CAPSLO in escrow to buy Prado Road land for Homeless Services Center

Planned center would replace the Prado Day Center and the Maxine Lewis Memorial Shelter

acornejo@thetribunenews.comMay 8, 2014 

The Community Action Partnership of San Luis Obispo County is in escrow to purchase the Prado Road property where it plans to build a Homeless Services Center.

Escrow is expected to close May 30.

partnership between CAPSLO and the San Luis Obispo Regional Transit Authority was formed in April to jointly purchase the 9.7 acres at 40 Prado Road from Condor Enterprises LLC.

The transit agency will pay $1.5 million toward the purchase of the $2.3 million property and CAPSLO will pay the rest, about $742,500.

The Homeless Services Center, once built, will replace the Prado Day Center and the Maxine Lewis Memorial Shelter. Plans for the center call for 100 beds with the capacity to add an additional 75 beds, a commercial kitchen, laundry facilities, showers, lockers and storage, as well as offices for caseworkers, a classroom for children and community and multipurpose rooms. Construction of the center is expected to begin in late 2015.

CAPSLO plans to buy its share of the land, which is 3.2 acres, with a $1 million California Department of Housing and Community Development loan. That loan would default to a grant after 10 years of operation of the services center, said Jim Famalette, chief operating officer of CAPSLO.

The nonprofit would not be required to make loan payments or pay interest on the loan prior to it becoming a grant, he said.

The $1 million grant was originally intended for construction of a center on South Higuera Street. Famalette said efforts are underway to change the grant to allow CAPSLO to use it to purchase the Prado Road property.

CAPSLO has focused on the Prado Road site since opponents derailed plans to build a homeless center on South Higuera Street.

Money remaining from the grant after the $742,500 is paid would be put toward the estimated $4.5 million construction cost of the center, he said.

The San Luis Obispo City Council committed $250,000 to the project in February. The county Board of Supervisors will soon be asked to pledge the same amount. CAPSLO is now requesting that money be used for construction rather than purchasing the site.

RTA is funding its share of the purchase through the San Luis Obispo Council of Governments, using state and federal grant money. The transit agency plans to use its 6.5 acres on the site to park and maintain buses and house dispatch and administration departments.

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