Pima County, (May 8, 2025) - The Pima County Board of Supervisors at its May 6 meeting voted 4-1 to approve a gap funding agreement of $1 million for 84 rental units of multi-family housing in Tucson.
The Rincon Manor project, located near 12th Avenue and Valencia Road, will offer 63 one-bedroom/one-bath units and 21 two-bedroom/two-bath units. These rental homes will serve families at or below 60% of the area median income under the Low-Income Housing Tax Credit Program. The units will remain affordable for a minimum of 30 years.
Pima County’s gap funding provides a flexible funding option needed to demonstrate local financial support, which can be vital for Low Income Housing Tax Credits applications, said Sofia Blue, CWD’s affordable housing division manager. Developers can leverage this funding when going out to lenders and investors.
“With construction prices climbing, gap funds can be the difference between getting projects off the ground and over the finish line,” Blue said.
“We have heard from many developers, both non-profit and for-profit, that our general fund monies are one of the most innovative approaches to funding they’ve seen, enabling them to bypass federal reporting requirements that can be burdensome and more competitive to apply for. We are seeing developments go up and the return we get for the $5 million investment annually can be seen throughout our community. I think this demonstrates the effectiveness local funding can have on increasing the supply of affordable housing in Pima County.”
This is the third batch of approved gap funding based on recommendations from the Pima County Regional Affordable Housing Commission, which was established in October 2022 under the County’s Community & Workforce Development Department (CWD).
The Board has allocated a minimum of $5 million from the general fund in each of the past three fiscal years toward increasing affordable housing in Pima County. The Regional Affordable Housing Commission previously recommended to the Board of Supervisors for approved investments of nearly $11 million in gap funding for 19 projects, providing 1,332 affordable housing units to be preserved or developed.
A list of all the projects is available at pima.gov.