PHOENIX — Ulysses Development Group (UDG) has broken ground on Salt River Flats 2, a 168-unit affordable housing community located at 4027 S. 13th St. in Phoenix. The project will offer apartments to families and individuals earning up to 60 percent of area median income. Salt River Flats 2 is adjacent to Denver-based UDG’s first project in Arizona, Salt River Flats, which includes 196 multifamily units and opened in the spring of 2024.
Funding was secured through a variety of sources, including the Arizona Industrial Development Authority, which provided $34.5 million in tax-exempt bonds and the Arizona Department of Housing, which provided $23.5 million in annual federal low-income housing tax credits that were purchased by US Bank. US Bank also provided $700,000 in solar investment tax credits. Lastly, Merchants Capital provided approximately $75 million in the form of a tax-exempt loan, further taxable bridge loan debt and permanent debt.
The property will offer amenities such as a barbecue and outdoor gathering area, a pool, playground and a community room with a kitchenette and business center. Completion is slated for 2028.