Mecklenburg County on Wednesday approved an agreement with affordable housing developer DreamKey Partners to provide $4.8 million for a mixed-income development in Grier Heights.
Development plans show 289 units – 235 rentals and 54 homes for sale in the historically black neighborhood southeast of downtown.
Rental units will be adjusted based on the income of households who earn between 30% and 80% of the Charlotte area median income – $25,000 to $67,000 per year for a family of four, according to the guide to the limits of income from DreamKey Partners. This sets the monthly rent at around $625 to $1,675.
Rents will have to remain adjusted to income for 30 years and 80 units will be reserved for the elderly.
The estimated mortgages for the units for sale will be $168,000 with monthly payments of $1,132. Without any help from the county, the homes for sale would cost around $262,000, according to the county’s presentation.
Before voting for the deal, Commissioner Vilma Leake said she was concerned the units for sale were still not as affordable as they should be.
County documents show the 14-acre development off Wendover Road near Randolph Road Park. It includes a shared green space for residents.
County funding will be a fraction of the project cost, with the remaining $81.4 million coming from tax credits, the city’s housing trust fund, loans, stipend from Congress and a Community Development Block Grant, which is an annual grant funded by the government. build housing for low- to middle-income residents.
Under the agreement, the county will pay $3.1 million in fiscal year 2023, which begins next week, and $1.69 million in fiscal year 2024. will finance:
- $1.69 million to subsidize units for sale
- $1.4 million for public road infrastructure
- $787,000 for wetlands and environmental mitigation
- $906,000 for water and sewer costs
Charlesotte has a significant shortage of affordable housing – both rental accommodation and homes for sale – and Commissioner Mark Jerrell said he hopes this development will help meet that need.
“I appreciate the focus on affordability,” Jerell said. “It is very important that home ownership opportunities are provided to current residents.”
Next steps include entering into a lease and transferring the land before construction begins.