The developer of a planned $2 million low-income apartment complex will receive financial help from the city of Roosevelt in the form of discounts on utility hook-ups.
Dan Haslem, Roosevelt, approached the City Council recently to detail plans for eight two-story apartment buildings with four units each to be built in a vacant field just off Main Street between Third South and Third East.The project has already been given the go-ahead by planning and zoning, and Haslem has secured partial funding through the Utah Housing Low Income Finance Agency. He has also applied for a grant through the Federal Home Loan Bank and told city leaders First Security Bank "has committed to buy tax credits to participate in the project." Haslem will put up $200,000 of his own money to make the project feasible.
"I am looking at this as a long-term investment. In maybe 20 to 30 years I could realize a profit," he said.
He asked the council for both verbal support and financial considerations to show federal creditors who fund low-income housing that the city favors the proposed construction.
The council unanimously agreed to write the letter of support and granted Haslem a 50 percent discount on the required building permit fee and a 50 percent break on the cost of water hookups and reduced the price of the sewer connection from $20,000 to $4,800.
The concessions are similar to cost breaks given to the low-income Crown Housing Project.
Haslem said his "Cottonwood" development will include sidewalks, curb and gutter, landscaping, paved roads, a basketball court and fenced play area for children.
"I intend to keep it up and make it look nice. It will be durable so it will be an asset for many years after the day it's opened. All the materials we are considering are for the durability and longevity of the project," he said. Under the terms of federal financing, the apartments must remain low-income housing for 41 years.
The apartment complexes will serve families and individuals with income levels at 50 to 60 percent of the median income or below. The median income in Duchesne County is $30,500.
"There is a critical need for low-income housing here. There is no low-income housing," Haslem said. "There is a 1 percent vacancy rate for all housing in the county."
The Uintah Basin Association of Governments has over 100 people, mainly single heads of households, now on a waiting list for affordable housing.
"These people are living with family or friends," said Jolene Daniels, UBAG housing director. "It's a hardship on everyone involved.
"We have 19 federal vouchers for rent subsidies that aren't being used because of the lack of housing."
The apartments will feature 18 two-bedroom units and 16 three-bedroom units. Construction is scheduled to be completed by September 1995.