Denver council approves Tramway Nonprofit Center PUD, preserving nonprofit hub and clearing way for 63 affordable units

Denver City Council on Feb. 23 approved a planned unit development that will conserve the Tramway Nonprofit Center and allow a four‑story, 63‑unit affordable housing project on the adjacent vacant lot.

The vote followed a lengthy staff presentation by Edson Ibanez of Community Planning and Development and more than three hours of public testimony. Urban Land Conservancy (ULC), the nonprofit owner, and its development partner Medici Communities described a plan that pairs protection of the historic Tramway building with construction of income‑restricted rental housing on the former street‑car barn slab. Liah Mitchell of the Department of Housing Stability said the project’s financing (federal and state low‑income housing tax credits) requires a deeper affordability mix: 8 units at or below 30% of area median income (AMI), 9 at 40% AMI, 24 at 50% AMI and 22 at 60% AMI; ULC had earlier committed voluntarily to a 100% income‑restricted covenant at up to 80% AMI with HOST.

Supporters — including dozens of nonprofit tenants at Tramway such as Family Theatre Company and Denver Youth Program, affordable‑housing advocates, Historic Denver, Habitat for Humanity and the Colorado Nonprofit Association — urged the council to adopt the rezoning to secure nonprofit workspace and move forward on housing that is already awarded tax credits. “This is a win‑win,” said Andrea Burns of Urban Land Conservancy, arguing the PUD conserves the building, retains nonprofit tenants at below‑market rents and delivers permanently affordable units.

Opponents and many nearby residents said they appreciated Tramway’s community role but objected to the proposed height and scale of the new housing. Neighbors repeatedly requested a three‑story design rather than the four stories proposed, citing concerns about neighborhood character, shadowing, parking and outreach adequacy. Several speakers said a protest petition fell short by a narrow margin (staff later confirmed the petition reached 19.7% of required land area because five entity signatures lacked documentation of authorization).

City staff and the applicant responded with mitigation and implementation details: the developer has proposed roughly 48 on‑site parking spaces plus shared‑use arrangements to address daytime employee and evening resident needs; ULC offered shared‑use community spaces in Tramway and said it remains open to a good‑neighbor agreement to codify commitments made during mediation. Liah Mitchell of the Department of Housing Stability said the voluntary affordable housing plan with HOST converts to a covenant once the building is complete and that the awarded tax credits require the deeper AMI mix and bedroom counts described during the hearing.

In debate, councilmembers acknowledged the neighborhood’s concerns about scale and outreach but weighed them against the legal review criteria and the public interest in preserving the nonprofit center and delivering deeply affordable housing. Several members cited the PUD’s ability to protect the Tramway building (including conservation of masonry, parapet and other identified features) while enabling permanently income‑restricted housing adjacent to transit. The measure passed with 11 ayes.

What’s next: the PUD zoning moves the project from legacy Chapter 59 rules into the modern Denver zoning code and allows ULC and Medici to proceed with permitting and final design under the PUD standards and the conditions described in testimony. Councilmembers and ULC said they expect to continue mediation with neighbors and to negotiate a formal good‑neighbor agreement that would address traffic, construction communication and shared uses of Tramway facilities.

Statements: Andrea Burns, Urban Land Conservancy; Edson Ibanez, Community Planning & Development; Liah Mitchell, Denver Department of Housing Stability; several Tramway tenant representatives. The council adopted Council Bill 25‑10‑69 by roll call.

The council adjourned after concluding the public hearings.