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Salem to spend $9 million in federal funds on affordable housing

Salem is investing new federal funds to expand affordable housing opportunities in the city.

Mayor Kim Driscoll announced that $9.07 million of Salem’s initial allotment of American Rescue Plan Act funds will go toward several housing initiatives.

“For many Salem residents, the last few years of this pandemic have resulted in greater levels of housing insecurity,” Driscoll said. “This, combined with the rapid increase in home values and rents, has only exacerbated the need for real action on housing and affordability.”

The new investment includes $5 million in grants to support affordable housing construction; $1 million in grants to help homeowners create accessory dwelling units; $1 million for energy efficiency projects at affordable housing buildings; and $1 million for the city’s Affordable Housing Trust Fund.


Salem also is spending $500,000 for grants to expand digital access in low-income housing properties; $100,000 to help the housing trust purchase the right-of-first-refusal on properties with existing or potential affordable units; and $470,00 to strengthen existing housing programs.

John Laidler can be reached at laidler@globe.com.