Dunedin pledges $75,000 toward developer’s bid for 88-unit workforce housing project

The Dunedin City Commission unanimously approved a $75,000 conditional financial commitment on May 21 to support an affordable housing proposal on Union Street that would target working households, including essential service workers.

Economic Development Director Bob Ironsmith presented the application plan and said the $75,000 is a placeholder contribution from the city’s economic housing fund; it would become a formal contribution only if the Florida Housing Finance Corporation awards the project 9% Low-Income Housing Tax Credits. Ironsmith said the city has budgeted the funds as seed money to respond quickly to opportunities.

Scott, the Atlantic Pacific representative, described a conceptual site plan for 88 units in a three-story building fronting Union Street, with parking to the north and substantial green space preserved. He told commissioners the development would be marketed to working households — examples cited included teachers, nursing assistants and nurses — and that the project would follow national green-building standards and energy-efficiency measures.

Jake Stowers, representing the Pinellas County Housing Authority (PCHA), said PCHA will be a development and owner partner. He described recent county work managing the Dunedin Housing Authority and signaled the partnership strengthened the city’s application.

Commissioners asked about competitiveness and program mechanics. Scott and staff said the 9% tax-credit competition is governed by annual rules set by the state and typically yields only one winner in Pinellas County; the state’s scoring, a subsequent lottery and an appeals process can all affect outcomes. Scott said Atlantic Pacific has experience navigating appeals and has a strong record of winning awards through the administrative process. Staff confirmed the local contribution amount is a fixed input for this year’s county process.

Commissioners also asked site-specific questions: the parcel is about 10 acres; the team said they are planning walking paths and retaining green space, and that a phase-1 geotechnical/environmental report returned clean. Scott said project siting and building placement were designed around wetlands and a lake on the property. The development team said public transit access and proximity to services are being evaluated; Scott said a qualifying transit stop is within roughly a quarter-mile — a scoring factor for the application.

The proposed unit mix emphasizes one- and two-bedroom apartments, which the housing authority and developer said lease up faster in the current market; they said three-bedroom units have historically taken longer to lease. The developer also proposed resident amenities, including a community room and exercise spaces; commissioners discussed whether a pool is an appropriate amenity for an affordable housing project, and the developer said amenities are feasible under the 9% tax-credit financing model but they would be opened to feedback from the commission.

Timeline and next steps in the process were clarified on the record: applications to the state are due Aug. 12, 2026; the state typically announces awards in the fall (September–October); if awarded, the team would seek a development agreement with the city and target a groundbreaking within 12 months (roughly September–October 2027) and initial move‑ins about October–November 2028.

Mayor Maureen Mo Franey and other commissioners framed the vote as a needed step to help the city’s workforce, citing hospital and first‑responder staffing pressures and the scarcity of nearby housing for employees. The motion to authorize the $75,000 placeholder passed unanimously.

What the $75,000 means (and what it doesn’t): staff emphasized the $75,000 is a conditional, placeholder commitment from the general fund/economic housing development budget to strengthen the application; it does not become an expenditure unless the state award is secured and the city enters subsequent agreements.

Funding and approvals still required include the state tax-credit award, any development agreement with the city, and site-level permitting and neighborhood outreach. If the award is not secured, staff said the $75,000 remains in the city’s housing fund for future opportunities.

Speakers quoted in this article are identified in the meeting transcript and are listed in the commission’s speaker roster.