Austin Council Backs Six New Affordable Housing Projects

City's endorsement boosts developments' chances for state tax credits

Feb. 6, 2026 at 4:47pm

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The Austin City Council approved resolutions supporting six affordable housing developments applying for state low-income housing tax credits, clearing a key hurdle for the projects. Several of the developments are located near Austin's transit routes or the first phase of Project Connect, which could strengthen the city's transit network.

Why it matters

Austin is facing an affordable housing crisis, and these new developments supported by the city council could help increase the supply of low-income housing units. The proximity to public transit is also significant, as it could improve access to jobs and services for residents of these affordable housing projects.

The details

By adopting resolutions of support for each project, the city council granted its highest level of endorsement, improving the developments' chances of receiving competitive 9% low-income housing tax credits from the state. The Texas Department of Housing and Community Affairs weighs local government backing when awarding these tax credits, giving more points to projects with a resolution of support.

  • On February 6, 2026, the Austin City Council approved the resolutions supporting the six affordable housing developments.

The players

Austin City Council

The governing body of the City of Austin that approved resolutions supporting the six affordable housing developments.

Texas Department of Housing and Community Affairs

The state agency that awards 9% low-income housing tax credits, giving more points to projects with local government support.

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What’s next

The six affordable housing developments will now apply for the state's 9% low-income housing tax credits, with the city's resolutions of support boosting their chances of receiving the competitive funding.

The takeaway

Austin's support for these six affordable housing projects, including those near public transit, demonstrates the city's commitment to addressing its affordable housing crisis and leveraging transit investments to improve access to housing for low-income residents.