Six-year community effort transforms vacant lots into homeownership opportunities for working families

TOWNSEND, DE – July 17, 2025 – What began as a University of Delaware student project documenting neighborhood decline has culminated in the completion of the first new affordable home in Townsend’s historic “Old Town” in decades.

The three-bedroom, 2.5-bathroom home at 308 Gray Street represents the first of 12 affordable homes being developed by Interfaith Community Housing of Delaware (ICHDE) on formerly vacant and blighted properties. The project marks the largest affordable housing investment in Townsend’s Old Town in recent history.

“When I first took office, I walked Old Town with community members and we documented over 30 vacant or deteriorated properties,” said Councilman Carter. “This project is the direct result of listening to residents and working tirelessly for real solutions.”

The process wasn’t without obstacles. The project navigated outdated zoning regulations, extensive demolition needs, and significant turnover—four mayors, eleven council members, and five town managers—since its 2019 inception. Through it all, a core coalition of ICHDE, New Castle County, the Town of Townsend, and local advocates maintained momentum.

“We’ve seen how the right kind of development can breathe life back into a neighborhood,” said Carlton Bowers, ICHDE’s Housing Development Manager. “These homes will bring families into a community that’s been waiting for new life.”

The completed home features modern energy-efficient systems, accessible design elements, and quality construction that will serve families for generations. It will be sold to a qualified first-time homebuyer earning 80% or less of the area median income, with ICHDE providing comprehensive homeownership counseling through its HUD-certified program.

ICHDE acquired six blighted parcels in 2023 after participating in New Castle County housing needs hearings. ICHDE plans include subdividing some parcels to create an improved subdivision layout, ultimately developing 13 buildable lots. The project has received $2.6M in New Castle County Housing Trust Fund (HTF), HOME and CHDO Program funding in FY23 – FY26 for acquisition and development.

“HOME funding gives us the tools to tackle our housing crisis at the local level,” said New Castle County Executive Marcus Henry. “What we’re seeing in Townsend is exactly what these federal dollars are meant to accomplish—quality affordable homes that strengthen communities and give families a chance to build their future.”

Townsend Mayor Scott Lobdell, P.E., emphasized the project’s significance for the town’s future. “These homes restore the walkable, neighborhood character that made Old Town special and create homeownership opportunities for local working families.”

The remaining 12 homes are in various stages of construction, with completion expected over the next 18-24 months.

For ICHDE, the project represents the organization’s ongoing commitment to affordable housing development. The nonprofit has developed over 1,500 affordable housing units across Delaware since 1968, including recent projects in Milford, Claymont, and Wilmington.

“This project shows what’s possible when everyone stays committed to the same goal,” said ICHDE Executive Director Darlene Sample. “We are excited to see the difference these homes will make.”

Invitation to the ribbon cutting event. Click to open.

Media Contact: Catherine Davis, Resource Development and Marketing Manager Interfaith Community Housing of Delaware (302) 652-3991 or Email Catherine here

Event Details: Press Conference and Home Tour Friday, July 25, 2025, 11:00 AM 308 Gray Street, Townsend, DE. See the event in our online calendar here.

About Interfaith Community Housing of Delaware, Inc.:

Interfaith Community Housing of Delaware, Inc. (ICHDE), a chartered member of NeighborWorks America, works to revitalize neighborhoods by developing affordable housing, providing homeownership services for low- and moderate-income households, supporting resident leadership, and building community assets. As Delaware’s first certified NeighborWorks organization since 1999, ICHDE continues to create sustainable housing opportunities and empower residents across communities throughout the state. Learn more at https://ichde.org/.

About New Castle County HOME Program

Funded by the U.S. Department of Housing and Urban Development, the HOME Investment Partnerships Program provides formula grants to states and localities to fund a wide range of activities including building, buying, and rehabilitating affordable housing for rent or homeownership.