To: Board of County Commissioners
Through: Katherine Smith, Director, Community Resources
Prepared By:
prepared
Nancy Sonnenfeld, Community Development Administrator, Community Development, Housing and Homeless Services, Community Resources
end
presenter
Presenter: Elizzebeth Loomis, Manager, Community Development, Housing and Homeless Services, Community Resources
end
Subject:
title
2:45 PM *2026 Private Activity Bonds
end
Purpose and Request:
recommended action
Community Development Housing and Homeless Services (CDHHS) staff is requesting direction from the Board of County Commissioners regarding the allocation of the County’s 2026 Private Activity Bonds, totaling $8,011,903.
end
Alignment with Strategic Plan: Economic Resilience and Stability - Support long-term economic resilience through responsible fiscal and investment strategies.
Background and Discussion: Private Activity Bonds (PABs) are a tax-exempt bonding authority that may be used to finance eligible projects at a tax-exempt interest rate or to support the issuance of Mortgage Credit Certificates. The State of Colorado administers the PAB allocation program pursuant to state statute (Section 24-32-1701 et seq., C.R.S.), which governs the allocation of the state’s annual PAB authority. Staff are requesting direction to assign Arapahoe County’s Private Activity Bond allocation to the Colorado Housing and Finance Authority (CHFA) for the purpose of generating 4% Low-Income Housing Tax Credit (LIHTC) financing for the highest-ranking projects recommended for funding.
In 2026, Arapahoe County received a partial Private Activity Bond allocation totaling $8,011,903. A second allocation representing the remaining portion of the County’s 2026 PAB authority is anticipated following receipt of updated census information. The County received seven (7) applications requesting PAB allocations for the 2026 cycle. Community Development, Housing, and Homeless Services (CDHHS) staff reviewed each application for completeness, eligibility, developer capacity and experience, financial feasibility, and the potential to create Proposition 123-eligible housing units serving multifamily rental households earning at or below 60 percent of the Area Median Income (AMI). Priority consideration was given to projects demonstrating the ability to close and complete underwriting within 12 months of award, effectively leverage additional equity sources such as Low-Income Housing Tax Credits (LIHTC) or State Housing Tax Credits (SHTC), and align with the County’s adopted affordable housing needs, goals, and commitments. This includes projects proposing the formation of Special Limited Partnerships with the Arapahoe County Housing Authority (ArCHA) to advance long-term affordability and public benefit.
2026 PAB Allocation CDHHS Staff Recommendations:
Reserve at South Creek
Developer: April Housing
PAB Funding Recommendation: $4,005,092
Requested Funding: $4,005,092 (project requires $23,500,000 in bond cap)
Location: 15611 E Jamison Drive, Englewood
County: Arapahoe (Unincorporated)
Number of Units: 168 units (48 one-bedroom, 72 two-bedroom, 48 three-bedroom )
Target Population: Families, Seniors, Veterans, Disabled
AMI: 60% AMI and under
Type: Conversion and Rehabilitation
April Housing is requesting an allocation of Private Activity Bond (PAB) funds to support the rehabilitation and resyndication of an existing multifamily development. The property currently includes 69 units restricted at 60 percent of Area Median Income (AMI) and 99 market-rate units. Through this project, the market-rate units will be converted to affordable housing, serving households at or below 60 percent AMI. Upon completion, the development will preserve the existing 69 affordable units and create an additional 99 affordable units, resulting in a total of 168 affordable units in unincorporated Arapahoe County. The Arapahoe County Housing Authority is a project partner and intends to form a Special Limited Partnership to support the long-term success and affordability of the development.
