City staff reports mixed progress on four city‑owned housing sites; Independence property faces major repair costs

City housing officials updated the Dallas Housing and Homelessness Committee on four city‑owned properties and the committee pressed staff for detailed financials, appraisals and timelines after learning the scale of required repairs at one site.

Darvin Wade, assistant housing director, presented a one‑page tracker covering 1950 Fort Worth Avenue (Miramar), 4150 Independence Drive, 2929 Hampton and 9090/9019 Vantage Point. Wade said permits are in for the Fort Worth Avenue project and staff expect closing and conveyance in mid‑to‑late April and that rehabilitation work should begin soon.

For 4150 Independence Drive, staff reported that the property has substantial, and in some cases unknown, structural and utility issues discovered since acquisition; developers told staff the condition and the unknowns have made many proposals infeasible. A recent NOFA submission identified two development scenarios: a rehabilitation approach for 100 units with a total redevelopment cost of about $29.9 million (approximately $277,000 per unit) and a demolition/new‑construction scenario for 60 units with a redevelopment cost estimated around $24.2 million (approximately $403,000 per unit). The November NOFA from a proposed developer showed a financing gap of $8.9 million (in addition to $4.3 million the city had offered), yielding a total additional gap of roughly $13.25 million for the 100‑unit scenario; a later negotiation that reduced unit count to 60 had an estimated gap of $4.95 million (total gap about $9.25 million including city funds). Wade said because of cost and feasibility concerns the city did not accept the proposals in November and is exploring options including demolition or alternative solicitations.

Committee members questioned how the city went from a ribbon‑cutting and occupied community services building to a situation where adjacent residential structures show flooding and deterioration. Gloria Sandoval, property administration program administrator with the Office of Homeless Solutions, said a water line feeding multiple buildings has leaked and some pipes have burst; the Resident Services Building (the renovated community services building) was not reported to have leaks, but several of the residential buildings experienced flooding and deterioration while vacant. Sandoval said a recent, in‑progress appraisal is under review by facilities and real estate management.

On 2929 Hampton, staff said two closed sessions had occurred and staff proposed a broad request for information (RFI) to test the market across a range of potential uses—from by‑right medical or convalescent uses to commercial or mixed‑use development—and to solicit interest from operators or purchasers. Assistant City Manager Alina Siokan said the goal is to “cast a broad net” to learn whether buyers or operators would acquire, operate or partner with the city on the site; the committee requested clarity in the RFI about whether sale, sale‑plus‑conditional use, or operating partnerships were sought.

For 9090/9019 Vantage Point, staff reported the property is more than 90% leased but has approximately 13 vacancies; Wade and staff said the remaining vacancies were delayed by residential background checks, inspections and onboarding processes tied to voucher and occupancy approvals. Committee members directed staff to return with vacancy and leasing timelines and to remove the item from monthly updates if occupancy remains above a specified threshold (committee members suggested an 80% threshold as a trigger to re‑list for committee attention).

Councilmembers pressed staff for concrete documentation the committee can use to evaluate next steps. Specific requests recorded in the meeting included: a written memo with the price‑and‑cost breakdowns for each property (purchase price, dollars invested to date, demolition estimates, total redevelopment cost, gap figures), copies of appraisals (original and current draft), copies of rejected NOFA proposals, and a timetable for an RFI on Hampton with an expectation from staff that an RFI draft could be available for the committee’s March meeting and that a 30‑day market window would likely follow.

On Independence, Wade told the committee demolition estimates for full demolition were discussed informally with developers; staff said demolition alone could range into mid‑hundreds of thousands of dollars and that complete redevelopment estimates (the $24.2–$29.9 million numbers above) reflected either full new construction or large‑scale rehabilitation. Committee members asked for a line‑by‑line cost and timeframe memo because they said the scale of taxpayer funds at stake requires clarity before the city proceeds.

Committee members repeatedly urged faster follow‑up and more transparency. Several members also asked staff to compile a system‑wide shelter and housing inventory to support decision‑making: a fixed‑date report that lists emergency, transitional and supportive housing capacity, utilization, exit and return statistics, and demographic data so the council can better match supply and demand.

Staff committed to prepare the requested memos, provide the appraisals and NOFA documentation, and to draft the Hampton RFI for committee review. The committee also directed staff to consider short‑term activation options for buildings that could be certified per floor, if feasible, and to work with building services on precise scope and cost estimates.