The Heber City Council is evaluating a proposal for a 192-unit affordable housing development on the city's south side that would include a daycare center, following a presentation to council members on Tuesday, Nov. 3. The project, proposed by J. Fisher Co., seeks to utilize low-income housing tax credits to provide two- and three-bedroom units for residents earning 60% or less of the area median income.
Affordable Housing Details
Matt Krambule and Jake Wood, developers for J. Fisher Co., presented the project to the council during its Nov. 3 meeting. The proposed development is located at 900 E Hidden Creek Lane, near U.S. 40 and Sawmill Boulevard. The site would feature a mix of two-bedroom and three-bedroom units, all of which would be offered at 60% of the area median income (AMI).
Income and Rent Limits
Under the current proposal, income limits for qualified residents are calculated based on household size. For a two-person household, the income limit is approximately $65,400, while the limit for a three-person household is approximately $73,560. In Wasatch County, the 60% AMI threshold is up to $57,240 a year for a one-person household, according to KPCW reporting.
Developer Economic Strategy
J. Fisher Co. representatives stated the development would rely on low-income housing tax credits (LIHTC) to remain viable. Krambule noted that the company could charge a maximum rent of $1,780 for a two-bedroom unit. He estimated that the current market rate for a similar two-bedroom unit is approximately $350 higher than the proposed rent. Wood explained that the company has conducted studies indicating significant demand for affordable housing within the Heber Valley.
Zoning and Fee Requests
The developers are requesting several concessions from the city to support the project. These requests include a waiver of city building fees and a 15-year deferment of the project's impact fees. Additionally, the developers are asking for a zoning change. Current zoning requires commercial spaces to be located within the same building as residential spaces, but the developers are requesting that the commercial space be allowed to exist in its own separate building.
Community Amenities
The proposed commercial space is intended to house a daycare managed by a local operator. Development manager Jake Wood and Matt Krambule noted that the company has previously partnered with local daycare operators that offer sliding scale fees. City Councilor Mike Johnston expressed support for including such amenities to reduce the necessity for residents to drive for basic services. 'If we can just cut 5%, 10% of those trips, and daycare is one of them. That's why I'm huge on the daycare,' Johnston said.
Council Perspectives
Councilor Aaron Cheatwood expressed interest in additional amenities, such as a small shop or bodega that could provide basic goods like milk or sandwiches. Councilor Sid Ostergaard noted that the project addresses several critical needs in the Wasatch Back, including affordable senior housing, general affordable housing, and daycare. Ostergaard highlighted that the project's focus on 60% AMI is significant, as the council typically sees developments focused on one-bedroom units or studios rather than two- and three-bedroom units.
Infrastructure and Traffic Concerns
During the discussion, several council members raised questions regarding local infrastructure. Multiple members pointed to the incomplete road near the project site, suggesting that the project's impact fees could be used to help finish the road. However, developers explained that the road in question is not within the project's purview. Additionally, Councilor Yvonne Barney cited concerns regarding the potential increase in traffic resulting from the number of proposed units.
