Wakeland updates Imperial Beach council on senior housing project; construction must start by June under funding terms

Wakeland Housing and Development Company presented an update April 1 on a senior housing project at 455 Palm Avenue, telling the City Council the team has funding in place and must start construction by June 1 to satisfy grant and tax-credit requirements.

Todd Phillips, community development director, introduced John Sogden, Wakeland project manager. Sogden said the project retains 50 affordable senior units (mix of studios and one-bedrooms) and a downsized neighborhood center (reduced from two stories to one). He said the project is on the third plan check and that funding awarded last October ' primarily low-income housing tax credits ' forms the lion's share of the financing. "We need to start construction by June 1 as a requirement of the funding with construction completion by December '27," Sogden said.

Sogden outlined a funding stack that includes tax credits, a conventional loan, county funding committed in 2024, project-based vouchers covering roughly half the units and city capital plus a deferred-fee loan. Councilmembers pressed Wakeland and staff about legal loan agreements; Sogden said loan documents are largely negotiated and circulating among lender legal teams with comments expected soon.

Councilmembers asked about timeline risks and mitigation. Mayor McKay recommended weekly coordination to avoid surprises: "Any kind of little hitch can set us back months," he said, and urged regular updates between staff and the developer. Councilmember Seaberry asked who the general contractor will be; staff said Allgaier General Contractors of Carlsbad is the builder. Sogden said the total project cost is about $48,000,000.

The council accepted the report and directed staff to maintain frequent communication with developers and lenders to try to keep milestone dates on track.