Council approves up-to-$17.05 million loan for Villages at Haytai Phase 1; community supporters attend

Durham City Council voted Nov. 17 to authorize the city manager to negotiate and execute a loan agreement and related documents to provide up to $17,049,195 to the Housing Authority of the City of Durham (DHA) and/or its affiliate Development Ventures, Inc. for the Villages at Haytai Phase 1 redevelopment (formerly Fayette Place).

The motion — presented as authorization for loan negotiation and execution — passed unanimously after public comment and a staff-and-resource Q&A session. Anthony Snell, interim CEO of the Durham Housing Authority, told council that Phase 1 is planned for 252 units; Phase 2 would seek 9% low-income housing tax credits for about 70 senior units; Phase 3 was estimated at roughly 100-plus units, with two homeownership phases totaling about 40 townhomes.

Several speakers from the Grant Street community and local nonprofit groups urged that development proceed with meaningful community partnership and protections for existing residents. Kendall and Erin Dooley, representing Black South and the Grant Street coalition, said they back the project but asked that developers and the city ensure local input and subcontractor participation. Erin Dooley said the coalition has a 15-year neighborhood plan and expects to be "active partners in shaping what is built."

Applicant and DHA representatives also described financing previously used for Hardy Street Apartments (132 units), noting a $6,850,000 0% interest loan from the city to make that project work. Councilmembers discussed how loans and other tools are part of a larger affordable-housing toolkit and affirmed the city's commitment to deliver units at 30–60% AMI tiers.

Council voted to authorize the loan negotiation and execution; staff will return with final loan documents and any conditions required for closing.