Healdsburg has finalized the purchase of a $5 million apartment complex it agreed to buy in April with local nonprofit Burbank Housing, the first in a series of deals the city has struck to preserve existing workforce housing for low-income residents.
The city contributed $1 million toward the purchase, primarily from a housing fund built through a tax on hotel stays approved by voters in 2016. It is also providing Santa Rosa-based Burbank Housing a $275,000 loan to make immediate upgrades to some of the 23 units at 1302 Prentice Drive.
Burbank Housing, which now owns more than 200 units in Healdsburg — site of some of Sonoma County’s priciest housing — will apply for a non-competitive state tax credit to cover the remaining $4 million of the sale price as it takes over the property. In total, the nonprofit owns 68 properties across the county, totaling more than 3,300 units.
The city and nonprofit have recently partnered on buying two smaller, eight-unit apartment complexes for $3.1 million, where the city would spend $550,000 toward the purchase. The downtown area rentals would close by the end of August should the agreement continue to move forward.
You can reach Staff Writer Kevin Fixler at 707-521-5336 or firstname.lastname@example.org. On Twitter @kfixler.