Two New Affordable Communities Break Ground in Dove Springs: Sycamores at Pleasant Valley and Willows Crossing
We are excited to announce the groundbreaking for Sycamores at Pleasant Valley and Willows Crossing, two new affordable housing communities that will bring more than 100 new income-restricted homes to Southeast Austin’s Dove Springs neighborhood in District 2.
The communities were developed together to create a continuum of affordable housing options—from rental to homeownership—within one neighborhood. Both developments will follow the City’s Preference Policy and will be affirmatively marketed to households with historic or generational ties to the city, as well as families displaced from the area due to natural disasters or government actions.
Both developments began as AHFC land acquisitions in 2021. AHFC identified these previously undeveloped properties as sites for future affordable housing development given their proximity to multiple community resources (including stops on CapMetro’s new 800 MetroRapid line, Mendez Middle School, the Southeast Branch of the Austin Public Library, George Morales Dove Springs Recreation Center, Dove Springs District Park, and Dove Springs Public Health Facility) and alignment with goals in the Strategic Housing Blueprint, including expanding affordable housing options across the City. Following community engagement and competitive solicitations, the AHFC board awarded both development opportunities in 2023.
Sycamores at Pleasant Valley
Located at 5900 S. Pleasant Valley Road, Sycamores at Pleasant Valley will provide 75 affordable and mixed-income apartments ensuring working families have access to stable, high-quality housing near high-frequency transit, schools, and essential community resources. Nineteen units will be reserved for households at or below 40% area median family income (AMFI), and 56 will be reserved for households at or below 50% AMFI.
The development received $8.95 million in General Obligation (GO) Bonds through AHFC’s Rental Housing Development Assistance (RHDA) program. These local investments leverage other sources of financing, including $750,000 from the St. David’s Foundation Housing + Health Grant, Private Activity Bonds issued by AHFC, 4% Low-Income Housing Tax Credits (LIHTC) allocated by the Texas Department of Housing and Community Affairs (TDHCA) and invested by Red Stone, a construction loan from Amegy Bank and deferred developer fee. Estimated construction costs are approximately $26 million.
Willows Crossing
Just east of Sycamores at Pleasant Valley, Willows Crossing will add 38 affordable homes through Austin’s Community Land Trust (CLT), ensuring affordability for at least 99 years.
The community, located at 5901 Drowsy Willow Trail, will consist of a mix of one- and two-bedroom condos as well as 14 townhomes. Ten units will be available for households at or below 60% of the Median Family Income (MFI) and 28 units available for households at or below 80% MFI. Units include townhouses and stacked fourplexes, with 12 units having no stairs to better accommodate households with mobility challenges.
Funding sources include $7.75 million from AHFC’s Ownership Housing Development Assistance (OHDA) Program, funded by 2022 General Obligation Bonds ($4.76 million) and 2022 General Obligation Bonds – Acquisition and Development ($2.99 million) and a construction loan from American Bank. Estimated construction costs are $11 million.
| 
