A new 36-unit low-income housing project should be finished by next summer in Arroyo Grande, completing a project that’s been planned for a few years.
A groundbreaking ceremony was held June 19 to mark the beginning of construction on the Courtland Street Apartments at 150 S. Courtland St.
The project has been developed and will be managed by People’s Self-Help Housing Corp., a nonprofit organization that provides affording housing and programs for Central Coast residents.
The project includes four one-bedroom units, 18 two-bedroom units and 14 three-bedroom units, a community room with kitchen and meeting space, laundry facilities and a playground.
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The apartments are intended for households that earn 30 percent to 60 percent of the area’s median income. Rents will range from as low as $350 for a one-bedroom apartment to about $900 for a three-bedroom apartment, said Ken Trigueiro, vice president of real estate finance.
In 2011, the Arroyo Grande City Council approved the nonprofit’s proposal to construct the units on 1.63 acres on a portion of a 6.1-acre parcel at the corner of Courtland Street and East Grand Avenue.
At the time, a local developer had also proposed to add a grocery store and other commercial buildings to the larger part of the property, but the plan stalled amid concerns from some residents about traffic, safety issues and the impact on other nearby grocery stores.
Funds for the estimated $6 million project come from a variety of sources, including $1.5 million in federal grant funds allocated by the county, and conventional bank loans. Other financing partners include the Housing Authority of the city of San Luis Obispo, a public corporation, Merritt Community Capital Corp., and the San Luis Obispo County Housing Trust Fund, a private nonprofit corporation.
In addition, Arroyo Grande had used funds from its now-dissolved redevelopment agency to buy the land, sold it to People’s Self-Help Housing in 2009 and then set aside most of the money from the sale to provide about $930,000 in financial assistance for the construction, City Manager Steve Adams said.
Since it was established in 1970, People’s Self-Help Housing has built more than 1,400 low-income rental units in San Luis Obispo, Santa Barbara, and Ventura counties. For more information, go to http://pshhc.org/ or call 781-3088.