(AUSTIN) — The Texas Department of Housing and Community Affairs (TDHCA) today announced that it has awarded a major federal grant to a local nonprofit organization for the construction of a new affordable rental property in Austin that will target youth aging out of foster care.

TDHCA awarded $3.6 million to Lifeworks Affordable Housing Corporation, which the organization will use to finance the construction of 45-unit multifamily property. Ten of these units will be set aside to provide permanent supportive housing to youth aging no longer eligible for assistance through the state’s foster care system.

The award was made through the Department’s Neighborhood Stabilization Program 3 (NSP3). NSP3 is continuation of the Neighborhood Stabilization Program (NSP), an innovative grant program originating through the federal Housing and Economic Recovery Act of 2008.

“TDHCA is committed to continuing this creative grant program and ensuring the program meets it objective of providing greater stability to Texas neighborhoods and the people who call them home,” said Tim Irvine, TDHCA Executive Director. “We also commend Lifeworks Affordable Housing for targeting youth aging out of foster care, an often overlooked and difficult to serve population. The stability and support this development will offer these young individuals is a great example of how these funds are helping communities throughout Texas.”

The Neighborhood Stabilization Program 3, like NSP, is designed to help cities, counties, and eligible nonprofit organizations acquire and/or redevelop foreclosed properties that might otherwise become sources of abandonment and blight. NSP3, however, includes a statutory requirement that establishes procedures to create preferences for the development of affordable rental housing properties.

Lifeworks Affordable Housing Corporation intends to build a mixed-use community with at least fifteen units operated as permanent supportive housing and the remainder available to residents at multiple income levels.

In addition, the planned construction is adjacent to LifeWorks’ newest service center, the Sooch Foundation Youth and Family Resource Center, which will offer supportive services for residents, including GED and ESL classes, case management, and mental health counseling. It is also is adjacent to the Austin Community College’s Eastview Campus which offers educational opportunities specifically targeted to youth aging out of foster care, which is one of this projects targeted populations.

Once completed, the property will set aside 15 of the 45 units for individuals earning no more than 30 percent of the area median family income, which for the City of Austin equals an annual income of $15,960. For more information, contact Lifeworks Affordable Housing Corporation directly at (512) 735-2400.