A partially affordable housing complex for seniors in Ruby Hill may be renovated and converted to 100% affordable, if Denver City Council approves a proposed loan agreement for the project.
The Safety and Housing Committee passed a proposed $10 million loan agreement this week that would assist in the acquisition of Columbine Towers, a housing complex that is currently partially affordable for residents 55 and older and some with disabilities.
The agreement between the Department of Housing Stability and Columbine Towers Owner LLC or Ulysses Development Group, would assist the group with purchasing the property at 1750 S. Federal Boulevard. City Council could vote on the loan agreement in March.
Ulysses also plans to renovate the building and units, putting in new appliances, new sidewalks and roofing, building entrance enhancements and other safety measures.
The 170-unit building, is currently partially affordable through a U.S. Department of Housing and Urban Development contract that provides Section 8 vouchers.
Twenty-one of the units are market-rate.
The HUD contract would remain in place and with the proposed HOST contract, and all of the units would be converted to affordable ones.
About 43 units will be for those making 30% of the area median income; 106 units are available at 50% AMI and the 21 units that were market-rate would be available for those making 80% AMI.
The units are a mix of studios, one-bedrooms and one two-bedroom. For a family of two, the income range could be between $29,790 and $79,440.
Through the proposed contract, a rental and occupancy covenant will be placed on the units, keeping them affordable for a minimum of 60 years.
The contract is part of HOST's five-year goal to not only add affordable housing units to the market but preserve them as well.
"Preservation is huge for us, making sure that buildings that are naturally occurring affordable housing remain affordable through deed restriction," said Justin Hill, a Housing Development Officer with HOST. "Properties that have income restrictions currently tied to them, we find those and preserve them. Currently, I think the city has efforts of about 499 unit projects that we've invested funds in over the years and this will add another 170 units."
