Community Development Block Grant (“CDBG”) Program
Proposed Change in Use
NOTICE IS HEREBY GIVEN that the City and County of Honolulu (the “City”) is proposing to change the use of certain real property acquired with federal CDBG funds from a commercial property which met the national objective of removal of blight to affordable rental housing. The proposed use meets the national objective of a housing activity, carried out for the purpose of providing or improving permanent residential structures which, upon completion, will be occupied by low- and moderate-income households, set forth in 24 Code of Federal Regulations (“CFR”) §570.208(a)(3). The change in use is being pursued pursuant to the provisions of 24 CFR §570.505 to the CDBG national objective of a housing activity under 24 CFR 570.208(a)(3) Housing Activities.
The real property (“Property”) is known as the John R. Gilliland Sr. Building and is located at 1331-1347 River Street, Honolulu, Hawaii 96817. The property is identified as Tax Map Key 1-7-006:012 and contains 0.6181 acres (26,925 square feet) of land. The property was within the Urban Renewal Plan for the Queen Emma Project, which restricted the use to commercial uses for thirty-five (35) years. The commercial use restriction expired in 1997. However in 1992, in order to preserve the commercial property, the City utilized CDBG funds to acquire the property in fee for $6,750,000 under the slum and blight national objective.
The City is now proposing to demolish the existing vacant two-story commercial building to construct the Halewai’olu Senior Residences Project, a new 17-story building, which will include one hundred and fifty-five (155) units for seniors earning 80% and below the Area Median Income (“AMI”), and one (1) resident manager’s unit. Eight (8) units will be designated for seniors earning 30% or below the AMI; one hundred thirty-one (131) units will be designated for seniors earning 60% or below the AMI; and the remaining sixteen (16) units will be available for seniors earning 80% or below the AMI. All 100% of the units created will meet the CDBG national objective at 24 CFR 570.208(a)(3) Housing Activities. The redevelopment will serve to provide much needed affordable rental housing for seniors and optimize an underutilized parcel in the Primary Urban Core. Community benefits will include a community room for residents and neighbors.
In order to facilitate the development of the Halewai’olu Senior Residences Project, the City is proposing to change the CDBG use restriction on the property to allow the construction of affordable rental housing. The rationale for the redesignation of use is as follows:
Redeveloping the vacant commercial building into affordable rental housing meets a CDBG national objective under which housing will be created which is 24 CFR 570.208(a)(3) Housing Activities and furthers the City’s goal of creating and preserving affordable rental housing stock.
Public comments on the proposed change in use will be accepted by the City until April 30, 2020. Written comments may be forwarded by mail to the Department of Land Management, City and County of Honolulu, 558 South King Street, Honolulu, Hawaii 96813. Comments may also be submitted via facsimile to Sandra Pfund at (808) 768-4296. Questions regarding this matter may be directed to Sandra Pfund at (808) 768-4277 or email@example.com.