Workforce Housing Investment Program

The Workforce Housing Investment Program is an initiative led by Virginia Housing to increase the availability of affordable housing for middle-income workers across the Commonwealth. With a planned investment of $75 million over five years, the program supports the development of both rental and homeownership units near new or expanding employment centers. The funding is targeted at areas where housing shortages could limit the ability of employers to attract and retain a qualified workforce, particularly for households earning 80% to 120% of the Area Median Income (AMI), and up to 150% in rural areas. Eligible applicants include local governments, nonprofits, industrial development authorities, economic development authorities, planning district commissions, and other public subdivisions of Virginia. These applicants are encouraged to collaborate with for-profit developers. To qualify, the proposed housing project must be within a 30-minute drive (or 45 minutes in rural areas) of a job site where a qualifying job announcement has been made in the previous fiscal year. Depending on the level of economic distress in the locality, job thresholds and matching fund requirements vary. Awards can reach up to $3 million for standard projects and $5 million for transformative developments with over 500 new jobs. Program funds can support the development of new housing units only; projects already fully funded or involving land banking are not eligible. For rental units, there is a minimum affordability period of 15 years, and the units must serve households within the AMI thresholds. Homeownership units must comply with Virginia Housing sales price and income limits and include affordability periods of 10 or 15 years based on the per-unit subsidy. Funding may be used for specific project expenses including soft costs, construction, consultant fees, and marketing but cannot cover infrastructure or travel costs. Applications are competitive and must be submitted through the Virginia Housing Grants Management System. Scoring criteria include proximity to job announcements, matching funds, infrastructure readiness, demonstrated need, local employer support, and project innovation. Grantees must complete projects within 24 months and will follow a claims and reporting schedule tied to quarterly periods. A final report and compliance certification are required after the performance period ends. This program is managed by Virginia Housing in collaboration with the Virginia Economic Development Partnership, the Department of Housing and Community Development, and the Secretary of Commerce and Trade. Inquiries can be directed to Strategic Housing Officer Chris McNamara at Chris.McNamara@VirginiaHousing.com or by phone at (804) 584-4721.

Ensure strong alignment with job growth; confirm match funding early; complete all predevelopment before applying; emphasize housing innovation and locality support.