Charlotte affordable housing developments short $32 million, city says

CHARLOTTE — The Charlotte City Council learned that the $23 million it has committed for funding toward 11 affordable housing developments is not enough.

The 11 projects that are in limbo would generate 886 units, 10 which were funded using the voter-approved Housing Trust Fund.

“Extraordinary market conditions” are to blame for the funding gaps, said Shawn Health, assistant city manager.

LINK: AFFORDABLE HOUSING RESOURCES

The funding gap requests total more than $32 million combined. The city only has $6.7 million left in the Housing Trust Fund.

City staff members are reviewing the funding requests, and the Charlotte City Council may vote on what to do next month. In reviewing these requests, the city staff is looking at construction readiness, the revised cost per unit and ensuring the funding gap request is a last resort.

The Charlotte City Council is not contractually obligated to provide additional funds.

“I’m concerned if we are trying to move forward and identify funding today,” Council member LaWana Slack-Mayfield said.

Slack-Mayfield said the city needs to be responsible with its dollars. She wants to ensure the requests from developers aren’t inflated and won’t come down over the next few years She wants the extra $6.7 million to help residents who need housing immediately.

“Let’s see what we can do with that $6 million to impact positively the needs we have today,” she said.

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Affordable housing advocate Jessica Moreno is watching the city closely.

“Things aren’t working,” Moreno said. “Housing is such a broad and comprehensive issue and we need comprehensive solutions.”