City Council members unanimously approved a $5.6-million mortgage bond issue to allow a developer to purchase and renovate a 136-unit apartment complex in the Morningside Park section of the city.
The bond issue is the city's first attempt to use a program that federally insures the private renovation of large rental housing projects, City Manager Paul Eckles said. Previous city bond issues have been used to renovate single-family homes or small apartment buildings.
Renovation of the building--which has a history of property-maintenance and health-code violations--is expected to begin early next year, Eckles said.
Under federal regulations, at least 20% of the units will be restricted to low- and moderate-income families. Eckles said those units will qualify as replacement housing for families displaced by the city's Century Redevelopment Project.