Finance committee backs $1.45 million contingent loan for 46-unit affordable housing project on Hope Avenue

The Santa Barbara City Finance Committee voted unanimously March 11 to recommend that the City Council approve a $1,450,000 loan to the Housing Authority to support development of a 46-unit affordable rental project at 15 South Hope Avenue.

Laura Doubles, the city’s housing and human services manager, told the committee the loan would be secured by a deed of trust and a new 90-year affordability control covenant and that the funding commitment is intended to strengthen the Housing Authority’s low-income housing tax credit application due March 18. “This is 1 of 2 projects that was submitted to the state housing and community development department under the local housing trust fund program,” Doubles said, noting the city’s award announcement from the state was delayed and could arrive at the end of March.

The project would be built on a 53,910-square-foot vacant parcel at 15 South Hope Avenue, near Upper State Street across from La Cumbre Plaza. The Housing Authority plans to build 46 family rental units — 17 studios, 13 one-bedrooms and 16 two-bedrooms (one two-bedroom designated as a manager unit) — and operate the property. Fifty percent of the units (23) would be restricted for people with developmental or mental…