10660 E. Colfax Avenue Aurora, CO dba Ironton Apartments
Developer: CV Colorado, LLC dba Columbia Ventures
PAB Funding Recommendation: $3,000,000.00
Requested Funding: $3,000,000.00
Location: 10660 E. Colfax Avenue
County: Arapahoe
Number of Units: 74 Units (one, two, and three bedrooms)
Target Population: Families and Individuals
AMI: 30%-70%
Type: New Construction
Columbia Ventures is requesting a $3 million allocation of Private Activity Bond (PAB) funds to support the development of 147 affordable housing units serving households earning between 30 percent and 70 percent of the Area Median Income (AMI). The project will include a mix of studio, one-, two-, three-, and four-bedroom units, with a strong emphasis on larger, family-sized homes to address demonstrated community needs. The property is owned by Urban Land Conservancy (ULC) and will be secured under a 99-year ground lease, ensuring long-term affordability for the duration of the lease term. On-site property management will coordinate with local nonprofit and service providers to connect residents with supportive resources, including employment assistance, financial literacy education, health and wellness services, and youth and family programming. In addition, on-site small business support will be offered through the Comprehensive Economic Development Strategy (CEDS) microfinance programming and lending initiatives. The Arapahoe County Housing Authority is a project partner and intends to form a Special Limited Partnership to support the long-term success of the development. The project has secured a $10 million allocation of tax-exempt bond cap from the Colorado Housing and Finance Authority (CHFA) for Phase I of the development.
Fox Apartments, Lara Lea Apartments, Regal Apartments (“Progress Park Bundle”)
Developer: Grovewood Community Development (GCD)
PAB Funding Recommendation: $ 1,006,811.00
Requested Funding: $2,000,000.00
Location: Progress Park neighborhood, Littleton
County: Arapahoe
Number of Units: 64 units (one, two, and three bedrooms)
Target Population: All Target Groups (ie. Seniors, Individuals, Families, Veterans)
AMI: under 60% AMI
Type: Rehabilitation
Grovewood Community Development is requesting an allocation of 2026 Private Activity Bond (PAB) funds, in addition to the $3 million of 2025 PAB funds previously allocated by Arapahoe County. The requested funds would support the preservation and renovation of three existing multi-family properties in Littleton: Lara Lea Apartments (36 units), Fox Street Apartments (16 units), and Regal Apartments (12 units). The rehabilitation scope is moderate and aligns with Green Community sustainability standards. Temporary relocation will be provided for residents during the work.
CDHHS coordinates with surrounding entities to leverage limited PAB resources.
The following projects are not recommended for Arapahoe County 2026 PAB allocations in the first-round selection:
Arapahoe Green Townhomes - 60 units (1-3 BR), families, 30%-60% AMI, rehabilitation. Requested $4.41M. Previously received $1.5M; seeking additional funds due to financial challenges.
The Delegate - 44 units (1-2 BR), seniors, families, veterans, 30%-60% AMI, new construction. Requested $6M. Located in Aurora; will be considered by neighboring entities.
Hazelbrook Hub Apartments - 100 units (1-3 BR), families, 30%-60% AMI, new construction. Requested $8M. Aurora project; eligible for consideration by neighboring entities.
Lotus Verse - 136 units (1-3 BR), families, 60% AMI, new construction. Requested $2.5M. Centrally located in Aurora; eligible for consideration by neighboring entities.
These projects remain eligible for review by surrounding jurisdictions. Arapahoe County PAB allocations are prioritized for projects that maximize cross-jurisdictional leverage and will be reviewed in the second quarter once the County’s remaining PAB allocation is released.
Alternatives: The BOCC may recommend an alternative distribution of the County’s 2026 PABs or may choose to relinquish the PABs to CHFA for statewide allocations at their discretion.
Fiscal Impact: Private Activity Bonds (PABs) are administered by the Department of Local Affairs (DOLA) through CHFA and limited by the IRS. This request does not have a direct fiscal impact on Arapahoe County’s general budget but will provide a great benefit to increasing affordable housing in our jurisdiction.
Alignment with Strategic Implementation Strategies: N/A
Staff Recommendation: CDHHS staff is recommending the PAB funding allocations presented above.
Concurrence: N/A