2 affordable rental developments break ground, adding over 500 subsidized housing units

City and state leaders joined developers today to break ground and tour two major affordable housing developments in Maricopa. Together, these new communities will bring more than 500 new homes to Maricopa.

Ironwood Ranch and The Ranches at Gunsmoke are billed as a “significant milestone” in Arizona’s response to the housing affordability crisis.

Developers with Santa Monica, Calif.-based Lincoln Avenue Communities held a ceremonial groundbreaking this morning at Honeycutt and Gunsmoke Roads. The two developments being built there will provide 523 homes across a combined 40-acre site — 252 units at Ironwood and 271 at The Ranches.

While Ironwood Ranch is a traditional affordable apartment community, The Ranches at Gunsmoke is being hailed as a historic first: the nation’s first large-scale, affordable, single-family “build-to-rent” community using 4% Low-Income Housing Tax Credits.

“This is not just another housing development,” said Ben Taylor, Lincoln Avenue’s Mountain West development lead. “This is a completely new product type in affordable housing that addresses a critical gap we’ve long seen in the market.”

Those tax credits mean developers can’t charge the market rate for at least 30 years. Affordability is enforced through a Land Use Restriction Agreement recorded with the property, a legal tool that ensures long-term affordability for residents well beyond the initial compliance period.

The developments will be available for working families earning up to 60% of the area median income. Two-bedroom homes will rent for around $1,500 per month, with three-bedroom units priced around $1,750 and four-bedroom homes at $1,950. That includes utilities.

“The current median home prices in Maricopa hover around $360,000, with monthly mortgage payments nearing $2,700,” said Matt Klein, project lead at Lincoln Avenue. “Our homes offer a safe, high-quality, and affordable option for families who want to live and work in this city.”

The Arizona Department of Housing gave financial help to support two housing projects. Ironwood Ranch got a $2 million loan from the state’s Housing Trust Fund, which helps pay for affordable housing. Gunsmoke Ranch was made possible by using special tax-free bonds and qualified for a type of tax credit meant to support affordable housing. These tax credits were awarded based on rules in a guide that Arizona publishes every two years for developers looking to build low-income housing.

In exchange for these tax credits, ADOH monitors Gunsmoke Ranch and Ironwood Ranch from construction to completion. As part of the agreement with the state, developers have several ongoing performance requirements, meant to ensure “long-term success.”

“This project is a shining example of how the State Housing Trust Fund is being put to work,” said ADOH Rental Development Program Manager Carson Folk at today’s ceremony. “We’re addressing Arizona’s housing challenges one project at a time.”

This isn’t the only project in town receiving these affordability grants. On Monday, Minnesota affordable housing developer Dominium broke ground on Saddleback Village at Stonegate. The ADOH gave $46.3 million in Low-Income Housing Tax Credits to support the development of those 215 gated community units, which will serve low-to-middle income residents.

Saddleback Village is slated to open in November 2026.

At Gunsmoke Ranch, each unit will include private backyards and lawn maintenance. Developers boasted a “true single-family experience,” meaning no upstairs or downstairs neighbors.

Over at Ironwood Ranch, next to Maricopa City Hall, the traditional apartments boast a clubhouse, fitness center, yoga studio, pool, community garden and dog run. Both sites will feature solar-powered carports that offset up to 60% of electricity use.

“These homes don’t feel like apartments. They feel like a place where families can put down roots,” said Taylor. “We expect longer-term resident retention and stronger community ties.”

Funding for the $250 million projects came from a wide range of public and private sources, including Citibank, which provided construction and permanent financing, and ADOH, which played a central role in funding allocation and compliance oversight.

Maricopa is one of the nation’s fastest growing communities, with an estimated 26% population increase from 2018 to 2023, far outpacing the state average. With new schools and businesses coming to town, city leaders say housing is now the most urgent need.

“These employees and families, teachers, police officers, restaurant workers, need to be able to live in the city they serve,” said Mayor Nancy Smith. “That’s what this project delivers.”

Smith recalled visiting a third-grade classroom recently, where a student asked if she was in charge of the price of Bullet Popsicles in the ice cream truck, which had recently increased to $4.

“If a third grader can see the effects of rising prices, it’s clear we need to act,” Smith said. “This development is a critical step forward.”

Crews donned hard hats and toured Ironwood Ranch, where stucco is already being applied to frames. They toured the community rooms, some of the first buildings to be completed. Pre-leasing is expected to begin later this year, with the first residents moving in as soon as October.

Gunsmoke Ranch will follow closely behind, said Klein. 

“Our goal is to make these communities indistinguishable from any Class A market-rate property,” said Klein. “They’re affordable, yes, but they’re also beautiful and sustainable.”

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