Council gives consent to HOME‑ARP loan for 35‑unit HEP family housing project

City housing staff presented a HOME‑ARP funding request for an affordable rental development at 1718 North Betty Lane to serve families experiencing homelessness or at risk of homelessness. The project, proposed by Homeless Empowerment Program (HEP), would create 35 two‑ and three‑bedroom apartments with on‑site case management and supportive services.

Dylan Mayhew, housing manager, said the city received a one‑time HOME‑ARP allocation through HUD and that council previously approved amendments to focus some HOME‑ARP resources on creating affordable housing. HEP has secured more than $5.4 million in private donations and is requesting $1,391,938 in HOME‑ARP funding from the city; Pinellas County is expected to consider a separate $1,750,000 request and HEP will rely on additional donations or endowment funds to fill any remaining gap. "The proposed project includes 35 apartment units for families with minor children who are experiencing homelessness or living in deep poverty," Mayhew said.

Staff reviewed environmental and subsidy‑layer documentation and recommended approving the HOME‑ARP funding contingent on confirmation of other funding sources and agreement to city terms including construction timelines, income restrictions, and repayment provisions if contract terms are not met. The Neighborhood and Affordable Housing Advisory Board had earlier recommended approval. Council consented to staff’s recommendation.

Next steps: staff expects to execute a commitment letter and HOME‑ARP funding agreement, with land‑use restrictions and a 30‑year mortgage to ensure long‑term affordability. Closing will verify all funding sources and contract conditions.