A Year of Growth and Uncertainty for Affordable Housing in Tucson
The City of Tucson’s Housing & Community Development Department (HCD) has released its annual report for 2024, outlining efforts to expand affordable housing, support vulnerable populations, and invest in community development.
As home prices and rents continue to rise, the department’s initiatives focus on preserving existing housing, developing new units, and enhancing assistance programs to help Tucson residents find stability.
Investing in Housing Development
Affordable housing remains a pressing issue in Tucson, and HCD has worked diligently to address the need. The department has directed resources toward preserving current housing and creating new developments that serve low-income families and seniors.
- Milagro on Oracle, a 63-unit senior housing complex, was completed in 2024, marking Tucson’s first Low-Income Housing Tax Credit project in a decade.
- El Pueblo Housing Development (EPHD) has 1,100 units in the pipeline, including projects at Sugar Hill on Stone, Amazon Flats, and South 10th Avenue.
- Tucson House Redevelopment efforts include renovations and the installation of solar panels on city-owned affordable housing properties.
These projects, in partnership with the U.S. Department of Housing and Urban Development (HUD), aim to increase access to affordable living spaces while incorporating sustainable design elements.
Expanding Housing Assistance Programs
HCD continues to provide critical support for residents in need of financial assistance for housing. In 2024, the department:
- Administered 5,500 HUD Housing Choice Vouchers across Pima County.
- Provided forgivable down payment assistance loans to low- and moderate-income homebuyers.
- Offered home repair and lead hazard reduction assistance to maintain safe living conditions.
- Supported 105 families through the Family Self-Sufficiency (FSS) program, helping participants work toward financial independence.
One FSS participant saved enough to purchase a home, while another was able to buy a car to commute to work and college. These success stories reflect the program’s impact in breaking cycles of poverty and creating long-term stability.
Addressing Homelessness with a Comprehensive Approach
The Housing First Program, which prioritizes getting people into permanent housing before addressing other needs, played a significant role in 2024. Efforts included:
- Distributing 7,200 care packages to individuals experiencing homelessness through the Multidisciplinary Outreach Team (MDOT).
- Providing transitional housing at Wildcat Inn, which sheltered 152 adults and 57 children.
- Using temporary housing at Amazon Flats, where 86 out of 140 residents successfully transitioned to permanent housing.
These initiatives emphasize a low-barrier model, ensuring that individuals in need receive immediate support without unnecessary restrictions.
Community Development and Local Investment
Beyond housing, HCD has invested in community-led projects that enhance neighborhood vitality.
The department’s People, Communities, and Homes Investment Plan (P-CHIP) guided grantmaking and strategic planning, leading to $5.4 million in funding for 28 nonprofit organizations.
The Thrive Zone initiatives continued their work in historically underserved areas:
- Thrive in the ’05: New murals, sculptures, and historic signage projects were completed along the Miracle Mile corridor.
- 29th Street Thrive Zone: Eight community-driven projects received a combined $1.3 million in funding, with an additional HUD Choice Neighborhoods Planning Grant supporting a long-term revitalization strategy.
Federal Support and Challenges
Tucson secured an $11.5 million HUD grant in December to fund energy efficiency upgrades for manufactured homes and provide eviction prevention assistance.
However, future funding remains uncertain. HCD Director Ann Chanecka emphasized the need for sustainable financial support to maintain and expand these efforts.
“We can’t slow down our efforts,” Chanecka stated. “Tucson is at a serious crossroads, and long-term funding solutions are critical to continuing this vital work.”
Affordable Housing Developments in Tucson (2024)
| Development | Units | Status | Location |
|---|---|---|---|
| Milagro on Oracle | 63 | Completed | Oracle Road |
| Sugar Hill on Stone | TBD | Pre-development | Stone Avenue |
| Amazon Flats | TBD | Pre-development | Former Amazon Motel |
| South 10th Avenue | TBD | Pre-development | South Tucson |
Read the full HCD’s 2024 Annual Report.
Looking Ahead
With ongoing economic pressures and rising housing costs, Tucson’s ability to provide affordable housing depends on continued collaboration between the city, private developers, nonprofit organizations, and residents.
As the city faces critical decisions about funding and policy direction, community engagement will play a vital role in shaping the future of housing in Tucson.
Residents are encouraged to stay informed and participate in local discussions to support policies that foster long-term housing solutions. For more details on HCD’s programs and initiatives, visit the City of Tucson’s official website.
Sources: City of Tucson.
