Redlands took another step to convert a motel into 99 supportive housing units for the city’s most needy residents.
The city council unanimously approved a contract with two nonprofits on Nov. 16 to convert the motel and run the program, and authorized staff to apply for state Project Homekey money for the schedule.
The municipality gave staff the green lightt to continue the project in September.
There are plans for Shangri-La Industries to acquire and renovate the Good Nite Inn on Industrial Park Avenue, and for Step Up On Second Street to run the facility.
The nonprofits had similar roles in helping San Bernardino convert the All Star Lodge into state-funded housing.
The groups will develop and manage the facility on behalf of the city, Chris Boatman, director of Facilities and Social Services, told the municipality.
The project relies on state funding, Boatman said, which will fund nearly the first three years. With other grants, the employees expect that the first three years will be fully funded.
The city is looking at a seven-year commitment with 70% of the costs likely to be covered by grants, he said.
Boatman said he believes the city will be a “strong competitor for all available funding”.
According to a written report to the council, the workforce estimates the city could bring in $10 million in seven years through grants, rent and more. The cost, including support services, will be approximately $13.6 million, leaving the city with a contribution of $3.6 million.