Since his historic 2015 purchase of 330 acres of Fort McPherson (former army base), Tyler Perry has proven that he is bigger than Hollywood; he is a name to be reckoned with in the Atlanta real estate game.
Known for breaking barriers, Perry continued his legacy of leadership in June of 2021 when he threw his hat into the ring in the Atlanta affordable housing market. Perry, along with megachurch leader Bishop T.D. Jakes purchased additional acreage at historic Fort McPherson. The two plan to use the land to develop affordable housing for the residents of Atlanta. Perry purchased 37 acres and Jakes purchased 94 acres to be used for separate but adjacent real estate projects. Their purchases are good not only for the city of Atlanta but for the entire country.
The need for affordable housing
This purchase is extremely notable given the climate of the housing market. Research reveals a tremendous need for affordable housing. The National Low Income Housing Coalition states that "nationally, there is a shortage of more than 7 million affordable homes for our nation's 11 million-plus extremely low-income families."
This is an urban problem that Perry is tackling head-on with this 32-acre purchase. His expansion of affordable housing in Atlanta is consistent with the Biden administration's plan to invest $318 billion dollars in affordable housing. So it seems that Perry and Jakes are well ahead of the curve, as their project will not only create affordable homes but also lead to job growth.
The development Perry plans to create along with Jakes will also feature a new entertainment district, including theaters, retail shops, and restaurants. As you can see, Tyler Perry has proven yet again that he is way ahead of his time.
How investors benefit from affordable housing
Investing in affordable housing is not only great for residents and the local economy, but it also presents a huge opportunity for investors. While the opportunities vary depending on the location and type of project, investors generally enjoy tax credits, fewer evictions to deal with, and opportunities to make a positive impact on their communities.
Maybe you're not able to make a purchase of 37 acres as an investor, but you may still want to consider following Tyler Perry's lead and jumping into the affordable housing market as your next big investment move. Developing housing not only benefits residents but also has a huge positive impact on the economy. According to the National Low Income Housing Coalition, "Building 100 affordable rental homes generates $11.7 million in local income, $2.2 million in taxes and other revenue for local governments, and 161 local jobs in the first year alone."
Those are some huge numbers to keep in mind if you'd like to help tackle the affordable housing issue as an investor.