Council approves two Bridge to Home loans for Hillcrest Hall and Palm City Transit Village

The City Council on July 23 approved two loan agreements under the Bridge to Home program to finance affordable housing developments in Hillcrest and Palm City.

Staff from the Economic Development Department presented the projects: Hillcrest Hall (an 8‑story building with 97 apartments for households at 30–70% of area median income, including 10 units paired with supportive services) and Palm City Transit Village Phase 1 (a 6‑story, 78–79 unit project at 30–60% AMI on MTS‑owned land in Palm City/Nestor). Michelle Marano, assistant deputy director, said the projects aim for sustainability certifications (GreenPoint Gold for Hillcrest; LEED Silver for Palm City) and include community amenities and long‑term affordability covenants.

The city loan structure provides a 55‑year simple interest loan repaid from residual receipts, with 55‑year affordability covenants. Staff described total project budgets (Hillcrest ~ $58.6M; Palm City ~ $53.86M) and that city loans would be disbursed primarily during construction. The council approved staff recommendations on both items in separate motions; both passed unanimously 9–0.

Public commenters and neighborhood representatives supported the projects as examples of transit‑oriented and family‑friendly affordable housing; several asked for clearer per‑unit breakdowns and contract terms that guard against short‑term rental conversions. City staff said per‑unit cost is available in the staff reports and that the loan terms include affordability covenants and monitoring.