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Board greenlights negotiations on downtown workforce housing, directs local nonprofit partnership
Summary
Staff recommended and the board authorized exclusive negotiations with the top‑ranked developer for a workforce housing project at the county‑owned 117 East C Street site, while directing staff to secure a local nonprofit partner and to preserve design standards and affordability commitments.
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The Santa Barbara County Board of Supervisors on May 5 authorized staff to enter exclusive negotiations with the top‑scoring developer from a recent RFP to pursue a workforce housing project at the county‑owned parcel at 117 East C Street (the former probation building site).
Community Services staff and consultant Brailsford & Dunl evaluated five proposals and recommended Solar Impact, a developer proposing factory‑built (modular) construction of up to 104 units with a weighted average target of roughly 82% area median income (AMI). Staff emphasized the faster timeline and lower per‑unit cost in the modular proposal; staff also presented two alternative top scorers with conventional construction methods and higher per‑unit costs.
Board members and community commenters stressed that speed should not come at the expense of local design character and livability. The housing authority of the city of Santa Barbara and other community stakeholders urged additional design review and stronger assurances on unit sizes, affordability tiers and a local nonprofit partner to help manage tenant selection and long‑term operations.
The board’s motion authorized staff to negotiate an Exclusive Negotiating Agreement (ENA) with Solar Impact but explicitly directed that: staff require a local nonprofit partner during negotiations, preserve adherence to El Pueblo Viejo (El Po Viejo) downtown design guidance, and seek to maximize lower‑AMI units where feasible. The board deferred a separate surplus‑land determination to a future hearing.
Why it matters: The site sits in downtown Santa Barbara, where housing affordability is acute and construction costs are high. Using county land in a ground‑lease model aims to leverage public assets to deliver workforce housing without direct general‑fund expenditures; staff and supervisors said this project could provide units for local workers, including county employees.
Key figures and timeline: Staff quoted project cost estimates that range widely across proposals (roughly $450,000–$803,000 per unit in the top three concepts) and proposed a fast tracked schedule for the modular option with construction beginning as early as summer 2027 and completion as early as February 2029, subject to detailed negotiations and approvals.
What’s next: Staff will pursue an ENA with the recommended firm and, as negotiations proceed, return to the board with the proposed predevelopment agreement, ground‑lease terms, and any required environmental or city approvals. Public review and design consultation with local design bodies were flagged as part of the negotiation and permitting phases.

