Many older adults struggle to pay rent. This NC housing project seeks to fill gap
A new apartment community is coming to downtown Durham, and it’s targeting the nation’s fastest-growing rent cohort: Adults over 62.
Construction has begun on Commerce Street Apartments, which will offer 172 mixed-income units in two four-story buildings at 115 Commerce St., less than a mile southeast of the city’s center.
Of those, 88 units will be reserved just for adults over 62, a sign of a growing reality. More than one in five older households — over 7 million — rent, according to Harvard University’s Joint Center for Housing Studies. Many are “cost-burdened.”
As the region faces a growing affordability crisis, Anthony Scott, chief executive of the Durham Housing Authority, said Commerce Street Apartments will provide more options “in various economic levels.”
The project also includes 84 multi-family units; 71 public-housing replacement units; and 58 affordable rental units serving households with incomes below 80% of area median income. In Durham, that’s around $21,250 to $56,650 for an individual and $30,350 to $80,900 for a family of four.
Nine units will be designated for people with disabilities or those experiencing homelessness; 10 units will be reserved for individuals with mobility impairments.
Years in the making, the project a partnership between DHA and the city, and part of a four-phase initiative known as Durham Choice. It includes redeveloping two aging public housing developments, 519 E. Main and Liberty Street Apartments, in partnership with Charlotte-based Laurel Street Residential.
It’s supported by a $40 million Choice Neighborhoods Initiative grant from the U.S. Housing and Urban Development awarded in September 2022.
Demolition of 26 existing units along Commerce Street was completed in December 2023.
The first phase, the 72-unit Elizabeth Street Apartments, broke ground in May 2023 and is expected to be complete by late 2024.
With a $58.3 million price tag, Commerce Street Apartments is the second phase.
CVS Health has funneled roughly more than $17 million into the complex, using low-income housing tax credits through the North Carolina Housing Finance Agency. With DHA, it will also provide on-site health services and educational and employment training.
Another $21.7 million in financing includes a $9.4 million Choice Neighborhoods Implementation grant loan, an $8.2 million HOME loan from the city, and a $4.1 million land acquisition loan from DHA.
Ultimately, DHA and the city plan to build 555 units on 14 acres bounded by Main, Liberty, Elizabeth and Dillard streets.
That includes 331 affordable and 224 market-rate units.
Other amenities include a park, playgrounds, a community center and new commercial space along Main Street.
This story was originally published August 23, 2024 at 12:02 PM with the headline "Many older adults struggle to pay rent. This NC housing project seeks to fill gap."
