Oklahoma’s affordable housing investments generate substantial economic returns in jobs, labor income, and tax revenue. This publication presents original estimates of the economic and fiscal impacts of 45 affordable multifamily housing projects completed in Oklahoma between 2019 and 2023, all financed through the Low-Income Housing Tax Credit (LIHTC) program. Readers will find concrete data on job creation, economic output, and tax revenues, both during construction and over 10 years of property operations.

Why This Matters

Oklahoma faces persistent housing affordability challenges, with rents and home prices rising faster than wages and too few units available to households with low incomes. State and local policymakers deciding how to allocate scarce resources need to understand both the social benefits and economic returns of affordable housing investment. This research is particularly relevant for state legislators, housing finance agencies, local budget planners, and economic development officials who shape housing and investment policy in Oklahoma and beyond.

What We Found

We looked at 45 LIHTC-financed projects completed in Oklahoma between 2019 and 2023, comprising 2,667 housing units and representing $295 million in combined federal and state tax credit equity. We found that these projects are generating significant economic and fiscal benefits for the state, including the following estimated impacts:

• Construction supported 4,043 job-years statewide, including direct, indirect, and induced employment. This is comparable to the projected job impact of the Inola aluminum plant, which is expected to be the largest primary aluminum production facility built in the United States.
• Total economic output reached nearly $814 million during construction and could reach more than $186 million over 10 years of operations, together exceeding $1 billion.
• Tax revenues could exceed $126 million across construction and 10 years of operations. For every dollar of tax credit equity invested, we estimate the projects will return approximately $0.43 in tax revenues, with roughly 79 percent of operational-phase revenues remaining at the state and local levels.
• Each dollar of tax credit equity is associated with $3.40 in total economic output, $1.95 in added value to Oklahoma’s economy, and $1.00 in labor income. 

Metropolitan projects in the Oklahoma City and Tulsa areas are generating somewhat higher economic returns per dollar invested than nonmetropolitan projects, partly reflecting larger and more diversified local supply chains. However, affordable housing investment generates meaningful economic activity across all geographies. When compared with other types of publicly supported infrastructure in Oklahoma, including a major bridge replacement and a rail corridor improvement, affordable housing construction is expected to produce higher economic output, added value, labor income, and tax revenue per dollar spent.

How We Did It

We collected project-level data from the Oklahoma Housing Finance Agency on 45 multifamily LIHTC projects completed between 2019 and 2023, including unit counts, total development costs, eligible basis, and financing type. We used IMPLAN, a standard input-output modeling tool, to estimate economic impacts during construction and 10 years of operations. We derived property tax estimates from local tax assessor records and supplemented these with average effective tax rates where data were unavailable. All figures are reported in 2024 dollars.