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With USDA Assistance, Eastern Kentucky Renters Have a New Safe Housing Option

Posted by Katherine Belcher, Kentucky Public Information Officer in Initiatives Rural
May 11, 2011
Some Prestonsburg, Kentucky residents have a new place to call home after the doors were opened recently on a newly constructed multi-family housing complex.  The complex was funded in part by USDA Rural Development.
Some Prestonsburg, Kentucky residents have a new place to call home after the doors were opened recently on a newly constructed multi-family housing complex. The complex was funded in part by USDA Rural Development.

Residents in the rural Eastern Kentucky community of Prestonsburg have a new place to call home after Preston’s Crossing opened the doors on a newly constructed multi-family housing complex. Prestonsburg is located in Floyd County, which is one of Kentucky’s  persistent poverty counties.

Decent, affordable housing is scarce in this rural area and the property management company was able to lease all 24 of the two- and three-bedroom apartments in less than 30 days. There is currently a waiting list for those who were not fortunate enough to rent one of the units once they became available.

Rural Development provided a multi-family Guaranteed Loan in the amount of $225,000. Other funding, which was secured through Kentucky Housing Corporation, includes $507,000 in tax credits; $1 million through the tax credit assistance program (Recovery Act); and $1.72 million through the tax credit exchange program (Recovery Act).

Preston's Crossing signage. The complex was funded in part by USDA Rural Development.
Preston's Crossing signage. The complex was funded in part by USDA Rural Development.

Tom Simons, Senior Vice President of the Woda Group, which is the property management company responsible for getting this project off the ground, said he began looking for a multi-family housing site in Prestonsburg in 2006. In rural Eastern Kentucky – especially in a mountainous region such as Floyd County – it is difficult to find building sites already equipped with water, sewer and utilities.

After finding a site he liked, Simons worked with a very patient property owner who had to wait two years until financing for the project could be finalized.

Each apartment includes oak finished cabinetry, in-house security systems, Energy-Star rated appliances and central heat and air conditioning. Residents also have access to an on-site computer lab with free Internet access, a community center, two playgrounds and picnic areas.

Rural Development Kentucky State Director Tom Fern thanked all the partners involved in bringing this project to completion.

“I don’t have to tell you how important the work is that we do each and every day to help bring affordable, decent housing opportunities to rural Kentuckians,” said Fern. “Just like our partners – many of whom are here today – Rural Development is working hard to eliminate substandard housing from rural communities by helping rural people buy, build or rent affordable housing.”

To learn more about USDA Rural Development housing programs click here.

Category/Topic: Initiatives Rural