Construction of Carson City's new 160-unit affordable workforce housing project could begin in March
Submitted by Kelsey Penrose on Thu, 11/04/2021 - 10:26am
Dan Stucky, Deputy Public Works Director, gave an update regarding Carson City’s affordable and workforce housing project known as Sierra Flats during Thursday’s Board of Supervisors meeting. The project would create 160 units specifically for those with lower incomes.
Since the project last came before the Carson City board 18 months ago in April, the development team has been able to secure federal funds and grants after overcoming numerous hurdles.
According to PalaSeek LLP, who is heading the project, there were several issues that stalled work on the affordable housing project, including COVID-19, one of the largest lumber mills on the West Coast burning down in Oregon that led to a huge price increase in lumber, as well as Trump-era tax cuts.
“We pulled back as we had to do,” said Mike Schneider of Palaseek. “We watched as the big fire hit Oregon and the largest lumber mill on the west coast went down and we saw the price of lumber escalate.”
“We watched the Trump tax cuts and you think ‘well, tax cuts are good,’ except when you’re in this business, because now there isn’t enough money that the federal government can spread out for affordable housing across the nation,” Schneider continued.
Now, however, the project team of Palaseek has overcome multiple hurdles to be able to move forward with bringing affordable housing to Carson City, and have partnered with a local non-profit.
Michael Snodgrass of Oikos Development Corporation represented that non-profit arm of the project, and has been developing affordable housing for over 30 years.
“We go where the need is,” said Snodgrass, “and right now it seems the need is everywhere; that’s how we got to Carson City.”
According to Snodgrass, the project was awarded multiple funding avenues that will help to fund 40 senior units and 120 family units.
Eighty of the units could start construction as soon as March, with the remainder 80 units potentially beginning in August dependent upon additional funding.
The Senior Housing of Sierra Flats includes 32, 1-bedroom units and eight, 2-bedroom units.
For family units there are 28, 1-bedroom units and 12, 2-bedroom units in the first 40-unit phase of the project.
For an individual or household with an income of approximately $29,000 per year, rent would cost between $450 to $750 for a 1-bedroom unit, which would increase as income increases according to projections.
For a 2-bedroom unit, individuals or households earning $35,550 per year would spend between $533 to $1,023 on rent per month.
Sierra Flats will be built on Butti Way across 6.31 acres of city-owned real property. The entire project is estimated at completion by Nov. 2024.
This is the first of multiple meetings the project leaders will attend regarding Sierra Flats as the project continues.
To learn more about the Sierra Flats Affordable Housing project, click here.
