Progress is being made to bring two affordable housing complexes to Rochester.
The developers of those complexes have received federal Rental Housing Tax Credit Program credits totaling $1.87 million to aid in their construction efforts.
The larger development is Chamberlain House Apartments, a 40-unit complex for people of varying incomes, has a tentative address of 500 Mitchell Drive and will be adjacent to and north of the existing Arbor Woods Apartments.
Hawkins Homestead, 1329 College Ave., is a planned 35-unit age-restricted complex for seniors.
Combined, that a $19,756,000 investment in Rochester housing, FEDCO Executive Director Michael Ladd said, and that doesn’t include other projects under negotiation and a planned housing development.
The work schedule for Chamberlain and Hawkins is up to construction companies and the developers, he said. “I would expect sometime in the spring we’ll start seeing dirt turned.
“In the meantime we’ll be doing whatever needs to be done. Getting the property into the hands of the developer, getting the zoning proper that’s not already done. The detail work will happen in the winter time and hopefully in the spring we’ll see some dirt turned.”
Chamberlain House
The Chamberlain House Apartments will be a continuation of Arbor Woods, said Ladd. It will provide eight one-bedroom, 16 two-bedroom and 16 three-bedroom apartments. Total cost is estimated at $12,115,948 project. The developer is Village Management Co., Indianapolis.
Half of the units there are for people who will pay no more than 80 percent of the Indiana area median income. Eight are for people paying no more than 50 percent and twelve for people paying no more than 20 percent.
Hawkins Homestead
Hawkins Homestead is planned specifically for senior citizens and will be adjacent to the Nickel Plate Trail’s extension into Rochester.
Total cost of the complex is estimated at $7,640,000 project.
Seventeen of its units are for people who will pay no more than 80 percent of the area median income, seven for those paying no more than 50 percent and 11 for those paying no more than 30 percent of the area median.
The developer of Hawkins is Keller Development, Fort Wayne.
Housing credits
The housing credits for Chamberlain House and Hawkins Homestead developments were recently announced by Indiana Lt. Gov. Suzanne Crouch and the Indiana Housing and Community Development Authority.
Both received Low-Income Housing Tax Credit program credits worth 9 percent of their total value.
Developers who receive the credits agree to make their units affordable to a range of incomes. Indiana’s 2024 area median income is $81,100 for a non-metropolitan area, according to U.S. Housing and Urban Development.
State housing agencies award the credits to private developers of affordable rental housing projects through a competitive process. Developers generally sell the credits to private investors to obtain funding. When the housing development is available to tenants, investors can then claim their tax credits over a 10-year period.
The same program was used in the development of Arbor Woods.
The tax credit program incentivizes private developers to fund construction, acquisition and rehabilitation of affordable housing communities throughout Indiana.
Rochester’s two developments were among 16 which received the 2025 awards. More than $20 million in credits will help create or preserve 761 affordable units that will serve individuals, families, seniors, individuals with disabilities and individuals experiencing homelessness across the state.
The developments awarded credits will have access to services, retail, healthcare and transit. Those with nearby access to employment, post-secondary education and primary care are prioritized.