Charlotte County approves loans to finish 70‑unit Blue Deep Creek affordable complex

Charlotte County commissioners on Jan. 14 authorized county staff to finalize three loan commitments to complete Blue Deep Creek, a 70‑unit affordable rental development planned for Luther Road in Port Charlotte.

The loans approved include a $340,000 Local Government Area of Opportunity (LGAO) loan with a 30‑year, 0% interest term and a 50‑year affordability requirement; a proposed $638,947 forgivable 30‑year loan covering utility and permitting fee subsidies; and an additional $2.0–$2.4 million in SHIP and Hurricane Housing Recovery (HHR) funds to close the project’s financing gap. Colleen Turner, Charlotte County Human Services, told the board Blue Deep Creek will reserve apartments for households at or below 60% of area median income and expects completion and lease‑up in June 2026.

Why it matters: Blue Deep Creek is the county’s 2023 Local Government Area of Opportunity awardee and also won 9% tax credit financing from the Florida Housing Finance Corporation. County funding reduces the development’s borrowing cost and is intended to keep rents tied to income; Turner listed proposed rents of about $309/month for one‑bedroom units at 30% AMI and $383/month for two‑bedrooms at 30% AMI, with higher tiers for 60% and 80% AMI households.

Board discussion focused on terms and precedent. The county’s Local Housing Assistance Plan (LHAP) generally treats for‑profit loans as non‑forgivable; the developer requested language that loans “may be forgiven” at the board’s discretion. Assistant County Attorney Glenda Pruitt told commissioners the phrase means exactly that — forgiveness would be at the board’s discretion when the borrower requests it — but warned that allowing forgivable loans for a for‑profit developer would set a precedent other applicants could press the county to follow.

Commissioner comments showed support for the development’s affordability outcomes but also concern about deviating from LHAP. Commissioner Doherty said he was comfortable with the request in this case because of the developer’s track record, while Commissioner Constance signaled hesitancy to change established policy without additional safeguards. The board ultimately voted 4–0 to approve the three items in R‑2 (Commissioner Truax was recorded as absent for the R‑2 vote).

What the county will provide: Turner summarized county participation as roughly $2.2–$2.4 million in direct loans and fee subsidies — about $14,000 per unit from county funding and roughly 10–12% of the total development cost. The county attorney told the board unspent subsidy funds would be returned to the Affordable Housing Trust Fund at project completion.

Next steps: Staff will finalize loan documents reflecting the board’s direction, including the 30‑year LGAO loan terms and the conditions under which unspent funds would be returned. Any later request to forgive principal would come back to the board for approval.

Quotes: "These rents are exactly what our service‑industry working households need," Colleen Turner said, listing the 30% and 60% AMI rents proposed for the project. "‘May be forgiven’ means what it says — it is discretionary for the board when the borrower requests it," Glenda Pruitt, assistant county attorney, told commissioners.

Ending: The project remains contingent on finalizing multiple funding agreements with other lenders and Florida Housing. County staff said funders and developers are meeting weekly to complete documents and that the county will return to the board with finalized loan instruments as needed.