Bringing Housing to the State’s Largest Population Center

True to its mission to provide Alaskans access to safe, quality, affordable housing, Alaska Housing Finance Corporation has been addressing the unique housing needs of the state’s largest population center for more than 50 years. AHFC’s vision has sparked significant investments to fill the gap in housing resources across Anchorage and shape healthy, sustainable communities.

Mission In Motion

A house is not just a building. It is a home; a space that shelters, protects and nurtures people. It supports their personal and professional development and offers a safe harbor that in turn can improve quality of life. It can also lead to better health, career opportunities, financial stability and security.

Throughout the past 20 years, Alaska Housing has invested more than $100 million, majority of which are federal funds, in an extensive inventory of housing development projects in Anchorage to specifically increase the housing supply chain for three critical populations: homeowners, renters and people vulnerable to homelessness. This encompasses a range of housing initiatives from new home construction to restoration and weatherization using a variety of funding tools, including tax credits, grants and loans that has resulted in serving thousands of Anchorage residents. AHFC’s work in this area is focused on:

• Building housing types in Anchorage that include not only single-family homes but also include multifamily units, duplexes and townhouses.
• Incentivizing housing with a combination of tax incentives, development grants, subsidies and loans to support private sector investments
• Administering weatherization services to preserve and improve existing homes
• Incentivizing sustainable building practices such as energy-efficient designs to save on longer term operations and maintenance expenditures

Expanding Opportunities - Alaska Corporation for Affordable Housing

A subsidiary of AHFC, Alaska Corporation for Affordable Housing was formed in 2011 to develop, manage and operate additional affordable housing. Its structure allows the organization to pursue development options outside AHFC’s purview while providing services to support the mission of AHFC. Anchorage was the first community where this model was tested. Thanks to a significant partnership with Cook Inlet Housing Authority:

• Loussac Place was completed in 2012 (Spenard)
  • 120 multi-family units, 75 for low-income households
• Susitna Square completed in 2015 (Russian Jack)
  • 18 low-income family units subsidized with project-based vouchers
• Ridgeline Terrace, community workforce housing completed in 2015 (Russian Jack)
  • 70 mixed-income units, 50 family / 20 senior
  • 63 units are subsidized with project-based vouchers

Alaska Corporation for Affordable Housing’s success in Anchorage has since buoyed other projects with housing targeted for families, people with physical disabilities and seniors now complete in Fairbanks and under development in Valdez.

AHFC Enhances Communities

The effects of AHFC’s housing initiatives on Anchorage residents have been profound and, in many cases, have transformed communities.

“Supporting, restoring and building community-responsive housing not only bolsters economic growth, it also contributes to strong, thriving communities,” says Bryan Butcher, CEO/Executive Director, AHFC.

“This in turn helps to attract a qualified workforce in service sectors such as education, law enforcement and health professions, as well as industry professionals critical to the state’s economy and our largest city.”

While labor, aging infrastructure and the cost of construction remain ongoing challenges throughout Alaska, AHFC’s long standing partnerships with both the private and nonprofit sectors in Anchorage enhance AHFC’s programs.

These collaborations often reveal new strategies to improve the likelihood of best meeting the state and city’s needs, improving equitable outcomes and sustainable success. AHFC’s housing programs put solutions into practice and include housing vouchers, grants for homeless and supportive housing and grants for housing construction and renovation.

Through local partnerships over the last 20 years, Alaska Housing has used federal and other funds to develop and restore hundreds of units of safe, quality, and affordable housing in Alaska’s largest city – including many units that test innovative technologies and incorporate energy efficient design. Some highlighted properties and partnerships include:

• Creekview Plaza – Cook Inlet Housing Authority, opened in 2017
  • 49 fully accessible 6-Star energy units for independent senior rental housing (age 55+) and mixed-use retail/commercial space revenue stream
  • Supported by AHFC including a $2.3 million loan, $2.3 million in AHFC grants and $4.6 million in federal Low Income Housing Tax Credits
• Eklutna Estates II – Cook Inlet Housing Authority, opened in 2016
  • 34 new units for low-income seniors supported by $2.8 million in AHFC grants and $2.7 million in federal Low-Income Housing Tax Credits
• Trailside Heights Phase III – Volunteers of America, opened in 2015
  • 35 new affordable townhomes utilizing affordable energy supported by $8.3 million in federal Low Income Housing Tax Credits

These affordable housing projects join hundreds of additional single, multifamily and senior units in Anchorage funded in part or whole by Alaska Housing.

Providing Public Housing, 2004 - 2024

Beyond supporting housing development, Alaska Housing serves as the center for of the state’s Public Housing operation. Housing vouchers contribute significantly to the private sector and are highly effective at reducing homelessness, housing instability and overcrowding and at improving other outcomes for Anchorage families. AHFC’s housing vouchers are crucial in giving renters choice about where they live and supporting work-able families with self-sufficiency options and security to seniors and those with disabilities. In 2024, AHFC’s voucher programs:

• Assisted 5,819 individuals within the Municipality of Anchorage, including kids younger than 18
• Average housing assistance payments per month to Anchorage landlords: $750
• Participating households pay on average $500 each month toward their rent
• Project and Sponsor Based Rental Assistance: 268 units at $2 million annually
  • Project and Sponsor Based Rental Assistance vouchers are awarded to private developments under contract with Alaska Housing. These vouchers are tied to a specific unit to help pay for rent.
• Public Housing units owned and managed by AHFC throughout the Municipality of Anchorage: 674

Among the programs that AHFC offers to support its residents with financial support is access to JumpStart that offers classes and resources to help tenants build their financial literacy, access resources, gain educational support and contribute to workforce development and career advancement.

In addition, AHFC’s no-cost homebuyer education classes help empower residents with information as they decide whether homeownership is the right next step. Topics include budgeting, credit and the steps of buying a home. Throughout the last 20 years, more than 15,000 Alaskans have completed a free homebuyer education class with Alaska Housing; on average more than 200 Anchorage residents take the class each year.

A State Asset

AHFC is self-supporting and does not use State of Alaska general funds for its operations. Strong financial stewardship allows AHFC to build an extensive inventory of housing programs. It’s designation as Alaska’s housing finance agency allows it to offer mortgages that serve Anchorage residents, including Veterans and first-time homebuyers. Furthermore, AHFC’s financial acumen allows it to tackle other housing challenges deemed appropriate by the legislature as historically, the vast majority of the dividend AHFC pays to the State is reinvested in programs such as the newly launched New Home Construction Rebate.

New Home Construction on the Horizon

Funding for a New Home Construction Rebate is expected to spur housing development with $10,000 rebates that are now offered for new single-family home construction meeting a 5-Star Plus or higher energy efficiency rating. AHFC anticipates 650 new construction homes will benefit from the rebate with many to be built in the Municipality of Anchorage over an 18-month period.

AHFC: Forward Focused

The benefit of offering a range of housing options in Anchorage is tangible, providing an important bridge within the Anchorage community to address the city's expanding housing needs. AHFC is mission-focused to bring forward products, programs and innovations that improve both the social and economic well-being of the community and through that investment, better serve the entire state.

If you have questions about AHFC’s role, please contact newsdesk@ahfc.us