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Council approves Habitat for Humanity—s Peterson Place PUD, clearing way for 87-unit cooperative community

Idaho Falls City Council · July 31, 2025

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Summary

After a public hearing and staff presentations, the council approved the Peterson Place planned unit development (87 units) proposed by Habitat for Humanity, which will use a cooperative home-ownership model and phase infrastructure work including relocation of Ernest Drive.

The Idaho Falls City Council approved a planned unit development (PUD) for Peterson Place, a Habitat for Humanity project that increases the development——s density to 87 units and uses a cooperative ownership model designed to provide affordable, owner-occupied housing.

Connor Erb of HLE, the applicant——s designer, described the amended plan and said Habitat returned to the council because the developer needed additional units beyond the plan previously approved. Community Development Director Wade Saner summarized the staff review and said the PUD includes 35 cottage homes, 23 single-family residential units, seven fourplexes and one management house, with proposed landscaping (about 33% of the site) and parking above the minimum requirement.

Karen Lansing, executive director of Habitat for Humanity, described the cooperative model and how it differs from deeded, single-owner sales: "This is a housing cooperative community. It will be the first cooperative community in the state of Idaho," Lansing said, adding that residents will gain equity through share loans while the land will be held in a land trust.

The proposal includes three construction phases, with initial infrastructure work and a planned realignment of Ernest Drive to satisfy FAA and airport-adjacent requirements; staff said Ernest Drive relocation will be part of future design and platting work. Councilors asked about timelines and occupancy; Lansing said infrastructure timing is the main constraint and estimated early phases could take several years, with homebuilding pace dependent on available funding.

With no public opposition at the hearing, council members moved and carried motions approving the PUD and associated findings and statement of relevant criteria; one council member recused from the vote due to prior involvement. The council also authorized the mayor to sign required documents to implement the approval.

The PUD approval advances a project councilors characterized as an important addition to the city——s affordable and workforce housing supply, using an ownership model Habitat officials said will preserve resident equity and long-term community benefits.