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Council denies Community of Hope HOME request for seniors, asks staff to resolicit

3196213 · April 3, 2025
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Summary

Council voted 5-0 to deny a single HOME program application for rehabilitation of three one‑bedroom senior units at 1975 Palm Bay Road after staff raised concerns about zoning, change of use and proximity to an area with higher crime; council asked staff to resolicit other projects.

Palm Bay City Council denied a HOME Program funding application from Community of Hope for rehabilitation of commercial suites at 1975 Palm Bay Road that the nonprofit proposed to convert to three one‑bedroom units for seniors. The denial was unanimous, 5-0.

Why it mattered: The HOME allocation is housing‑specific federal funding that must be used for eligible projects meeting HOME rules. Staff flagged two key complications in the application: the building is currently zoned commercial and a change of use to residential could trigger additional code and permit requirements; and the proposed project would not meet the minimum residential‑percentage threshold under the Live Local Act cited in the application (staff said the project would not reach the 65% residential threshold). Staff and some council members also expressed concern about the site’s immediate vicinity, and staff recommended resoliciting other proposals.

What the applicant requested: Community of Hope sought the city’s current HOME allocation (staff used the current-year number pending final notification of next-year funding) for mostly rehabilitation work at an existing property the organization owns and operates as offices and a thrift store. The application requested $170,425.62 (the maximum available given the published allocation) toward a larger rehab cost estimated at approximately $294,705 in Community of Hope’s application.

Council action: After applicant remarks and council questions about location, crowding and readiness to meet land‑use requirements, the council voted 5-0 to deny the award and directed staff to resolicit other proposals and return to the council by the next action-plan hearing cycle if other viable projects are received.

Ending: Staff said they will circulate a new request and attempt to assemble alternative applications that better meet HOME rules or have fewer land‑use constraints before the final action-plan hearing.