$2.2 Million Awarded to Five Disaster-Affected Communities to Rebuild Housing, Infrastructure


Housing Development Grants Approved for Cherryvale, Erie, Iola, Neodesha and Kiowa County

Topeka, KS – September 18, 2009 – (RealEstateRama) — Kansas Housing Resources Corporation (KHRC) has awarded over $2.2 million in grants to five disaster-affected communities to build housing and infrastructure.  The grants, made possible by the Housing Development Grant Program (HDGP) created last year by the Kansas Legislature, assist communities recovering from the 2007 Greensburg Tornado and the Southeast Kansas floods.

“The funds provided today aren’t a quick fix, but will help disaster-impacted communities grow their economy and build affordable housing,” said Gary Allsup, KHRC Executive Director. “These grants are a smart investment that will create jobs and improve the quality of life for hundreds of Kansas families.”

The five communities to receive Fiscal Year 2010 Housing Development Grant Awards are:

Community                                         Award
City of Cherryvale                               $430,000
City of Erie                                          $754,000
City of Iola                                          $219,000
City of Neodesha                                $512,000
Kiowa County                                      $300,000
Total                                                    $2,215,000

The following are brief summaries of the approved proposals:

City of Cherryvale – While Cherryville did not sustain damage from the storms, the influx of families from neighboring communities strained an already tight housing market.  The City plans to use the 2010 Housing Development Grant to finance an infrastructure project for a new subdivision in southwest Cherryvale.  This project will include streets, water, sewer, and storm sewer.  Land Rush Development, Inc., a local development company, will create 28 senior housing apartments in the new subdivision.  Seven, four-unit buildings will be constructed.

City of Erie – Erie sustained damage to approximately seven percent of the city’s housing in the 2007 flooding.  The City will use the housing development grant to create infrastructure for a new subdivision.  The subdivision, located in northern Erie, is anchored on the north by the construction of a new high school and on the south by a new assisted living facility.  The City will provide the funding for the installation of water and sewer as their match. This effort will result in 32 lots ready for housing construction.

City of Iola – Iola lost 120 homes to the 2007 floods, which are all part of a FEMA demolition and buyout program.  When combined with the additional 48 homes that suffered damage, nearly six percent of Iola’s housing stock was impacted.  KHRC has approved $219,000 to assist infrastructure development that could serve up to 24 multi-family or elderly rental units.

City of Neodesha – Neodesha had nine percent (108 units) of the city’s housing stock damaged by the 2007 floods.  The City will utilize both their 2009 and 2010 HDGP allocations to create infrastructure for six single-family homes and up to 32 units of multi-family housing.

Kiowa County – The tornado of May 4^th, 2007 devastated the City of Greensburg and portion of Kiowa County.  Following last year’s grant of $700,000, KHRC this year has approved an additional $300,000 to help Kiowa County’s housing construction program build 12 additional single-family homes.

In total, KHRC received twelve applications requesting $7,015,088 in funds from the Housing Development Grant Program. Unfortunately, due to State budgetary issues, only $2,215,000 is available for this round.  Seven cities and one county applied for the funds.  Under the program, cities and counties compete for funds to construct new housing or rehabilitate infrastructure. Communities are required to demonstrate specific needs and identify developments to meet those needs.

Kansas Housing Resources Corporation is an independent, quasi-public entity that finances and develops affordable housing opportunities for low and moderate-income residents throughout Kansas. For more information, visit KHRC’s website at www.kshousingcorp.org.


The Kansas Housing Resources Corporation (KHRC) was formed pursuant to K.S.A. 74-8904(v) per the Governor's Executive Reorganization Order (ERO) # 30.  KHRC is a subsidiary corporation of the Kansas Development Finance Authority. 

The Kansas Housing Resources Corporation mission is to enhance Kansas communities with housing opportunities. This goal is achieved through using a variety of strategies and approaches, including increasing homeownership opportunities, leveraging the construction of more affordable rental housing, preserving existing housing through rehabilitation, promoting energy efficiency improvements for owner-occupied and rental housing, providing affordable housing through rent assistance to low-income families and senior citizens, and creating housing opportunities for previously underserved persons and communities.


Kansas Housing Resources Corporation
611 South Kansas Avenue, Suite 300
Topeka, Kansas 66603-3803
Phone: (785) 296-5865
Fax: (785) 296-8985

Previous articleNew-Home Construction Remains Stalled Despite August Gain
Next articleSenator Roberts Announces $250,000 to SAFEHOME for Housing Needs