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Workforce Housing Development Program

This competitive funding program targets small to medium-sized cities, communities or areas in Greater Minnesota with rental workforce housing needs. Funding is available to build market rate residential rental properties in communities with proven job growth and demand for workforce rental housing. Communities are required to secure funds that match one dollar for every two dollars in funding offered through this program.

Minnesota Housing hosted a Request for Proposals (RFP) and applications were due in April. Minnesota Housing staff will complete the review process during the months of May, June and July. Selection and funding recommendations will be presented to the Minnesota Housing board for approval in August 2024. Notification of funding decisions will be made within five business days after approval.

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Eligible Recipients

An Eligible Recipient is one of the following Eligible Project Areas:

  • A home rule charter or statutory city with a population exceeding 500 located outside of a Metropolitan County.
  • A community that has a combined population of 1,500 residents located within 15 miles of a home rule charter or statutory city located outside a Metropolitan County.
  • An area located outside of a Metropolitan County that serves a federally recognized Indian Tribe in Minnesota, or their associated Tribally Designated Housing Entity as defined by United States Code, title 25, section 4103(22), as approved in writing by Minnesota Housing.
  • An area served by a Joint County-City Economic Development Authority.

The application must be submitted by an Eligible Recipient. 

Eligible project areas with fewer than 30,000 people will be given preference. Refer to Minnesota Statute 462A.39 for additional information.

Eligible Projects and Activities

Eligible housing types are market rate residential rental properties that serve employees of businesses located in an eligible project area. A portion of the units can have rent restrictions or income restrictions.

Eligible activities include the following or a combination of the following:

  • New construction
  • Acquisition and rehabilitation of a property that creates new housing units. This program would only fund those new units of housing.
  • Adaptive reuse of an existing property that is not currently used for housing.

Minimum Application Requirements

  • Eligible Project Area: Small-to medium-sized communities/Tribes in Greater Minnesota (refer to Eligible Recipient Criteria above).
  • Project Area Rental Vacancy Rate: The average vacancy rate for rental housing located in the eligible project area, and in any other city located within 15 miles or less of the boundaries of the area, has been 5% or less for at least the prior two-year period.
  • Eligible Uses: Funds will be used on qualified expenditures (refer to the WHDP Guide for more information).
  • Match: Secured matching funds of one dollar for every two dollars requested in funding
  • Community Need: One or more letters of support from one or more businesses located in the eligible project area, or within 25 miles of the area that employ a minimum of 20 full-time employees in aggregate.
  • Maximum Award Amount: Funding request cannot exceed 50% of the project’s total development costs.
Webinar and Technical AssistanceMoreLess

Webinar and Technical Assistance

Technical Assistance

Please reach out to the workforce housing Team for technical assistance at

Resources for Applicants (for reference only)MoreLess

Historical Documents


The WHDP team is available to answer any questions or provide technical assistance.