City of Worcester, MA
City of Worcester Affordable Housing Trust Fund Opens New Funding Round
FOR IMMEDIATE RELEASE: 4/6/2026 10:31 am
WORCESTER, Mass. – The City of Worcester Executive Office of Economic Development has announced a new funding opportunity to support the creation of affordable housing. Through its Affordable Housing Trust Fund (AHTF), the municipality is making $1.35 million in Community Preservation Act (CPA) funding available to support the development of new housing affordable to low- and moderate-income households.
“This funding round is a targeted investment in Worcester’s housing supply, focused on creating homes that are not only affordable, but high-quality, accessible, and connected to opportunity,” said City Manager Eric D. Batista. “By prioritizing deeper levels of affordability and supporting projects that align with our broader housing and planning goals, we are advancing a more equitable housing landscape for Worcester residents.”
Developers are invited to apply for funding to support projects that create new income-restricted rental or homeownership units. Eligible projects must serve households earning up to 80% of the Area Median Income (AMI), with priority given to proposals that achieve deeper affordability at or below 60% and 30% of AMI.
Funding awards will be capped at the lesser of $150,000 per affordable unit or 25% of total development costs. Competitive proposals will demonstrate strong alignment with municipal priorities, including accessible design, energy efficiency, and easy access to transit, jobs, and services.
The AHTF is overseen by a nine-member Board of Trustees appointed by the City Manager. The Board is responsible for advising and assisting the municipality in the creation and preservation of affordable housing opportunities that serve low- and moderate-income households.
Proposals will be evaluated based on several criteria, including depth and duration of affordability, project readiness, development team capacity, financial feasibility, and the incorporation of accessibility and sustainability features.
Applications are due by May 7, 2026. Application materials and additional information are available on the municipality’s website: https://www.worcesterma.gov/housing-neighborhood-development/affordable-housing-trust-fund
Optional virtual technical assistance workshops will be held on Tuesday, April 14, 2026, and Wednesday, April 29, 2026, from 12 to 1 p.m.
###