Saint Paul HRA Announces Next Round of Inspiring Communities Developers

Saint Paul HRA Announces Next Round of Inspiring Communities Developers

On December 14, 2022, the Saint Paul Housing and Redevelopment Authority (HRA) Board announced finalists to redevelop the latest batch of Inspiring Communities properties.

The Inspiring Communities program provides focused investment in neighborhoods most impacted by foreclosure and vacancy and supports developers and homebuyers to create new, affordable homeownership opportunities and rental units on land owned by the HRA.

The most recent request for proposals (RFP) included twelve vacant lots available for developers to construct housing on HRA-owned properties and resell the homes to buyers with low and moderate household incomes.

The City of Saint Paul received proposals for 11 of the 12 properties and the following have now been identified as finalists to be awarded developer rights (subject to a due-diligence review):

Nine emerging developers responded to this request for proposals. This is an increase of 50% over any prior Inspiring Communities RFP and the result of a concerted effort by the HRA, the City of Saint Paul, the Incremental Development Alliance, NEOO Partners, Family Housing Fund, LISC Twin Cities, the Greater Minnesota Housing Fund and others to engage emerging developers and developers who are Black, Indigenous and people of color and address barriers to their participation in publicly subsidized real estate development. Four of the finalists identified above are emerging developers.

“I was pleased to see the number of emerging and BIPOC developers directly in response to our efforts to incorporate more developers into our RFP process,” shared Commissioner Rebecca Noecker during the December 14 HRA meeting. “And just the number of multi-unit responses as well...it’s really, really exciting to see these innovative models come forward.”

“How wonderful it is for us to be bringing forward all these emerging developers on projects where they can really learn the process and reenter in the future with experience and knowledge,” said Commissioner Jane Prince. “The boot camp that was held, and the various things that we’ve done to reach out make me very proud.”

Construction could start as soon as spring 2023, with homes reaching the market 12 to 18 months later. Financing for these projects will come from federal, state and local sources, including the Minnesota Housing Finance Agency’s Community Homeownership Impact Fund, Community Development Block Grant funds made available through the City’s Capital Improvement Budget and the City of Saint Paul’s Housing Trust Fund.

"With home prices and interest rates on the rise, affordable homeownership opportunities are more important than ever," said City of Saint Paul Housing Director Tara Beard. "Supporting the growth of emerging and BIPOC developers while creating those opportunities makes this good news even better."

People interested in buying a home constructed through the program should first contact a nonprofit homeownership advisor. Contact information for homeownership advisors and additional information about the Inspiring Communities program can be found at www.stpaul.gov/inspiringcommunities.

Since its creation in 2013, the Inspiring Communities program has added over 230 affordable homeownership opportunities and over 50 new affordable rental units to the City’s housing stock. Nearly two out of every three homebuyers and more than three out of every four renters served through the program are people of color.

The HRA may offer additional properties for sale or redevelopment in the future. Subscribe to our email notification list to receive updates regarding future requests for proposals.

*Preliminary renderings provided by John Aish Inc. and One Goal One Dream Financial Freedom; renderings are subject to change.