Affordable housing units coming next year to East Pierce County
Local officials on Tuesday celebrated the groundbreaking for Addison Grove, a planned affordable housing project in East Pierce County.
The 4.5-acre vacant site, 17753 78th Ave. E., was purchased in April for $2.75 million by an LLC affiliated with Great Expectations of Seattle.
The News Tribune reported in April that the property would become home to 102 “garden style” apartment units, providing housing for families earning between 50% to 80% of Area Median Income (currently $60,400 at 50% to $96,650 at 80% for a 4-person family).
Great Expectations announced this week that the site’s financing would deliver “100% affordable housing without relying on the Low-Income Housing Tax Credits (LIHTC) program.”
In a release, it stated, “Addison Grove represents a significant milestone in innovative housing finance, combining recycled tax-exempt bonds, philanthropic subordinate capital from the Ballmer Foundation, and Fannie Mae credit enhancement to create long-term affordability at scale.”
It also noted that rents would average “approximately 36% below market levels.”
Great Expectations founder and managing partner Ben Maritz told The News Tribune this spring the project’s cost is estimated at around $40 million.
The site will include a mix of two-, three-, and four-bedroom apartments and “will be subject to long-term affordability restrictions, with all 102 units income-restricted for 60 years,” the firm stated.
Funding for the project includes $13.41 million from the Washington Family Housing Fund, “a unique philanthropic partnership between Ballmer Group and the Washington State Housing Finance Commission to support the construction of affordable rental housing that is designed for families with children,” the release stated.
Construction started in May, with the first homes projected to be available for rent by next May and the entire project anticipated for completion in August 2027.
Senior lender for the project is Heritage Bank. Rush Construction is the general contractor.
More information on the project is available at the Addison Grove webpage.
