A new effort to get "socially motivated" businesses to invest in low-income housing projects across Minnesota gained its first taker, with UnitedHealth Group putting $50 million into the fund.
The Star Tribune reports the project is a new initiative of the Greater Minnesota Housing Fund. In return for putting money in the fund, UnitedHealth - and future investors - get 15 years worth of federal tax credits, the newspaper says. While UnitedHealth is the first investor, officials expect having the insurance company on board will prompt others to follow.
As the Business Journal reports, the fund will finance low-income family housing, including some projects in other Great Lakes states. The first four projects are finished or nearly complete and are opening 118 units of rental housing, according to the Journal.
The Pioneer Press reported a ribbon-cutting was planned Thursday in Ramsey, Minnesota, where The Seasons Townhomes will house formerly homeless individuals and families.
The other three developments in the first batch are in Faribault, Red Lake Falls, Minnesota, and Jacksonville, Illinois.