Housing New Mexico approval expected to generate about $9.2 million in equity for Pueblo of Laguna rehabilitation project
CIBOLA COUNTY, N.M. — Thirty-nine homes at the Pueblo of Laguna are expected to receive major rehabilitation work after the Housing New Mexico Board of Directors approved a new round of Low-Income Housing Tax Credits at its May meeting.
The board approved approximately $1.24 million in tax credits annually for Laguna #5, an acquisition and rehabilitation project serving families with children at the Pueblo of Laguna. Over a 10-year period, the tax credits are expected to produce about $9.2 million in cash equity for the project.
According to Housing New Mexico, the Laguna project includes 39 two-, three- and four-bedroom homes. The homes are set to receive rooftop and HVAC system upgrades intended to make the units more energy efficient.
For Laguna families, the funding means the project is not simply about preserving existing housing. It is also about making homes more livable, more efficient and better prepared for New Mexico’s extreme seasonal weather, from hot summer afternoons to cold winter nights. Better roofing and heating and cooling systems can help reduce energy use, improve comfort and extend the life of existing housing stock.
Housing New Mexico Executive Director and CEO Isidoro Hernandez said the latest awards will support affordable housing across the state, including the Pueblo of Laguna.
“These Low-Income Housing Tax Credits will result in 194 new homes and 39 rehabilitated homes for New Mexicans,” Hernandez said. “Thanks to our partners — the developers and nonprofits — we are able to provide more affordable housing from Deming to Albuquerque, from Taos to Bernalillo and to the Pueblo of Laguna with this round of LIHTC approvals by our board of directors.”
The Laguna project was one of five developments approved for tax credits. Altogether, the board approved more than $7 million in Low-Income Housing Tax Credits, which are expected to generate more than $56 million in equity. The board also approved $16.3 million in loans for several multifamily housing developments across New Mexico.
The Low-Income Housing Tax Credit program is administered by the Internal Revenue Service and allows state housing agencies, including Housing New Mexico, to issue tax credits for the acquisition, rehabilitation or construction of rental housing targeted to lower-income households. The 9% tax credits are awarded through a competitive process.
While several of the approved projects involve new apartment construction in other parts of the state, the Laguna #5 project focuses on preserving and improving existing family homes. Housing New Mexico identified the project as serving households with children, making the improvements especially important for families who depend on safe, stable housing close to their community, schools and support systems.
The approved projects include Desert Sun III in Deming, a 53-unit development primarily serving farmworker households; Edward Romero Terrace II in Albuquerque, a 51-unit senior housing development; Este Es Otoño in Taos, a 35-unit senior housing development with a preference for veterans; Laguna #5 at the Pueblo of Laguna; and Niko Commons in Bernalillo, a 55-unit family housing development.
Housing New Mexico said its larger pipeline includes 53 multifamily developments in various stages of construction across the state, representing more than $413 million in funding for 5,140 apartment units in 19 municipalities and 14 counties. The agency estimates the eventual economic impact of those projects, once under construction, will generate approximately $1.35 billion in local income and create about 16,602 jobs.
For the Pueblo of Laguna, the latest approval brings statewide housing dollars directly into the community and supports the continued use of existing family homes. In a region where affordable housing can be difficult to build and expensive to maintain, rehabilitation work can be just as important as new construction.