Victor City Council approves design plan for 90-unit Sherman Park development-(Buckrail News)
Victor City Council approves design plan for 90-unit Sherman Park development
April 1, 2024
Read the original post from Buckrail.com .
Victor, Idaho — A new affordable housing project, nearly two years in the making, is moving through government approvals in Victor.
The Design Development Plan and Lease Option Agreement for the Sherman Park housing project were approved on March 13 by the Victor City Council. The development aims to create 90 units across four three-story buildings on more than three acres at the corner of Baseline Road and Agate Avenue.
A similar lease option agreement was previously signed by both parties in April 2023 but has since expired. The new lease option agreement was signed on March 13 and expires March 31, 2025.
According to the staff report, “the primary purpose of a lease option agreement is to allow the parties the opportunity to thoroughly assess the feasibility and viability of a potential project, in this case, the Sherman Park Workforce Housing Development, before either party commits to a long-term lease.”
The property is located on about three acres, about five miles from the Wyoming/Idaho state line. Photo: City of Victor staff report
Sherman Park is a three-acre property owned by the City of Victor and located off of Idaho Highway 33, about five miles from the Wyoming/Idaho state line.
Last May, the City rezoned the property from Parks and Recreation zone to Commercial Mixed-Use to make way for the project.
The project is a public-private partnership with the City of Victor providing the land for a proposed 99-year ground lease at no cost. Snavely Property Company LLC was awarded the developer bid in January 2023.
Along with the zero-dollar 99-year lease, the City of Victor has also agreed to provide permit and fee waivers and reductions, valued at just over 10% of the estimated project cost.
The Idaho Housing and Finance Association granted the project a $4 million financing award, as long as the project creates 23 units priced at 80% of the area median income (AMI). The loan expires Dec. 31, 2024.
AMI is calculated annually by the U.S. Department of Housing and Urban Development (HUD) and is the midpoint of an area’s income distribution. Below are the income levels governing the Sherman Park Project.
According to the Design Development Plan, the 23 units at 80% AMI are 14 one-bedroom units, six two-bedroom units and three three-bedroom units. At 100% AMI and 120% AMI, there will be 10 one-bedrooms and six two-bedrooms each.
Sixteen one-bedroom units and 19 two-bedroom units will be available at market rate, with no deed restrictions.
See 80% AMI unit rates with price breakdown per square foot below:
(14) 1 bedroom$1,414670 sqft $2.11 per sqft
(6) 2 bedroom$1,698995 sqft 1.70 per sqft
(3) 3 bedroom$1,9611,222 sqft$1.60 per sqft
100% AMI unit rates with price breakdown per square foot:
(10) 1 bedroom$1,767690 sqft $2.56 per sqft
(6) 2 bedroom2,122995 sqft$2.13 per sqft
120% AMI unit rates with price breakdown per square foot:
(10) 1 bedroom2,121700 sqft $3.03 per sqft
(6) 2 bedroom2,547995 sqft $2.55 per sqft
The developer initially proposed an additional $200/month parking and storage fee for all of the units, but the Council added a condition to its approval that requires, “validation for parking spaces for AMI restricted units” and another, “delineating all costs and fees beyond rent associated tenants fees.”
Six other conditions were also added, including no short-term rentals and the requirement of an annual occupancy rate report. The Council also outlined that if a tenant does not meet workforce qualifications, but meets the other qualifications (ie. has lived in Teton County for over a year), that tenant will not have their lease renewed if a workforce-qualified applicant is on the waiting list.
The two other conditions require more language about a daycare center/multi-use space and the free use of amenities for tenants, such as a spa or fitness center.
Other conditions of approval for the developer include adding a second access driveway, realigning the crosswalk at the intersection of Agate Ave and Baseline Road and design elements such as awning heights, lighting and trash and recycling enclosures.
Council Member Amy Ross cast the lone vote against the action items related to the Sherman Park project.
According to the staff report, Snavely Property Company LLC and City staff will work to finalize the development agreement and ground lease. The items will again come before the City Council for approval. Following that approval, utility and building permits can be submitted for review and approval.