Belmont council approves $1 million loan for 678 Ralston affordable housing project in 3–2 vote

The Belmont City Council voted 3–2 on Tuesday to authorize the city manager to negotiate and enter into a $1,000,000 affordable housing loan agreement with CRP Affordable Housing and Community Development for a proposed 65‑unit, seven‑story development at 678 Ralston Avenue near the Caltrain station.

Toby Lieberman, the city’s housing and economic development manager, presented the request and said the $1,000,000 would come from the city’s affordable housing receipts loan fund and would carry a minimum 55‑year affordability requirement. "The developer is requesting $1,000,000 a $1,000,000 city contribution," Lieberman told the council as he summarized financing sources and the affordability mix.

Ryan Andrews, representing CRP, described the project as transit‑oriented and family‑oriented, noting the site’s designation in a "highest resource area" used by state housing programs and saying CRP had prioritized two‑ and three‑bedroom units: "we purposely allocated a significant amount of our project over half of 2 bedrooms and 3 bedroom units," he said. Andrews said the sponsor had secured more than $11 million in county funding and a $4 million acquisition award from Heart of San Mateo County, and that the requested city loan would help the project compete for low‑income housing tax credits and bridge increased construction costs.

Council debate focused on competing priorities: members who voted in favor said Belmont needs more very‑low and low‑income inventory to meet regional housing obligations and cited the city’s RHNA targets. Opponents criticized the project’s height (seven stories), limited parking and the developer’s decision to pursue statewide streamlined approvals before engaging the council and neighboring residents. Council member McKeown said the process left the city with limited leverage and cast a No vote; Vice Mayor Peng Manganeris also voted No and urged earlier developer engagement with the city.

The motion as approved (resolution) will authorize a residual‑receipts loan structured so the loan is repaid from any available residual cash flow after operating expenses; staff advised that such loans commonly function like a long‑term near‑grant because repayment depends on project cash flow. Staff said the loan is intended to strengthen the developer’s application for tax credit rounds; if the project fails to secure further funding, the city’s loan would be returned under the proposed terms.

Vote tally recorded by the clerk: Yes — Council member Jordan; Council member Latimerllo; Mayor Mates. No — Council member McKeown; Vice Mayor Peng Manganeris. Outcome: approved, 3–2. The council adopted the resolution authorizing the city manager to execute a loan agreement for $1,000,000 for the Ridge at Ralston project, with a minimum 55‑year affordability term.

Ending: Staff will complete negotiating loan terms and return a final loan agreement to the council for execution and recording; the project sponsor will continue pursuing tax credit rounds and other financing.