Affordable Housing Development Grant Program

The City of Portland Affordable Housing Development Application is a competitive funding opportunity administered by the City of Portland Housing and Economic Development Department in Maine. This program is designed to support the development of new affordable rental and homeownership housing units within the city. It reflects the City’s long-standing commitment to addressing housing shortages and ensuring that low- and moderate-income residents have access to safe, quality, and sustainable housing. The initiative aligns with the City’s Comprehensive Plan and broader housing policy goals, including the HUD Five-Year Consolidated Plan, and builds on decades of municipal investment in housing development through federal and local funding sources. The program’s primary objective is to increase, preserve, and enhance the supply of affordable housing across Portland. It supports a wide range of housing development activities, including new construction and redevelopment projects that contribute to housing density in areas near neighborhood centers, transit nodes, and service hubs. The City encourages proposals that are contextually appropriate and responsive to community needs. Eligible projects may include mixed-income developments, age-restricted housing, affordable family housing, artist housing, and Housing First initiatives. The City has historically supported a diverse portfolio of developments that expand housing access and affordability across different populations. Funding for selected projects may come from multiple sources administered or coordinated by the City, including HUD HOME funds, Community Development Block Grant (CDBG) funds, the City’s Housing Trust Fund, and Tax Increment Financing (TIF) designations tied to MaineHousing’s Qualified Allocation Plan for Low-Income Housing Tax Credits (LIHTC). These funding sources are often used in combination to provide gap financing for projects that may not be fully supported through other mechanisms. The Housing Trust Fund, in particular, offers flexible funding for projects that fall outside traditional federal program eligibility. Eligibility for the program includes experienced developers, nonprofit organizations, and community development corporations with the capacity to complete housing development projects. Both for-profit and nonprofit development teams are eligible to apply, provided they demonstrate the technical expertise, financial capacity, and project readiness required to successfully deliver affordable housing units. Applicants are expected to propose projects that align with the City’s strategic housing priorities and demonstrate measurable impact in increasing housing supply for targeted income groups. The application process requires submission through the Neighborly platform for projects seeking Affordable Housing Tax Increment Financing in connection with MaineHousing’s LIHTC program. These applications must be submitted by May 4, 2026 at 4:00 PM. For projects that have already received a Notice of Award from MaineHousing and are seeking additional gap funding through the City’s HOME Program or Housing Trust Fund, applications are accepted on a rolling basis and reviewed on a first-come, first-served basis. Applicants are encouraged to ensure all required documentation is complete at the time of submission to be considered. Applications are reviewed based on alignment with City housing priorities, project feasibility, financial readiness, and the ability to deliver affordable housing outcomes. The City evaluates whether proposed developments contribute to increasing housing supply, meet community needs, and demonstrate long-term sustainability. While specific award amounts and timelines for award decisions are not detailed, the program operates as part of an ongoing municipal housing development strategy, suggesting continued future funding cycles. Questions regarding the application process may be directed to Heidi McCarthy at the City of Portland Housing and Economic Development Department.

Ensure strong alignment with City housing priorities and demonstrate project feasibility and financial readiness. Highlight how the project increases affordable housing supply and fits within strategic plans.