WARREN, Ohio – Mahoning Valley leaders welcomed an announcement late Friday afternoon that Youngstown and Warren were awarded more than $3.3 million in state funds to support the development of workforce housing in the two cities.
Youngstown will receive $2.5 million and Warren will get $851,000 from the Residential Economic Development District program, Gov. Mike DeWine and the Ohio Department of Development announced Friday. The state awarded more than $9 million in grants to support the creation of workforce housing in five communities.
“As our economy grows and more opportunities are created across the state, investing in workforce housing ensures that the people powering Ohio’s success can live and thrive in the communities they serve,” DeWine said in a news release announcing the grants. “The investments Ohio is making through the REDD program will help more hard-working families put down roots and build brighter futures.”
The REDD program was introduced by state Sen. Michele Reynolds in the state’s biennial budget bill, House Bill 96. The bill was signed into law last year.
“Ohio’s economic momentum is creating opportunities in communities all across our state. That growth brings the need for more housing to ensure people have a place to call home,” Lt. Gov. Jim Tressel said. “Programs like this help ensure our communities are prepared to meet the moment and create the housing needed to support this incredible growth.”
The REDD program provided up to $10 million in grants this fiscal year, followed by roughly $15 million in fiscal year 2027, to help communities expand housing opportunities close to major economic development projects. Both projects will support housing demand created by investments from Ultium Cells and other regional economic development projects, according to the state news release.
The grant to Youngstown will support the development of up to 220 workforce housing units through an infill housing initiative, collaboration between Youngstown, the Youngstown Neighborhood Development Corp., Mercy Health Youngstown and other community partners, according to the release.
“This is another example of community partners coming together to continue to grow our city,” Youngstown spokesman Andy Resnick said. “This specific grant leverages the investment being made in the development with funds that can be utilized for beautification efforts and infrastructure improvements that makes the project more affordable and attractive.”
The grant funds will make projects that are already underway or coming online more affordable because they can be used for “back-end stuff,” said DeMaine Kitchen, Youngstown’s director of community planning and economic development.
Funding will be used to improve roads, sidewalks, lighting and other public infrastructure, while also connecting new homes to existing water and sewer systems that will be built using other funding sources. Many of the homes will be built on vacant lots owned by the city and the Mahoning County Land Bank.
“This year alone, we’ll probably see about 300 new units coming online in terms of workforce, senior and single-family housing, so these funds can be used to improve the areas around all those structures,” Kitchen said.
Additionally, homebuyers will receive a 100%, 15-year property tax abatement and be eligible for down-payment assistance through the city’s At Home program.
Warren’s grant will support the Peninsula Project, which was announced in February 2025 to create 306 new housing units including apartments and townhomes. The funding will be used to modernize water and sewer main lines and upgrade surrounding public infrastructure, enabling higher-density development in the project area. The improvements are intended to support a mix of housing types, including units intended for essential workers earning at or below 80% of the Area Median Income.
The investment will help prepare the site for construction while advancing Warren’s broader strategy to increase housing availability through infrastructure upgrades and pro-housing policies, according to the release.
The funding provides “a huge shot in the arm” for the Peninsula development, Mayor Doug Franklin said. None of the vertical construction for the project can get underway until a plan is in place for the needed infrastructure, and he expects to go out for bid on the construction once the city receives additional details about the grant parameters.
“It’s essential that you have a dedicated funding source to do the water and sewer upgrades,” he said. “This grant gives us the ability to do all the necessary upgrades that are going to support over 300 new housing units, including townhomes and apartments.”
The announcement could not have come at a better time since the city is in the midst of constructing the pedestrian bridge that will connect the peninsula to the Perkins Park and Warren Community Amphitheatre area, he said.
Local governments located within 20 miles of a major economic development project were eligible to apply through the program for funding to expand housing-related infrastructure, strengthen public safety and community services or provide capital to support new housing development.
The Department of Development received 48 eligible applications for this round of funding, totaling nearly $99 million in requests. The three other communities awarded funds were the cities of Lancaster and Hamilton and the village of Antwerp.
“The overwhelming demand we’re seeing for this funding sends a clear message: Ohio’s communities believe in our economic momentum,” said Lydia Mihalik, director of the Ohio Department of Development. “Our local partners see the success stories taking shape in their backyards, and their response reflects a shared confidence in Ohio’s future and a relentless determination to ensure they’re part of it.”
Lyle Huffman, executive vice president of government affairs and community impact for the Youngstown/Warren Regional Chamber, hailed the announcement in a separate statement. As investments such as Ultium Cells’ Lordstown plant and the Kimberly-Clark Corp. plant now under construction near downtown Warren, not far from the Peninsula development, continue to reshape the Mahoning Valley, more housing is needed “to support a growing workforce,” he said.
The Regional Chamber advocated to keep the residential economic development funding program in the state budget and increase its funding because the resources “will help communities like Youngstown and Warren build the infrastructure needed to support new housing, expand housing opportunities and build on this momentum,” he added.