Henderson just landed a $1.5 million boost to keep Heritage Towers affordable, giving the 75-unit rental complex a fresh shot of stability as housing costs keep climbing. The money comes through the Federal Home Loan Bank of Cincinnati’s 2025 Affordable Housing Program and is earmarked to preserve or expand income-restricted rentals for lower-income residents.
Local Award Came Through Cincinnati Bank Program
As listed by the Federal Home Loan Bank of Cincinnati, Heritage Towers in Henderson received a $1.5 million Affordable Housing Program subsidy. The complex is one of 56 projects sharing in nearly $51.9 million in 2025 awards that are expected to support about 2,990 income-restricted units across Kentucky, Ohio, and Tennessee.
How The Program Works
According to PR Newswire, the Affordable Housing Program provides competitive subsidies to member banks and sponsoring organizations that develop or preserve both owner-occupied and rental housing for households at or below 80 percent of the local area median income. For this cycle, FHLB Cincinnati added an extra $4.3 million in voluntary contributions and created a separate pool of voluntary funding aimed at mortgage relief, CDFI lending, and emergency rehabilitation work.
Reaction From The Bank
Damon Allen, senior vice president at FHLB Cincinnati, told WBBJ that “there’s just not enough affordable housing.” He described Heritage Towers as a lower-moderate-income rental project and said the subsidy is intended to help keep those units affordable as costs rise.
Where Heritage Towers Fits Locally
HUD property records compiled by local listings show Heritage Towers is a 75-unit HUD-subsidized building in downtown Henderson at 310 E University St that primarily serves one-bedroom senior units. The AHP awards information also lists KeyBank as the member bank and ReBuild America, Inc. as the project sponsor for the Heritage Towers funding, according to HUD data compiled by AffordableHousing411.
The AHP listing indicates the subsidy will be folded into the project’s financing through the member bank and sponsor; similar awards are typically used to close financing gaps, preserve existing affordability, or support rehabilitation. Local advocates say the infusion should help protect units that would otherwise be vulnerable to rising rents in the region.
