Santa Fe officials outline next steps for proposed donation of Las Estrellas Tract 6A for affordable housing

Interim Office of Affordable Housing Director Johanna Nelson told the governing body on Aug. 13 that the city is seeking to donate Tract 6A in Las Estrellas to a selected development partner to deliver permanently income‑restricted housing. The city acquired the Las Estrellas property in 2019 and the governing body adopted a January 2023 resolution directing staff to pursue sale or donation of Tract 6A for affordable housing, Nelson said.

Nelson said the city ran a public RFQ; two proposals were received and a proposer was selected. The draft donation agreement negotiated with the selected respondent would require a minimum of 40% of homes to be income‑restricted for low‑ to moderate‑income households and a 45‑year affordability restriction, Nelson said. She described the current process as two phases: (1) disposition consideration — whether to approve the donation agreement — and (2) development planning and land‑use approvals if the donation…