Council approves amendment to fund Redwood Downtown affordable housing project

Crescent City — The City Council voted to authorize an amendment to the city’s PLHA/PIP loan agreement to back a downtown affordable-housing project called “Redwood Downtown.”

City staff told the council the project was selected through an RFP process and would pair public funding (a combined ~ $1,012,000 in local PLHA and PIP funds cited in staff materials) with private financing to deliver residential units in the downtown core. Staff described a revised project scope that increases the unit count to 36 — roughly six studios, 14 one-bedroom units and 16 two-bedroom units — and emphasized the project’s alignment with the downtown master plan, proposed streetscape improvements and a goal to attract residents who will help sustain downtown businesses.

Consultant Michael Barr (Community Solutions Systems) said 80% of the project units are proposed for the 50–80% AMI tier (low income) and the remainder for up to 120% AMI (moderate income), and he told the council the below-market rents would be preserved for 55 years under the agreement. Barr said the overall project cost exceeds public contributions and will require additional financing to complete.

Council moved to authorize the city manager to sign Amendment No. 1 to the PLHA/PIP loan agreement with Community Systems Solutions; the motion passed on roll call vote with councilors Altman, Chamblin, Mayor Pro Tem Tinkler and Mayor Wright voting yes.

The amendment changes the number of units in the previously approved agreement and gives project sponsors direction to proceed toward planning commission review and funding deadlines; staff said the PIP funds must be committed in the near term to meet timing constraints.