Housing and Community Development Committee (Virtual) (May 20, 2025)

Housing and Community Development Committee Recap: May 20, 2025

The City of Asheville’s Housing and Community Development (HCD) Committee held a virtual meeting on May 20, 2025. The agenda focused on establishing the committee’s scope for Fiscal Year 2026 and reviewing a request for additional funding for an existing affordable housing project.

Key Decisions The committee unanimously approved the minutes from its September 17, 2024 meeting. The committee also voted to pass the motion for the Interim Funding of Existing Projects, specifically recommending approval for an additional $607,000 in Housing Trust Fund (HTF) loan funds for the Fairhaven Summit project. This recommendation will now be forwarded to the City Council for final approval.

Discussion Highlights Staff presented an overview of the HCD Committee’s scope and work planning goals for Fiscal Year 2026, aligning the committee’s responsibilities with four priority recovery areas identified by the City Council: People, Economy, Infrastructure & Environment, and Housing. The presentation outlined the committee’s role in providing policy recommendations on affordable housing creation, services for unhoused individuals, HUD community development activities, and post-disaster housing stability. Councilwoman Sage Turner suggested incorporating updates on county initiatives and other partner activities into the committee’s work plan.

The committee then reviewed a request from Commonwealth Development Corporation for an additional $607,000 in HTF funding for the Fairhaven Summit, a 77-unit, 100% affordable housing development on Sweeten Creek Road. Staff explained that the additional funds are needed to cover increased construction costs resulting from delays and design changes. With this approval, the total HTF funding for the project would reach $1.482 million, representing 6.1% of the total development cost. The proposed loan terms include a 20-year term with deferred payments and a 2% annual interest rate.

Follow-ups The committee noted that the Fairhaven Summit funding request will be placed on the City Council agenda for a final vote on May 27, 2025. Additionally, the committee will continue to refine its FY26 work plan to align with council priorities and advisory board contributions. A workshop with advisory board chairs and vice-chairs is scheduled for the week of June 16, 2025, and the committee is expected to receive an update on the Community Economic Development department’s work plan in the coming weeks.

Impact This meeting established the strategic direction for the HCD Committee in the upcoming fiscal year, ensuring its work supports the city’s broader recovery and resilience goals. The approval of the interim funding for Fairhaven Summit is significant for residents, as it supports the completion of 77 affordable apartments for families earning between 30% and 80% of the area median income. The project is projected for completion in November 2025, contingent on the City Council’s final approval of the additional funds.