Decatur is partnering with the city’s housing authority to design, develop and oversee a project expected to provide more than 100 homes for low-income residents.
The City Commission approved an intergovernmental agreement with the Decatur Housing Authority during its Monday meeting. The authority will bring to life the city’s South Housing Village project at Legacy Park, a 77-acre plot that includes a few historic buildings, community gardens and vacant greenspace.
“There’s a lot more work to be done,” City Manager Andrea Arnold said during the meeting. “This is a fairly complex project.”
The city purchased the property, which previously housed the former United Methodist Children’s Home, in 2018. City leaders determined the large swath of land was one of their last opportunities to provided affordable housing in a city that’s struggled to stymie rising rents.
The Decatur Housing Authority will design the project’s details, but Arnold said they estimate 130 units will be part of the South Housing Village project, which is expected to span a little more than six acres. The units will consist of duplexes and apartments. There’s also a North Housing Village project in the works, but that potential development consisting of single-family and duplex cottages is being kept separate for now.
Credit: City of Decatur
Credit: City of Decatur
Doug Foust, the housing authority’s executive director, said the average apartment will be for residents who make below 60% of the area median income (AMI), which is $51,720 per year for a family of four in Decatur. To meet that requirement, rent for a two-bedroom unit would be capped at $1,164 a month. A few units could be listed as market rate — $1,940 per month for a two-bedroom unit — but the average can’t surpass 60% of the AMI.
To finance the project, the housing authority will apply for low-income housing tax credits. The application, which includes the design and scope of the project, must be submitted in May.
“We’ll be competing against all of the developers in the state of Georgia, usually 75 to 90 applications every year,” Foust said.
The project will likely cost $30 to $35 million across two development phases, Foust said. Arnold added that the city will likely use American Rescue Plan Act (ARPA) funds to finance $2 to $4 million worth of infrastructure improvements, such as roads and sidewalks, as part of the project.
Residents, who previously were split on whether Legacy Park should be used for housing rather than greenspace, will have a chance to give feedback on the housing authority’s design plan before it’s submitted, city leaders said.
“This agreement very much just gets us to the start line,” Arnold said. “Once we have this agreement in place, it tells us we can start running.”
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