Sacra­mento plans to is­sue up to $25M in bonds to rehab low-in­come units

The Sacramento Bee - - Local - BY THERESA CLIFT [email protected]

The Sacra­mento Hous­ing and Re­de­vel­op­ment Agency plans to is­sue up to $25 mil­lion in tax-ex­empt mort­gage rev­enue bonds to finance the ren­o­va­tion of 74 low-in­come hous­ing units in south Sacra­mento. The fi­nanc­ing does not in­clude the ad­di­tion of any new af­ford­able hous­ing units.

The loan will en­sure the com­plex con­tin­ues hous­ing low-in­come res­i­dents for at least 55 more years, SHRA of­fi­cials said.

“It’s very im­por­tant we pre­serve our af­ford­able hous­ing stock, or we could lose it,” said Chris­tine We­ichert, SHRA as­sis­tant di­rec­tor.

The com­plex, Cas­cade Vil­lage Apart­ments, serves res­i­dents in the U.S. Hous­ing and Ur­ban De­vel­op­ment’s Hous­ing Choice Voucher Pro­gram, for­merly known as Sec­tion

8. Voucher hold­ers who meet in­come re­quire­ments are re­quired to pay

30 per­cent of their in­come to­ward rent, while HUD pays the rest.

The $28 mil­lion ren­o­va­tion project to the com­plex, near the cor­ner of Fruitridge and Power Inn roads, will in­clude HVAC re­place­ments; elec­tri­cal up­grades; new bath­rooms, kitchens and ap­pli­ances; new floor­ing and paint; and ADA ac­ces­si­bil­ity.

The apart­ment com­plex, built in 1964, cur­rently has no ADA ac­com­mo­da­tions, We­ichert said.

The City Coun­cil ap­proved the bonds Tues­day, but the fi­nanc­ing still re­quires state agency ap­provals, fol­lowed by an­other City Coun­cil ap­proval be­fore the rehab work can be­gin this sum­mer, We­ichert said.

The de­vel­oper will make the loan pay­ments, We­ichert said.

Wal­nut Creek-based Bayside Com­mu­ni­ties is the de­vel­oper and prop­erty owner for the project, a city staff re­port said.

Res­i­dents will re­ceive stipends for food and lodg­ing for sev­eral weeks while the work is on­go­ing, then move back in to their units, We­ichert said.

The city has a se­ri­ous short­age of hous­ing for res­i­dents who can­not af­ford mar­ket rate rent, hous­ing ad­vo­cates say.

Last year, nearly 43,000 peo­ple ap­plied to join an SHRA wait­ing list for 7,000 slots in the Hous­ing Choice Voucher Pro­gram, which ac­tivists said il­lus­trated the city’s af­ford­able hous­ing short­age.

The SHRA has fo­cused on re­hab­bing ex­ist­ing af­ford­able units rather

than cre­at­ing new ones, LaShelle Dozier, head of SHRA, told The Bee in July.

Sim­i­lar to Cas­cade Vil­lage, the author­ity is is­su­ing $35 mil­lion in bonds to a pri­vate de­vel­oper to rehab a 187-unit se­nior hous­ing fa­cil­ity at 4th and J streets called Im­pe­rial Tower. The City Coun­cil ap­proved the project last year.

The SHRA is plan­ning sev­eral projects that cre­ate new units as well, said We­ichert, in­clud­ing a project to build a 159-unit apart­ment com­plex on an empty S Street lot be­tween 17th and 18th streets. SHRA is pro­vid­ing a $3.3 mil­lion loan to com­plete fi­nanc­ing for that project. The City Coun­cil ap­proved the project in Oc­to­ber.

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