Title
Naturally Occurring Affordable Housing Preservation Support for 1001 Tyvola Apartments
Action
Action:
A. Approve a Housing Trust Fund allocation in the amount of $3,500,000 to 1001 Tyvola CSLC LP for the acquisition of the 1001 Tyvola Apartments, and
B. Authorize the City Manager, or his designee, to negotiate, execute, amend, and renew contracts as needed to complete these transactions.
Body
Staff Resource(s):
Rebecca Hefner, Housing and Neighborhood Services
Warren Wooten, Housing and Neighborhood Services
Explanation
§ In 2024, the city issued a rolling Request for Proposals (RFP) for the acquisition and rehabilitation of naturally occurring affordable housing (NOAH), which serves to provide opportunities to NOAH developers/owners to be responsive to quickly changing market conditions and allows the city to evaluate proposals on a rolling basis as market opportunities arise.
§ 1001 Tyvola CSLC LP, a North Carolina limited liability partnership (Developer) and affiliate of Community Solutions International, Inc., proposes to acquire 1001 Tyvola Apartments, an existing 297-unit multi-family NOAH development originally constructed in 2021 and situated on approximately 6.6 acres at 2051 Establishment Way (parcel identification number 169-084-02) in Council District 3. The property is located near the intersection of Tyvola Road and Old Pineville Road, and approximatly 0.25 miles from the Tyvola Blue Line Station.
§ The property meets the city’s NOAH preservation goals which include:
- Rents are in the area median income (AMI) range that are at risk due to surrounding neighborhood dynamics;
- Property can maintain a good quality of life for residents for the next 20 years or more; and
- Property is located in an area experiencing transformative change and property appreciation.
§ The Developer, in response to the city’s NOAH RFP, is requesting $3.5 million for the acquisition of the property.
§ The city’s support will include the following terms for the preservation of the units:
- 60-year deed restriction for 100 units as follows:
§ 20 units at 30 percent AMI,
§ 40 units at or below 70 percent AMI, and
§ 40 units at or below 80 percent AMI.
- 20-year deed restriction for 100 units as follows:
§ 100 units at or below 80 percent AMI, and
§ At the conclusion of the 20-years, the 100 units may convert to market rate.
§ The city investment will be contingent upon a current property appraisal of no less than $71.9 million and a physical needs assessment of the property.
Background and Council Discussion
§ Completed in 2021, the property requires minimal rehabilitation. This represents an exception to the city’s Guidelines for Preserving Naturally Occurring Affordable Housing (Guidelines) which establishes that properties older than 15 years will be considered NOAH. This proposal advances NOAH objectives and Affordable Housing Funding Policy goals by limiting displacement, providing long-term, deed-restricted affordability in a transit station area, and supporting a vulnerable population with on-site residential services.
§ The Housing Committee (Committee) reviewed the proposal at the March 5, 2026, Committee meeting, and discussed the proposal’s exception to the Guidelines.
§ The Committee voted 4-0 to recommend city support for the proposal to the full City Council for consideration (Mayfield, Mazuera Aria, Mayo, Ownes; Johnson absent).
§ City Council received an overview of the proposal and the Committee’s recommendation at the March 9, 2026, Business Meeting.
Fiscal Note
Funding: Housing Trust Fund
Attachments
Attachment(s)
Map