Why Permanent Supportive Housing Is More Important Than Ever

Affordability alone won't create a successful affordable development for some residents, writes Eva Thibaudeau-Graczyk of the NHP Foundation.

Eva Thibaudeau-Graczyk of the NHP Foundation
Eva Thibaudeau-Graczyk

For people with disabling conditions who are dependent on Supplemental Security Income to live, housing is simply unaffordable in most American metro areas.

Today, SSI disability payments are typically $967 per month across the U.S. and fair market rents (rents that are set as reasonable for each zip code in the U.S. annually) range from $1,200 per month for a studio apartment in Chicago to $2,100 per month in Washington, D.C.

Many Americans with disabilities are able to live independently if they have supportive services available to them but finding housing that is both affordable and service-enriched is often impossible. The lack of supported yet independent housing results in homelessness, over-institutionalization and negative impacts on families and communities.


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By definition, permanent supportive housing combines affordable housing with on-site support services tailored to meet the needs of individuals experiencing multiple barriers to stability, including former homelessness, physical and mental health diagnoses, co-occurring substance use issues and other challenges. Comprehensive on-site supportive services are key to helping residents achieve maximum stability by focusing on tenancy and community living skills, as well as connecting residents to community-based health care, food pantries, social networks and employment resources.

Going beyond the clinical definition, developments featuring PSH are often funded by multiple public and local entities and include one or more community partnerships. It is the delicate balance of those in need and those providing funding and services that is essential to successful PSH in affordable housing.

Local social service partners, experienced in working with unhoused populations, are instrumental in developing service programming and building layout. It is crucial to involve future residents in the design process, ensuring that developments reflect a respectful, community-focused environment.

An important component is offering residents positions on the supportive services team, such as serving a role similar to college RAs, helping maintain a caring, positive environment for their neighbors.

Here are some other crucial considerations when planning affordable housing that offers PSH.

Understanding the resident population

Developers must begin with a clear picture of the specific needs of the intended residents. Housing may look different for individuals who are moving from homelessness to housing vs. those exiting institutionalized care such as foster care. This means custom-designing housing and support services that address discrete resident needs.

Integrating supportive services

PSH combines housing with on-site or closely coordinated supportive services. Developers must establish partnerships with service providers and ensure the property is designed to facilitate these services—including elements such as private meeting rooms, office space for case managers and community gathering areas that can be used for education and recreation.

Bringing together the financing

Financing PSH often involves multiple sources, including low-income housing tax credits, federal and state grants, local housing funds and philanthropic contributions. Developers must carefully layer these funds, comply with numerous regulations, and create a viable long-term operating budget that includes service costs.  Service costs can be funded in myriad ways including direct HUD funding, dedicated local streams or property operating revenue.

Engaging the community and other stakeholders

Gaining the trust and support of the surrounding community is critical. Developers should proactively engage local residents, government officials and advocacy groups to address concerns and build strong relationships through community and one-on-one meetings, events, literature, media involvement if appropriate, and site visits that all support the long-term success of the project. Relations with the community and neighbors must be supported throughout the life of the project by hosting litter clean-up campaigns, joining civic associations and proactively addressing concerns as they arise.

Design considerations

The physical design of the building can greatly impact resident well-being and program success. Features such as trauma-informed design principles, accessible units, secure entries and shared spaces that foster community can all help create a supportive environment for tenants. Further, considerations such as treatment for bed bugs via a hot room and installation of flooring that is resilient and easy to clean can be beneficial for a population that often experiences daily struggles while living with multiple disabling conditions.

Operational sustainability

Beyond construction, developers need to ensure that the property remains financially stable and well managed over time. This includes planning for rental subsidies (as needed and available), maintenance costs, ensuring strong, PSH-experienced and trained property management and establishing systems for continuous coordination with service providers. 

Compliance and reporting

Developers must navigate complex compliance requirements for funding sources, fair housing laws and service delivery standards. Setting up robust tracking and reporting systems is essential to maintain funding and demonstrate program success.

By addressing these critical factors, affordable housing developers can create effective, sustainable permanent supportive housing that meets both the immediate and long-term needs of residents.

Eva Thibaudeau-Graczyk is Director of Supportive Housing at The NHP Foundation.