Carlsbad housing trust fund reports $10.1 million available; Vista Azul, Marsha Acres highlighted

The Carlsbad Housing Commission on March 13 reviewed the fiscal year 2023–24 Housing Trust Fund annual report and recommended that City Council accept the report, which staff said showed an available fund balance of roughly $10.1 million after existing commitments.

Mandy Mills, director of Housing and Homeless Services, summarized the fund’s activity and projects. She said the Aviara Apartments project — now called Vista Azul — completed construction and is fully occupied; the city recorded just under $21,000 in expenditures for the project in the reported fiscal year because most commitments posted in a prior year. Mills said a retention payment of about $310,000 will appear in next year’s report as the city holds 10% to ensure project completion and conversion to permanent financing.

Mills also highlighted Marsha Acres, a 46‑unit senior affordable complex that expanded during the fiscal year with roughly $715,000 in expenditures. The report lists several resale units that the city purchased and rehabilitated; Mills said staff buys and resells units to income-qualified buyers and that transactions can span fiscal years.

Why it matters: The trust fund is the repository for fees collected under the city’s inclusionary housing ordinance and is governed by City Council Policy 90. The fund finances affordable housing production, resale programs and shelter projects; decisions on projects and release of funds drive the local affordable‑housing pipeline.

Staff noted projects with delays and external dependencies. West Oaks faces a delay tied to sewer capacity and coordination between two sewer districts; Mills said staff recently received a will-serve letter that may allow permitting to resume. The La Posada shelter expansion faces a separate constraint: the State of California holds a loan on the original property from a Joe Serna farmworker housing grant (roughly $800,000), and state consent would be required for demolition or material changes to the property, Mills said.

Financial snapshot: Mills said the fund began the year with just over $10 million and closed with about $10.1 million available after loan commitments and earmarks; she noted that while the available balance is about $10.1 million, the total fund includes additional committed amounts that bring the gross amount to over $14 million. Mills said the report follows requirements set out in city policy and will go to City Council for acceptance.

Action and next steps: The commission voted to recommend that City Council accept the FY23–24 Housing Trust Fund annual report. Staff noted upcoming items and the planned grand opening for the 46 one‑bedroom senior units at Marsha Acres on El Camino Real.

Mills recommended the commission accept the report; the record shows the resolution passed with a vote of yes: 4, no: 0, absent: 1.