colorado. This third round of IHIP grant funding will directly incentivize the creation of 606 attainable housing units across Colorado.
“We need more housing now and our administration is stepping up to provide this third round of grants to help create 600 new housing units in Colorado starting at $300,000,” said Governor Jared Polis. “This new housing will help support Colorado’s workforce, economy and ensure our state remains a place where people can live where they want to live — close to their jobs, schools, the places they love or where they grew up.”
With this latest round of grants, the Polis Administration has awarded nine IHIP grants directly incentivizing the creation of 2,000 attainable housing units across Colorado and contributing to the recipients’ work to create more than 7,500 units over the next three years.
“We are excited to see how rapidly IHIP is expanding the development of innovative housing across the state,” says Eve Lieberman, Executive Director of OEDIT. “These latest grant recipients show our commitment to addressing our housing shortage using traditional and innovative economic development tools to create new jobs and housing units.”
The grants announced today, which range from $680,000 to $1,300,000 in performance-based funding, include two funding mechanisms: a reimbursement for 20% of eligible operating expenses and per-unit incentives up to $6,000 for every unit built and installed in Colorado.
The recipients are Colorado-based panelized manufacturers. Wall sections, floor and roof systems are built in a climate-controlled factory and transported to the job site where they are joined together for final installation:
Timber Age Systems - Durango, Colorado - Manufactures panelized homes using timber harvested responsibly from wildfire-prone forests in the Durango area. The timber is milled and manufactured into cross-laminated timber panels at the company's facility in Ignacio, and the homes are built to Passive House specifications using all natural materials. Timber Age estimates that a 1,000 square-foot entry level home could start as low as $300,000 depending on the geographic market. The company has been awarded up to $680,000 for the construction of 66 housing units.
Phoenix Haus - Grand Junction, Colorado - Produces panelized homes built to Passive House specifications. The company’s custom-built homes are designed to be used by multiple-generation households. Phoenix Haus came to Colorado in 2017 as one of the first Rural Jump-Start companies, and has since grown out of its original facility, which led the company to purchase a larger facility in Grand Junction. A new home from Phoenix Haus is projected to start around $500,000. The company has been awarded up to $710,000 for the construction of 90 housing units.
Huron Components - Littleton, Colorado - Builds panelized framing and floors for multi-family rental housing projects on the Front Range. Huron’s panels are minimally finished which allows for a significant number of homes to be constructed in their factory space. The savings and efficiencies also make the company a good partner for affordable housing developers and the company estimates 12% of its units are deed-restricted. They built over 1,100 homes in 2022 and expect more this year as they expand their product line. Huron Components was awarded up to $1.3 million for the construction of 450 housing units of the 3,000+ units Huron will produce over the next three years.
“Colorado is the best state to work and live, and in order to keep it that way there must be housing options that work for every budget,” said Senator Kyle Mullica. “The Innovative Housing Incentive Program is a critical part of Colorado’s broader efforts to address the housing shortage and bring housing affordability to communities across Colorado.”
“Every Coloradan should be able to live where they work. The Innovative Housing Incentive Program is a key part of making that principle a reality,” said Senator Jeff Bridges. “The grants announced today will help to lift up companies working to drive down housing costs through new ways of building homes. That’s good for our economy and it’s good for Coloradans looking for an affordable place to live.”
Learn more at https://oedit.colorado.gov/innovative-housing-incentive-program.
About Colorado Office of Economic Development and International Trade
The Colorado Office of Economic Development and International Trade (OEDIT) works with partners to create a positive business climate that encourages dynamic economic development and sustainable job growth. Under the leadership of Governor Jared Polis, we strive to advance the State’s economy through financial and technical assistance that fosters local and regional economic development activities throughout Colorado. OEDIT offers a host of programs and services tailored to support business development at every level including business retention services, business relocation services, and business funding and incentives. Our office includes the Global Business Development division; Colorado Tourism Office; Colorado Outdoor Recreation Industry Office; Colorado Creative Industries; Business Financing & Incentives division; the Colorado Small Business Development Network; Cannabis Business Office; Colorado Office of Film, TV & Media; the Minority Business Office; Employee Ownership Office; and Rural Opportunity Office. Learn more at oedit.colorado.gov
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