Tacoma motel near I-5 to convert to medical respite, supportive housing after acquisition
Seattle-based Low Income Housing Institute on Monday announced completion of the acquisition of a Tacoma motel near Interstate 5 that will convert to housing.
The former Clarion Inn, now Oasis Inn, 6802 Tacoma Mall Blvd., has been acquired by LIHI for $13.4 million, according to county sales records.
The 128-room site last sold in February 2020 for $10.5 million.
The regional housing agency has purchased five hotels since 2021 and operates 17 tiny house villages. It also owns 3,500 affordable apartments in the Puget Sound region.
The News Tribune reported earlier this year that a pre-app was filed in May with the City of Tacoma for some type of residential conversion at the site.
A records request later confirmed LIHI’s involvement. In June, Sharon Lee, executive director of LIHI, told The News Tribune that the agency had been considering the property since last year.
In Monday’s announcement, LIHI stated that it purchased the motel “to provide critically needed permanent supportive housing, enhanced shelter and medical respite beds for people experiencing homelessness in Tacoma and Pierce County.”
It added, “In 2023 close to 300 homeless individuals died last year while experiencing homelessness in Pierce County, a 79% increase from 2022.”
Funding for the motel acquisition comes from the Washington State Department of Commerce Housing Trust Fund, Apple Health and Home Program and Encampment Resolution Program, Pierce County and Enterprise Community Partners.
The site will be a part of the state’s Apple Health and Home Program, which matches healthcare services with housing resources.
“The state and Pierce County‘s plan to end homelessness will benefit significantly from the addition of Oasis Inn,” said Tedd Kelleher, Housing Division policy director for the Department of Commerce.
The state has invested $21 million, which includes acquisition and renovation of the property. In January 2023, Pierce County Human Services awarded LIHI over $10M to support a new shelter project, which would eventually become the acquisition of Oasis Inn, the county said in a release Tuesday.
“Over the course of a year 350 or more individuals could receive medical respite, housing and services,” Kelleher said.
“We applaud the new investments from the state and county that enabled LIHI to acquire the Oasis Inn,” said Lee in a statement on Monday. “This program is like getting a prescription for housing along with your meds.”
There will be 117 units at the site following renovation, of which 23 will be under the Apple Health and Home Program, according to LIHI. An additional 30 units will be used for short-term medical respite for people recuperating from an operation or medical procedure.
Intake will include referrals from area hospitals that cannot discharge a homeless person back to a shelter, a tent or a vehicle. Community Health Care will be the on-site healthcare provider to provide health, dental and behavioral health services, LIHI said in its announcement.
“We welcome LIHI and Community Health Care’s partnership at Oasis Inn. The Medical Respite Steering Committee has worked hard to see this come to fruition,” said Elevate Health clinical integration manager Laureen Tomich, who is chair of the Pierce County Medical Respite Steering Committee.
The site will include 64 permanent supportive-housing units and enhanced-shelter units.
According to LIHI, the building will be partially occupied during renovation.
News Tribune archives contributed to this report.
This story was originally published October 29, 2024 at 5:15 AM.