The state has spent or reserved a total of $192.5 million in tax credits for developers of more than 6,500 market-rate and luxury units in Gateway Cities through the Housing Development Incentive Program (HDIP). Despite the urgent need for affordable housing and as we face federal cutbacks and a challenging state fiscal outlook, the Commonwealth continues to award or reserve up to $30 million annually for HDIP projects. In 2024 and 2025 alone, $102 million was committed – none for affordable housing. The central question we raised in 2024 therefore remains: why is the state spending precious resources on high end housing? We urge the Administration and the Legislature to reform HDIP so that it includes a good share of housing for low-income residents. For further information, see the Massachusetts Law Reform Institute’s 2022 HDIP Report and the 2025 HDIP Update.
For more information – contact Judith Liben at jliben@mlri.org.