TO: Committee of the Whole - Planning and Public Works
FROM: Mayor Angela Birney
DEPARTMENT DIRECTOR CONTACT(S):
Planning and Community Development
Carol Helland
425-556-2107
DEPARTMENT STAFF:
Planning and Community Development
Seraphie Allen
Deputy Director
Planning and Community Development
Jeff Churchill, AICP
Planning Manager
Planning and Community Development
Ian Lefcourte, AICP
Principal Planner
TITLE:
title
Briefing on the Allocation of $1,000,000 in City Funds to Bellwether Housing's Prisma Development to Support Deeper Affordability of Housing Units
OVERVIEW STATEMENT:
recommendation
The Mayor has approved allocating $1 million in funds budgeted for affordable housing to Bellwether Housing's Prisma development. Prisma is an affordable, transit-oriented housing development adjacent to Overlake Village Station. King County staff have proposed a matching contribution with an additional $1.15 million, which is set to be approved by the King County housing committee. The funding allocation does not impact current budgeting and does not require budget changes.
Project Summary
* Prisma: Six-story, mixed-use building in the Overlake Neighborhood.
* Ground Floor Uses: Caf?s, community spaces, small businesses, "mini town hall," and nonprofit services.
* Housing: ~328 affordable homes, including studios, 1, 2, and 3-bedrooms.
* Affordability Levels: 30% to 80% of Area Median Income (AMI).
* Special Populations: Units set aside for people with disabilities.
Economic Context and Need for Additional Funding
* In early 2023, Bellwether was selected by Sound Transit to develop affordable housing adjacent to Overlake Village Station.
* Since selection, development costs have risen sharply due to inflation, labor shortages, supply chain disruptions, and rising interest rates.
* These factors have created a funding gap.
* To mitigate the gap, Bellwether must adjust some units to higher AMI levels than originally planned, though the total unit count ...
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