Low Income Housing Tax Credits & Opportunity Housing in Delaware, 2019

The 2019 Delaware Qualified Allocation Plan promotes housing in areas of opportunity 


The 2019 Delaware QAP balances housing investments and encourages the creation of affordable housing opportunities with the State that contain little or no affordable rental housing opportunities, but that may offer economic opportunity, proximity to workplaces, high performing schools, and/or supportive infrastructure, points will be awarded to development proposals that are in Areas of Opportunity.

Developments can be New Creation or Preservation and points will be awarded as follows:


% of Units Located in Area of Opportunity


%-49.9% of Total Units


50%-99.9% of Total Units


100% of Total Units


The Delaware State Housing Authority has defined areas of opportunity, distress or stability within the State in its 2019 QAP as follows;

·         Distressed – “Racially/Ethnically Concentrated Areas of Poverty” (as defined by HUD), Delaware Market Areas G and H (as defined in Delaware Housing Needs Assessment 2015-2020) or Wilmington Market Areas F, G, and H (as defined in Wilmington Market Valuation Analysis 2015), and Isolated Rural Communities. These areas are where sustainable long-term homeownership opportunities should be supported. These are the same areas where development that furthers highly concentrated areas of minorities or poverty should be limited;

·         Stable – Delaware Market Areas D, E, and F or Wilmington Market Areas C, D, and E. These areas are where a balance of market rate and affordable housing should be supported; and

·         Areas of Opportunity – Delaware Market Areas A, B, and C or Wilmington Market Areas A and B and/or areas where students are attending schools achieving a high proficiency level of 90% or higher (School Attendance Boundary Information – SABINS 2012). These are strong high-value markets where new affordable housing opportunities should be supported.


DSHA maps that include all defined areas are available at the following Balanced Opportunities Housing Maps link: http://delaware.maps.arcgis.com/apps/webappviewer/index.html?id=e93dabfce6af4a94870111a1489bb1b0


For projects located in municipalities and incorporated areas, projects can be awarded up to ten (10) points for amenities. The amenity must be within the noted mile radius of the project to be eligible for points. For projects located in unincorporated areas of the State or rural areas whether incorporated or unincorporated (as designated by USDA), including New Castle, Kent, and Sussex Counties, services must be 1.5 x of the noted mile radius of the project.

USDA designated rural areas can be found at the following link: http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do?pageAction=sfp&NavKey=property@12


Distance must be measured along an existing right of way; exact distances from project entrance must be referenced for each amenity claimed. At least one picture should be submitted for each amenity claimed. Amenities must be noted in the market study with distances documented. Applicants may only score once for each amenity, for example if there is a grocery store within .5 mile of the project and a second store within 1 mile of the project, the applicant will score 3, not 5 points.


Negative points will only be deducted from points earned in the Amenities category and will not reduce the base score for the application. Nothing in this category alters or waives threshold siting or environmental criteria. For this Amenities category, half points will be rounded down and only full points will be included in final application scoring.


Community Compatibility: Up to ten (10) points will be awarded to developments that can demonstrate overall community compatibility. Each factor of the community compatibility should be demonstrated through the DSHA site visit, site plan, market study, and other applicable documents. In order for preservation / rehabilitation to score in the Community Design category, any requested features must be new. Projects may score in both Residential Appropriateness and Community Design, but will not receive more than ten (10) points total.


Residential Appropriateness (up to 5 points)

 It is the policy of DSHA to promote high quality, visible projects that promote strong communities, limit promotion of residential sprawl, and do not isolate residents. Projects may receive up to 5 points based on application submissions. Factors that may be considered include, but are not limited to:

· Project's visibility to potential tenants using normal travel patterns;

· Project is contiguous to existing Developed Land; · Project qualifies as an Infill development; · Project's potential tenant's eligibility to participate in identified existing, active community or civic associations; and

· Overall quality of Project's immediate surrounding physical and built environment.

Community Revitalization: 

Community Revitalization and Downtown Development Districts (0-10 points)

DSHA is committed to supporting community revitalization efforts. In order to further this purpose, developments located in Qualified Census Tracts [QCT] that contribute to an eligible Concerted Community Revitalization Plan [CCRP] will receive ten (10) points. No points will be awarded in this category to projects located in QCTs that do not contribute to an eligible CCRP.

Where all of a proposed development's buildings and parcels are located within a certified Downtown Development District [DDD] and contribute to an eligible CCRP, the application will receive ten (10) points. Any development where all buildings and parcels are located within a certified DDD will receive a minimum of two (2) points irrespective of its contribution to an eligible CCRP. A site map locating the QCT or DDD must be included in the application.

Applicants seeking points for contributing to a CCRP must demonstrate that the development and/or physical location are clearly identified and included in an eligible CCRP and contribute to goals identified in the CCRP. Applicants should include the page number of the relevant portion of the CCRP and a description of the project's contribution to the CCRP. Applicants demonstrating weak or vague contribution to the CCRP will receive no points. The Plan must be certified as a true and correct version of the plan by the author. The entire CCRP must be submitted in the application.

A Community Revitalization plan may include, but is not limited to, a municipal and/or county comprehensive plan, a regional redevelopment plan, a local or neighborhood redevelopment plan or master plan as endorsed and approved by local government, or a Downtown Development Districts (DDD) plan for a DDD designated by the Governor. The plan must have been adopted or updated in the last 5 years, certified by the agency that developed the plan, and specifically identifies the project as an area of need.


Plans not officially endorsed by any unit of local government may also be eligible at DSHA's discretion.


Contributed By: 
National Housing Trust

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