ITC Archives

The Inflation Reduction Act (IRA) has significantly impacted the affordable housing landscape by providing generous tax credits and incentives for renewable energy projects. The IRA is transforming the affordable housing sector, bringing substantial financial and
environmental benefits.

The prospects are changing for combining solar energy production and affordable housing.

At the close of 2023, it’s a certainty that the Inflation Reduction Act (IRA) and Bipartisan Infrastructure Law (BIL) are catalyzing a huge uptick in clean energy projects across the United States.

There’s a brave new world of opportunities for “green” multifamily affordable housing renovation and development coming with the ever-quickening ascendancy of green buildings.

The Inflation Reduction Act of 2022 (IRA) provides a broad range of new incentives to install solar energy equipment, many of which are available to Low Income Housing Tax Credit (LIHTC) projects and some that are uniquely available for affordable housing.

Modular affordable housing projects—with their quick construction timelines and cost savings compared with traditional stick-build projects—are gaining in popularity, but the projects present unique challenges in terms of financing, development expertise and site selection.

Last month, I had the privilege of attending the Innovative Housing Showcase, which was co-hosted by the Department of Housing and Urban Development and the National Association of Home Builders.

With the Inflation Reduction Act (IRA) and Bipartisan Infrastructure Law (BIL), the business case for solar-for-multifamily affordable housing is the best it’s ever been.

At first glance, there is nothing out of the ordinary about the solar panels on the roofs of the ten buildings that make up the Echo Valley housing project in West Warwick, RI.

How Multifamily Affordable Housing Can Benefit from the IRA and BIL