Greenwich's Affordable Housing Trust Fund has committed $400,000 in low-interest loans to five projects that would collectively add 132 affordable units, according to the town's FAQ page on the fund.

The commitments represent about 73% of the fund's available money as of June 30, 2025. None of the loans had closed by that date. Three additional commitments totaling $200,000 were rescinded at the applicants' request.

The trust fund, created in 2022, is one of several tools Greenwich uses to expand housing options for residents who earn too much for traditional public housing but cannot afford market-rate rents in town. Eligible households for units in trust-fund-assisted projects can earn up to 80% of Area Median Income ($156,800 as of April 1, 2026) or 150% of State Median Income ($194,250), whichever is greater. Rents on deed-restricted affordable units cannot exceed 30% of the relevant income level, and the restrictions last at least 40 years.

The fund's stated goals, according to the FAQ, include encouraging projects that fit neighborhood scale, increasing the share of affordable units in developments and promoting geographic distribution of affordable housing across town.

Where Greenwich stands

About 5.93% of Greenwich's housing stock, roughly 1,523 units, qualifies as affordable under state guidelines as of 2025. Connecticut's 8-30g statute, enacted in 1989, applies to municipalities where less than 10% of housing meets the state's affordable threshold. Greenwich would need approximately 1,140 additional qualifying units to reach that mark.

Under 8-30g, developers who designate at least 30% of a project's units as affordable may seek approval for projects that do not conform to local zoning requirements on building size, lot placement and parking. The local Planning & Zoning Commission can deny such an application if the record shows significant health or safety concerns that outweigh the need for affordable housing and those concerns cannot be addressed through modifications. If an application is denied or conditioned, the developer has a right to appeal.

The town's FAQ states Greenwich "is unlikely to meet the 10% requirement in the foreseeable future." As of September 2024, 28 of Connecticut's 169 municipalities had reached the threshold.

How the fund operates

The trust fund provides low-interest loans of $50,000 to $100,000 per project to developers who agree to adjust project features. Those adjustments can include reducing building size to align more closely with local zoning, increasing the number of affordable units, or both. A reduction in total units, however, can also mean fewer homes overall, including fewer affordable ones, depending on the project.

The fund was allocated $550,000 from federal American Rescue Plan Act (ARPA) money for fiscal year 2025–2026, subject to spending deadlines. Private donations have totaled $35,650. The AHT board and advisory council are exploring additional funding sources, according to the FAQ. Other Connecticut municipalities fund housing trusts through building permit surcharges or development fees.

Projects in progress

The first project to receive trust fund assistance is Benedict Court, a 120-unit building at 19 Benedict Place in downtown Greenwich. Of those units, 48 will be designated affordable, targeted to moderate-income households. The trust fund issued a $100,000 subordinate loan to the developers, as first reported by Patch. Officials broke ground on the six-story building on Sept. 18.

Bill Finger, the trust fund's co-chair, said at the groundbreaking that the rental structure would expand eligibility to households including town employees, public safety workers and teachers. "We hope this is the model for things moving forward with the town, planning & zoning, and the affordable housing trust," Finger said at the ceremony, according to Patch.

In Byram, a proposal to redevelop Putnam Green would replace 66 existing apartments with a six-story, 176-unit building including 53 affordable units under 8-30g. That project remains in the pre-application stage and would require review related to zoning, wetlands, traffic and sewer capacity. The applicant has indicated that discussions with the trust fund could result in a smaller development of about 120 units, the Greenwich Sentinel reported. A smaller project would also reduce the total number of new homes and could change the count of affordable units.

First Selectman Fred Camillo said at the Benedict Court groundbreaking in September that the town had increased its affordable housing share from 5.2% to 6% in recent years, as reported by CT Public.

What's next

Any public funding for the trust fund must be approved by the Board of Selectmen, the Board of Estimate and Taxation (BET) and the Representative Town Meeting (RTM). The RTM must also approve any single commitment exceeding $500,000.

The AHT board and advisory council meet next on Wednesday, Oct. 21. All meetings are public, with agendas published in advance.