HUNTINGTON BEACH : Affordable Housing Aid on City Agenda

The City Council on Monday will consider giving financial aid to the owner of an apartment complex on Utica Avenue so that housing units can be rented solely to low-income families.

The proposal calls for the city to provide a $100,000 grant for landscaping, security lighting and reconstructing carports. In addition, the city would extend a $466,000 rehabilitation loan to the complex’s owner, Associates Nine.

The apartment complex is at 725-733 Utica Ave. It consists of 36 two-bedroom rental units.

Under the proposed agreement, the owner would be obligated to keep the rents affordable to low-income families for the next 30 years.

For several years, the city has been under pressure of state law to add more low-cost housing. State law requires cities using redevelopment funds to set aside certain percentages of land and money for low-cost housing.

Since the city has authorized redevelopment in various areas, it is obligated to create more affordable housing.

City officials say that the financial aid to the apartment complex owner would also help in the rehabilitation of the formerly crime-plagued Florida-Utica neighborhood.

Mike Adams, the city’s director of special projects, said in a recent memo to the City Council that the Florida-Utica area is on the upswing.

“The area has been steadily improving during the past two years due to the cooperative efforts of several city departments,” Adams said.

“A planned street improvement project will begin throughout the area within 45 days, further adding to the enhancement effort,” he said. “Rehabilitation of 725 Utica will dramatically change the character of this neighborhood and at the same time contribute to the (city’s low-cost) housing obligation.”