Juneau does not have enough affordable housing for senior citizens, the general manager of the St. Vincent de Paul Society told the Juneau Commission on Aging Thursday morning, but a solution could be on the way.
At the Juneau Senior Center, Dan Austin said the Smith Hall low-income housing development for the elderly could be expanded to provide more Juneau seniors with low-cost housing.
“There’s been no supportive housing for seniors built in this town since 1998 when we completed Smith Hall,” Austin said.
The Smith Hall Studios project, as Austin outlined it, would add 12 handicapped-accessible studio apartments, built to LEED standards, as an extension to Smith Hall in the Mendenhall Valley.
“Our costs come down … if we can build a small, delightful unit at a price that people can afford,” said Austin.
That means each unit in the Smith Hall Studios could be rented for $500 per month, according to Austin — sharply lower than the $799 per month rent for a single-bedroom apartment in Smith Hall. That would reduce the need for government subsidies to bridge the gap between what low-income seniors are able to pay and the cost of each unit.
But that level of self-sustainability and affordability, Austin added, depends on the Smith Hall Studios’ management not having to shoulder the cost of a mortgage. That would require a “community investment” toward the cost of construction.
“We do them with grants and public funding, but then we never tap the public resource again,” said Austin of the project’s funding. “That’s the important thing. What we have to do is get our policymakers — the guys that hold the purse-strings up there — to understand that when we come to (them) and we ask for a million or two million dollars, it’s a one-time investment. It is not going to be $75,000 a year for the next 10 years, or $75,000 a year for the next 30 years. We build it, we operate it as a sustainable operation not requiring government funding.”
Austin asked that the commission consider going to the City and Borough of Juneau Assembly to request $1 million for the project, estimated total costs of which his presentation gave as between $2 million and $2.5 million.
The rest of the funding could come from a variety of sources both public, such as the Alaska Housing Finance Corp. or the Alaska State Legislature, and private, such as charitable foundations, Austin added. He said that construction could begin as soon as next summer and finish by spring 2014 under the most optimistic timeframe.
Members of the commission expressed interest in the proposed development.
“This is a problem! We can’t just throw it off in a back room of some place,” exclaimed commission secretary Loretta Bevegni of Juneau’s shortage of housing for seniors. “We need to deal with it as a city.”
Austin said after the meeting that the Smith Hall Studios would be “phase one” of a longer-range affordable housing project called Home Run.
“When Home Run is completed, there will be more than 100 units of affordable housing built,” said Austin. “The entire Home Run project will include one-bedroom, two-bedroom, three-bedroom (apartments) for seniors and families … for people from zero percent to 80 percent of area median income.”
The price tag for Home Run, not including the Smith Hall Studios, is estimated at roughly $15 million, Austin said. The land that the project would occupy is currently owned by St. Vincent de Paul, its intended developer.
The Smith Hall Studios design is modeled off a prototype showcased at the 2010 Winter Olympics in Vancouver, B.C., although Austin said many of the prototype’s luxury features had been stripped down for the sake of cost-efficiency.
• Contact reporter Mark D. Miller at 523-2279 or at mark.d.miller@juneauempire.com.




Comments (13)
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The first sentence of this article could've easily stopped after the word "housing".
One thing at a time. It's
One thing at a time. It's great to see that there are folks out there taking steps to look out for the older folks. Unlike younger people, seniors are people who do not have the potential to increase their income in the future. As a consequence, it's great that they can be provided with the option of affordable housing. As a great society like we are, it would not do to have our elderly living on the streets.
Affordable Housing
Juneau lacks affordable housing for everyone. In the recent survey that showed Juneau had a higher cost of living here as some of the top cities in the U.S. and housing is a major factor in the cost of living here. Build more affordable housing!
Will the city get property
Will the city get property tax on these new homes? I don’t think so because St Vincent DePaul is a nonprofit and most non profits do not pay taxes, especially property tax. Anyone know what the CBJ tax requirement for non-profits?
Why not give tax cuts/incentives to a private developer so they can build low income homes which can eventually be taxed so that everyone pays their fair share...even if it is a very minimal amount.
Also...here is a plan..Start a non-profit...pay you and your family/friends a huge salary and great benefits...and don’t worry about paying taxes...wahoo!! Just get those grants and donations!!
From: http://www.irs.gov/carities/
Exempt Purposes - Internal Revenue Code Section 501(c)(3)
The exempt purposes set forth in section 501(c)(3) are charitable, religious, educational, scientific, literary, testing for public safety, fostering national or international amateur sports competition, and preventing cruelty to children or animals. The term charitable is used in its generally accepted legal sense and includes relief of the poor, the distressed, or the underprivileged; advancement of religion; advancement of education or science; erecting or maintaining public buildings, monuments, or works; lessening the burdens of government; lessening neighborhood tensions; eliminating prejudice and discrimination; defending human and civil rights secured by law; and combating community deterioration and juvenile delinquency.
noroadfugtive
did St Vinnie's turn you down for an apt?? They truly help a lot of people and for you to imply that St. Vinnie's was started simply to supply a few people with "a huge salary and great benefits", you are way off base. Yes, there are charities out there that are less than legitimate, St. Vinnie's is not one of them. Seriously, pick on something else - your argument is invalid here.
JNUKara, Well said!
JNUKara,
Well said!
Profit or not, it's all about
Profit or not, it's all about the benjamins.
Thank God no one suggested people be responsible and
pay their own bills, plan for their retirement and forego every little "want" and luxury to provide their own housing like real adults should be expected to do.
Who knew land of the free meant everything was free for life?
@Do The Right Thing
You must be talking about a different country ...
In America ... you can save up all you want for retirement. It takes one car accident to wipe out your retirement due to medical bills ..
Sync....Only if the accident
Sync....
Only if the accident is your fault and only then if you are irresponsible and don’t have insurance.
On the flip side...One car accident may get you rich if you are not at fault.
Don't even
Don't even look at the cost $180-200K per studio unit? For $500 to $800 mos return, no wonder a private investor doesn't want to touch this! Some contractor is going to salivate over this job if the funding (you, me and State) pony up the dollars. If someone would pay me $180,000-$200,000 per studio unit I'd sell them 60 plus units today! Come on down! Anyway---Will 12 little units really do anything to relieve the housing situation?
Don't even
Don't even look at the cost $180-200K per studio unit? For $500 to $800 mos return, no wonder a private investor doesn't want to touch this! Some contractor is going to salivate over this job if the funding (you, me and State) pony up the dollars. If someone would pay me $180,000-$200,000 per studio unit I'd sell them 60 plus units today! Come on down! Anyway---Will 12 little units really do anything to relieve the housing situation?