"The Twin Cities has had one of the most ambitious -- and successful – affordable housing programs in the country," says Rip Rapson, president of The McKnightFoundation.

Still, advocates point out there needs to be more done in this area. A September study by the Family Housing Fund concluded that $1.5 billion was needed over the next five years to address the metro area's affordable housing gap. Over the next five years, 31,700 newaffordable housing units for people making $15,000 to $50,000 annually must be built to satisfy demand, meet new housing needs and create a healthy vacancy rate, according to the Family Housing Fund study.

The Family Housing Fund will use 90% of the McKnight grant to produce affordable rental units in apartments and townhouses, help low- and moderate-income families buy homes, renovate existing affordable housing and create supportive housing units for people who need social services along with housing. The rest of the grant will be used for the group's research and operating costs.