Tenants moving into the city-owned Emerald Cove senior housing complex will pay rents up to $88 a month more than current residents starting Oct. 1.
New tenants will pay $385 for a one-bedroom and $335 for a studio apartment under a schedule approved Monday by the City Council.
Current tenants pay $337 for a one-bedroom downstairs apartment and $297 for upstairs. A downstairs studio currently rents for $285, $254 for upstairs. The new rent plan does not differentiate between upstairs and downstairs rates. Deputy City Administrator Robert Franz said the monthly rents are still well below market rates.
The rent increase is needed to offset the city's cost of operating and maintaining the housing project, Franz said. The complex, off Talbert Avenue west of Beach Boulevard, opened in 1984 to provide affordable housing to seniors on fixed incomes.
The city Redevelopment Agency's subsidy of $35,000 for the project will be phased out in three to four years under the new rent schedule.
"The goal is to have the housing project cover all the costs and to ultimately eliminate the subsidy," Franz said.