Vecino Group Proposes 65-Unit Affordable Housing in Waco

The four-story development would sit on an empty lot near the Waco ISD Transportation Center.

Updated on Nov. 11, 2026 in Financial Planning

Photograph of a cleared urban lot with pale clay soil, a timber foundation outline, and a four-story residential framework rising in the distance under a clear sky. — The Vecino Group has proposed a 65-unit, $20 million affordable housing development at 2001 South 18th Street in Waco, scaled down from earlier plans. AI Illustration. Upload story photo >

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The Vecino Group has proposed a 65-apartment affordable housing development at 2001 South 18th St. in Waco. The project is expected to cost about $20 million and would include one- and two-bedroom units.

Why it matters

The project was scaled down from an earlier plan of about 100 to 120 units because of rising costs and changing tax-credit values. Friends for Life, which serves seniors and people with disabilities, has long struggled to find safe, affordable housing for its clients, and will provide on-site support services at the development.

The proposal calls for 65 units, down from about 100 to 120 in the original tax-credit plan, at an estimated cost of $20 million. Financing has not yet closed, and the developer hopes to finish financing in 2027.

The players

Vecino Group

The Vecino Group is a developer of affordable housing that is designing the proposed Waco project.

Friends for Life

Friends for Life is a Waco-area organization that works with seniors and people with disabilities, helping clients build daily living skills and reach places such as the grocery store.

The details

The four-story building, designed by the Vecino Group, would include a learning center, community room, garden and sports court. The Cesar Chavez neighborhood organization has supported the project.

Financing close is hoped for in 2027.
Construction is estimated to take about 18 months.
First residents are expected to move in by the end of 2028.

Market Dynamics

The project's shrinkage from about 100 to 120 units to 65 units illustrates how rising construction costs and shifting tax-credit values have reduced affordable housing output in Waco. The reduction follows the financing pressures that have affected similar developments in the city.

For Waco residents seeking affordable rentals, the project would add 65 apartments once financing closes and construction finishes. Renters should expect the units to be available no earlier than the end of 2028, based on the current timeline.

The takeaway

Projects like this one show how construction costs and tax-credit changes can shrink affordable housing plans before they are built. Households tracking local rental supply should watch whether financing closes on schedule in 2027.