Two Groundbreaking Affordable Rental Projects Set to Add 500+ Subsidized Housing Units

City and state leaders, alongside developers, initiated the groundbreaking of two significant affordable housing projects in Maricopa today. These developments, Ironwood Ranch and The Ranches at Gunsmoke, aim to add over 500 homes to the community.

Billed as a “significant milestone” in addressing Arizona’s housing affordability crisis, the projects will provide essential housing options for working families. Today’s ceremony took place at Honeycutt and Gunsmoke Roads, led by Lincoln Avenue Communities, based in Santa Monica, California. The two developments will encompass a 40-acre site, featuring 252 units in Ironwood Ranch and 271 in The Ranches.

Ironwood Ranch will operate as a traditional affordable apartment community, while The Ranches at Gunsmoke will be recognized as a historic first: the nation’s initial large-scale, affordable, single-family “build-to-rent” community utilizing 4% Low-Income Housing Tax Credits.

Ben Taylor, Lincoln Avenue’s Mountain West development lead, emphasized the project’s innovative approach to affordable housing, stating, “This is a completely new product type that addresses a critical gap we’ve long seen in the market.” These tax credits enforce a 30-year limit on market-rate pricing, ensuring long-term affordability through a Land Use Restriction Agreement.

The developments will cater to families earning up to 60% of the area median income. Two-bedroom units are expected to rent for around $1,500 per month, with three-bedroom homes priced at $1,750, and four-bedroom units at $1,950—all including utilities. Matt Klein, project lead at Lincoln Avenue, noted that current median home prices in Maricopa reach approximately $360,000, making these new homes an attractive option for families looking to reside and work in the area.

To support these initiatives, the Arizona Department of Housing (ADOH) facilitated financial assistance. Ironwood Ranch received a $2 million loan from the Housing Trust Fund, while Gunsmoke Ranch utilized special tax-free bonds and tax credits tailored for affordable housing.

ADOH will monitor both developments from construction to completion, ensuring they meet ongoing performance standards for long-term success. Carson Folk, ADOH Rental Development Program Manager, commented, “We’re addressing Arizona’s housing challenges one project at a time.”

Additionally, Minnesota-based developer Dominium recently broke ground on Saddleback Village at Stonegate, another affordable housing project in the area. This development, supported by $46.3 million in Low-Income Housing Tax Credits, will include 215 gated community units set to open in November 2026.

At Gunsmoke Ranch, future residents will enjoy private backyards, offering a “true single-family experience.” Ironwood Ranch, located near Maricopa City Hall, will feature amenities such as a clubhouse, fitness center, and solar-powered carports that can reduce electricity use by up to 60%.

Funding for these $250 million projects came from various public and private sources, including Citibank for construction and permanent financing. Maricopa, one of the nation’s fastest-growing communities, has seen a 26% population increase from 2018 to 2023, significantly outpacing state averages.

Mayor Nancy Smith emphasized the necessity of these projects, stating, “Employees and families need to live in the city they serve.” She recalled a recent classroom visit, where a student highlighted rising costs, underscoring the urgency of the housing crisis.

Construction is underway at Ironwood Ranch, with pre-leasing expected to commence later this year, allowing residents to move in by October. Gunsmoke Ranch will follow closely behind. Klein concluded, “Our goal is to make these communities indistinguishable from any Class A market-rate property, combining affordability with beauty and sustainability.”