Board of Sups nix affordable housing project
On a split vote, the Board of Supervisors turned down an affordable housing development in Shingle Springs.
The project was proposed by Mercy Housing California. The project would have built 40 affordable units at the corner of Sunset Lane and Becken Lane using a combination of private loans and CalHFA HELP, HOME, AND CDBG construction loans issued through the Public Housing Authority and the County. Five of the units would be set aside for the homeless and 35 would be for low income residents.
The total cost of construction was estimated at $13.5 million with $5 million coming from El Dorado County in the form of loan guarantees and fee offsets. The rest would come from Mercy Housing and bank loans. Because of previously expressed concerns about liability to the county, Mercy Housing agreed to repay the loan in the event of a default.
Supervisor Sweeney said he was confused by the project because the county was being asked to spend 3 to 4 times the value of what the project would be appraised for once completed. According to a report by county staff, the project would only appraise at $3.2 million dollars after costing $13.5 million to build. Sweeney said the project was also different from what was originally presented in that the initial cost was projected to be $5.9 million but now was $13.5 million.
Sweeney also ...